ATM Withdrawals To Cost More As RBI Approves ATM Interchange Fee Hike From May 1, Check Revised Charges

Mumbai, March 25: If you often rely on ATMs for cash withdrawals, be prepared for higher charges starting May 1, 2025. The Reserve Bank of India has approved an increase in ATM interchange fees, making transactions at ATMs outside your home bank more expensive. This hike, backed by white-label ATM operators and cleared by the RBI, will affect both cash withdrawals and balance inquiries, adding to customers’ banking costs.

The Reserve Bank of India has approved a revision in ATM interchange fees following a proposal from the National Payments Corporation of India (NPCI). White-label ATM operators have long pushed for this increase, citing growing operational costs that made previous rates unviable. EPFO ATM Card, Mobile App: From EPFO 3.0 Launch Date to Withdrawal Limits, Here’s All You Need To Know.

This change is expected to hit smaller banks harder, as they depend heavily on the ATM networks of larger banks due to their limited reach. With the revised interchange fee—the charge one bank pays another when its customer withdraws cash from an external ATM—banks are likely to transfer the added costs directly to users. Anantpur ATM Theft: Robbers Spray Black Paint To Disable CCTV Cameras at SBI ATM, Flee With INR 29 Lakh (Watch Videos).

What Is the Expected Hike?

From May 1, 2025, ATM transaction charges across India will increase.

• Cash withdrawals will cost INR 19 per transaction, up from INR 17.

• Balance inquiries will now be INR 7 per transaction instead of INR 6.

These revised fees will apply nationwide, affecting customers using ATMs outside their home bank network. As the new charges take effect, regular ATM users might consider using their home bank’s ATMs or opting for digital payments to minimize extra costs.

(The above story first appeared on Today News 24 on Mar 25, 2025 11:42 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website todaynews24.top).