Mumbai: The apex bank in the country, the Reserve Bank of India (RBI) has increased the ATM cash withdrawal fees. The fees has been hiked from Rs.20 to Rs.21 per transaction if the customer exceeds the monthly limit of free transactions. The new revised fees will come into effect from January 1, 2022.
The customers will continue to be eligible for five free transactions (inclusive of financial and non-financial transactions) every month from their respective bank ATMs. They would also be able to do three free transactions from other bank ATMs in metro centres and five in non-metro centres.
‘To compensate the banks for the higher interchange fee and given the general escalation in costs, they are allowed to increase the customer charges to Rs.21 per transaction. This increase shall be effective from January 1, 2022,’ the RBI said in a statement.
RBI has also allowed banks to increase the interchange fee on ATM transactions. The fees have been increased from Rs.15 to Rs.17 per financial transaction and Rs. 5 to Rs. 6 for non-financial transactions.