Government decides to waive off transaction charges
In yet another step to lessen woes of people facing cash problem, the RBI directed banks have decided to waive off the ATM charges on all transactions done by savings bank customers till December 30.
A little sigh of relief
The waive off scheme will be applicable on transactions done by a customer through his or her own bank ATM as well those of other banks.
“It has been decided that the banks shall waive off all ATM charges for all transactions, inclusive of both financial and non-financial transactions by savings bank customers done at their respective bank ATMs as well as at other bank ATMs, irrespective of the amount of transactions during the month,” the central bank stated in an evening notification.
The waiver is applicable on transactions done at ATMs from November 10 to December 30, 2016. There are about 2 lakh ATMs of various banks across the country.
Earlier in August 2014, the number of mandatory free ATM transactions for savings bank account holders at other bank ATMs was reduced to three transactions per month in the six metro cities which include Mumbai, New Delhi, Chennai, Kolkata, Bengaluru and Hyderabad.
A customer was given at least five free transactions per month for the use of their own bank ATMs.
Banks could charge up to Rs 20 plus service tax, if any, beyond the permitted transactions.
The government’s decision to demonetise old Rs 500 and Rs 1,000 notes from November 9, 2016 has resulted in a shortage of cash with the public.
Huge queues are being witnessed outside bank branches to exchange the old notes or withdraw money from ATMs across the country.
The withdrawal limit from ATMs was raised to Rs 2,500 from Rs 2,000 on Sunday night.