ATM withdrawal fees from 15/10/2009-15th October 12, 2009

ATM withdrawal fees from 15/10/2009-15^th October 12, 2009

One of the major news items in today’s Newspapers was on the Curbs on ATM use from Oct. 15.

The news articles state that as per Indian Bank’s Association recommendation, Reserve Bank of India has asked the banks to impose the restrictions on third-party ATM usage from mid-October.

As a result, the number of free cash-withdrawals from third-party ATM’s will attract a charge.

The highlights are

01) The transaction limit is set at Rs10,000/-

02) Saving Account Holders can withdraw five times in a month free –of-cost.

03) From the sixth transaction, the fees is Rs20/-

04) Current Account Holders will be charged from the first transaction itself.

05) BALANCE ENQUIRY is still free.

However, each bank basing on the account profile/product type can decide not to charge its customers, but absorb the interchange fee.

The market will be the deciding factor.

I have been searching the Internet for the relevant Indian Bank’s Association/Reserve Bank of India Notification. No such luck.

I feel that this Notification should be in public domain, for the lay public to understand the rationale for the fees.

Tips for easier ATM Transactions after 15/10/2009-15^th October 12, 2009

01) In case your Bank’s ATM, is out-of-order or you are unable to withdraw cash for any reason, immediately lodge a complaint with your Bank. This will aid the bank to provide a superior customer service.

02) As people will tend to withdraw in higher amounts now, ATM’s will dispense High Denomination Notes. To avoid this issue, swipe your Card in POS Terminals at Merchant Establishments, for purchases.(Of course the basic safety measures are to kept in mind)

03) Avoid withdrawing large amounts in cash at night, or unfamiliar locations.

 Once the facility of withdrawing cash (up to Rs1000/-) is introduced at POS Terminals, life might become a little easier.

ATM's-The free tour is over