ATM cash withdrawal: RBI says customers will be charged Rs 23 per transaction instead of Rs 21; check details

The Reserve Bank of India has stated that as of May 1, 2025, customers utilising ATM banking services will incur a fee of Rs 23 per transaction, an increase from the previous amount of Rs 21 per transaction. The central bank noted that customers will still be eligible for five complimentary transactions (both financial and non-financial) per month at their own bank's ATMs. 

Based on the updated guidelines, customers have the privilege of performing up to five free transactions per month (inclusive of both financial and non-financial activities) at ATMs operated by their own bank. Furthermore, they are entitled to three complimentary transactions at ATMs of other banks in metropolitan areas and five in non-metro regions. Any transactions exceeding these limits may incur a charge of up to Rs 23 per transaction.

The Center has disclosed that the State Bank of India (SBI) is experiencing significant earnings from ATM cash withdrawals, while other public sector banks (PSBs) are encountering financial difficulties.