NewDelhi Dec 3 :In June, the Reserve Bank of India (RBI) had permitted banks to increase charges for cash and non-cash ATM transactions beyond the free monthly permissible limit from 1st January, 2022. “In line with the RBI guidelines, the financial transaction fee above the free limit in Axis Bank or other bank ATMs will be Rs 21 + GST with effect from 01-01-22,” the Axis Bank said in a statement.
Starting next year, customers will have to pay Rs 21 per transaction, instead of Rs 20 if they exceed the monthly limit of free transactions, repo, the mint report said. “To compensate the banks for the higher interchange fee and given the general escalation in costs, they are allowed to increase the customer charges to Rs 21 per transaction. This increase shall be effective from January 1, 2022,” the RBI had said in a circular.
Customers will however continue to be able to avail five free transactions (inclusive of financial and non-financial transactions) every month from their own bank ATMs. They would also be able to do three free transactions from other bank ATMs in metro centres and five in non-metro centres.
The RBI had also allowed the banks to increase interchange fees per transaction from Rs 15 to Rs 17 for financial transactions and from Rs 5 to Rs 6 for non-financial transactions in all centres. This came into effect from 1st August, 2021, the mint report added.