The Reserve Bank of India has approved the increase in ATM interchange fees and this new rule will come into effect from May 1, 2025. The Reserve Bank of India has approved the increase in ATM fees by Rs 2 on financial transactions and Rs 1 on non-financial transactions.

Big news related to crores of users using debit cards has come out. Now they will have to loosen their pockets a little more to use ATM. Actually, the Reserve Bank of India has approved the increase in ATM interchange fees and this new rule will come into effect from May 1, 2025. The Reserve Bank of India has approved the increase in ATM fees by Rs 2 on financial transactions and Rs 1 on non-financial transactions. In such a situation, crores of customers in the country will now have to pay more charges for withdrawing money through ATM.

ATM users will have to loosen their pockets

Although banks have not yet decided whether they will impose the increased interchange fee on customers or not, but if ATM interchange fee is imposed on customers, then they will have to loosen their pockets. Let us tell you that ATM interchange fee is levied by one bank on another bank for the use of ATM service. It is usually a percentage of the transaction and often customers also have to pay it.

Know how much will be the charge now?

Earlier, the Reserve Bank of India had revised the ATM interchange fee in June 2021. This time the interchange fee for withdrawing cash through ATM has been increased from Rs 17 to Rs 19, while the interchange fee for non-financial transactions like balance inquiry has been increased from Rs 6 to Rs 7. Let us tell you that at present, five transactions can be done for free from the ATM of another bank in metro cities. That is, there will be no charge for using the ATM of another bank five times. Whereas, in non-metro cities this limit is of three transactions.

NPCI informed all banks

It is worth noting that National Payment Corporation of India (NPCI) has informed all banks and shareholders about this amendment. Reserve Bank of India has taken this decision on the demand of white-label ATM operators. In fact, at present, white-label ATM operators are struggling financially to operate under the price structure.