Account holders would be now required to pay additional charges at other bank ATM’s
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MUMBAI:Savings bank account holders residing in leading six metro cities in India would be now required to pay additional charges if their transactions exceed three per month at other bank ATM’s. The Reserve Bank of India (RBI) on Thursday said that the number of mandated free transactions for savings bank account holders at other bank ATM’s has been reduced from five to three per month.
This will apply for transactions done at ATM’s located in six metro centres, namely Mumbai, New Delhi, Chennai, Kolkata, Bengaluru and Hyderabad, which are well served in terms of payment infrastructure. This reduction will however, not apply to customers having no-frills, small and basic savings bank deposit accounts as well as for transactions done by savings bank account holders at ATMs situated outside these six metro centres.
But, the Reserve Bank added that the banks are free to offer free transactions above this mandated limit. With a view to ensuring more transparency in the pricing of these transactions, banks have been advised to provide their savings bank account holders with atleast five free transactions per month at their own ATM’s.
“Beyond this, banks may decide to levy transaction charges not exceeding '20 plus applicable taxes per transaction, which are decided in a transparent manner,” the RBI said. Banks have also been asked to advise or alert customers regarding the number of free transactions availed during the month by him or her.
( Source : dc correspondent )
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