ATM Transactions to Become Costlier from May 1, ₹19 per transaction

The Reserve Bank of India (RBI) has approved an increase in ATM transaction fees, which will take effect from May 1, 2025. Customers exceeding their free transaction limits will now face higher charges for cash withdrawals and non-financial transactions.

Customers exceeding their free transaction limits will now have to pay ₹19 per withdrawal, up from the current ₹17, while balance inquiries and other non-financial transactions will cost ₹7, an increase from ₹6.

The revised fees will see an increase in charges for withdrawals and balance inquiries at ATMs beyond the permissible free limits. This move comes in response to rising operational costs, following requests from banks and white-label ATM operators.

Currently, customers are allowed a limited number of free transactions per month at ATMs of other banks, after which charges apply. With the new fee structure in place, those who frequently use ATMs for cash withdrawals or inquiries will need to plan their transactions wisely to avoid additional costs.

The RBI’s decision aims to balance operational sustainability while encouraging digital transactions. Customers are advised to use their home bank’s ATMs, track their free transaction limits, and consider digital banking options like UPI and mobile wallets to minimize extra charges.