The State Bank of India, the country's largest lender, will revise its service charges for ATM services, as well as deposits and withdrawal, from October 1. A significant change is that the bank has completely done away with monthly limits on Internet and mobile banking transactions. Now SBI customers can enjoy unlimited such transactions, instead of a maximum of 40 for those with savings account balance of up to Rs 25,000 in the previous month.
Here's a detailed look at what SBI customers have in store in terms of ATM related charges:
Number of free transactions
Customers with average monthly balance (AMB) of up to Rs 25,000 in their savings accounts, will enjoy five free transactions at SBI ATMs, covering both financial and non-financial transactions. There is no cap for those with a higher AMB. In addition, all customers in non-metro cities can avail five free transactions at other banks' ATMs. The ceiling for customers in the metros - namely Mumbai, New Delhi, Chennai, Kolkata, Bengaluru and Hyderabad - is three free transactions at non-SBI ATMs.
SBI also allows one way inter-changeability between branch and ATM transactions. This means that a customer with AMB of up to Rs 25,000 will be allowed a maximum of 10 free debit transactions at the metro cities provided they stick to bank owned ATMs and do not avail of the two free cash withdrawal transactions at a branch. Similarly, those in the non-metros can enjoy up to 12 free debit transactions.
Charges for transactions above this threshold
Financial transactions beyond the above mentioned limits will cost Rs 10 plus GST at SBI's ATMs and double that at other lenders' machines. Non-financial transactions will cost Rs 5-8 plus GST depending on the ATM used. This covers services such as balance enquiry, placing a cheque book request, payment of taxes and funds transfers.
Significantly, the RBI had issued a circular on Wednesday directing banks to exclude non-cash withdrawal transactions at the ATM, including fund transfers, as well as failed transactions from the five free transactions per month. Banks cannot collect charges for failed transactions on account of technical reasons like hardware, software, communication issues or non-availability of currency notes in the ATM.
Keep in mind that declined transactions due insufficient balance will still incur a fee - SBI charges Rs 20 plus GST for each such failed transaction, irrespective of the ATM used.
International transaction charges
ATM usage during foreign travels does not come cheap. For instance, balance enquiry alone will cost you Rs 25 plus GST while the charge for cash withdrawal is 3.5 per cent of the transaction amount plus tax.
Charges for getting a debit card
Not all debit cards offered by the bank come free of charge. SBI charges Rs 100 for issuing a Gold Debit Card and Rs 300 for the platinum one, not including GST. In addition, if your ATM card or kit is returned by the courier due to wrong address submission, you will have to shell out a little over Rs 100.