RBI Okays Hike In ATM Interchange Fees From Rs 15 To Rs 17, Effective August 1


RBI revised ATM charges after a gap of nine years

The Reserve Bank of India (RBI) on Thursday okayed a hike in the interchange fees per transaction through automated teller machines (ATMs) from the existing Rs 15 to Rs 17 for financial transactions. For non-financial transactions, the fees has been increased from five rupees to six rupees. The increased fees will be applicable from August 1, 2021 onwards.

- Advertisement -

The customers will also be allowed five free transactions, including financial and non-financial ones on a monthly basis from their own bank ATMs.

Also they will be able to conduct three free transactions from ATMs of other banks in metro cities.

- Advertisement -

On crossing the prescribed number of free transactions which a customer is eligible to conduct from other banks’ ATMs, the interchange fee has been hiked from the existing Rs 20 to Rs 21 per transaction. This hike however will be applicable from January 1, 2022.

An interchange fees is the amount which the card issuing bank pays to the ATM operator if a transaction by a customer has been made from an ATM which does not belong to the card-issuing bank.

The increase in the interchange fee structure is being effected after 2012, while the charges payable by customers were last revised in August 2014. The central bank cleared the new charges on the basis of the recommendations of a committee which it had formed two years back to study the ATM charges and interchange fees.

- Advertisement -

RBI also took into account the increasing cost of ATM deployment and expenses towards ATM maintenance incurred by banks and white label ATM operators, a statement issued by the central bank said.


Source Link

- Advertisement -

Share

Latest Updates

US Delta Flight 1730 Diverted After Man Threatens To Take Plane Down

<!-- -->Police searched the plane before allowing the flight to continue on. (Representational)Washington: A flight en route from Los Angeles to Atlanta was...

ABC’s ’20/20′, Fox’s ‘WWE Friday Night Smackdown’ Tie – Deadline

Fox’s WWE Friday Night SmackDown and ABC’s newsmag 20/20 tied for the demo wars crown on Friday night, both coming in with an...

Mass Shooting In Austin, Texas 6th Street Entertainment District – Deadline

Austin, Texas’s popular 6th Street entertainment district was the scene of a mass shooting early Saturday morning. Police reported that 13 people were injured...

Trending News

US Delta Flight 1730 Diverted After Man Threatens To Take Plane Down

<!-- -->Police searched the plane before allowing the flight to continue on. (Representational)Washington: A flight en route from Los Angeles to Atlanta was...

ABC’s ’20/20′, Fox’s ‘WWE Friday Night Smackdown’ Tie – Deadline

Fox’s WWE Friday Night SmackDown and ABC’s newsmag 20/20 tied for the demo wars crown on Friday night, both coming in with an...

Mass Shooting In Austin, Texas 6th Street Entertainment District – Deadline

Austin, Texas’s popular 6th Street entertainment district was the scene of a mass shooting early Saturday morning. Police reported that 13 people were injured...

Former KCBS, ‘Dateline’ Reporter Was 66 – Deadline

Michele Gillen, an investigative reporter whose broadcast career took her from Maine to Miami to Los Angeles, has died from natural causes. She...

Delta Variant COVID-19 Cluster Detected At France’s Haute Ecole des Arts du Rhin

<!-- -->The school was closed by authorities on June 10 until further notice. (Representational)Paris: A cluster of Delta-variant COVID-19 infections has been detected...