Inter Bank usage of ATMs becomes free
Automated Teller Machines (ATMs) have gained prominence as a delivery channel for banking transactions in India.
Charges levied on the customers vary from bank to bank and also vary according to the ATM network that is used for the transaction. Charges for using an ATM of another bank, generally discouraged the customer from using the ATMs of other banks.
From first day of April 2009, entire ATM network—numbering over 40,000 of the domestic banking industry is available to customers from any bank for transactions for no fee at all, irrespective of the banks in which they have their accounts,
Now Customers will not be levied any fee on cash withdrawals using ATM and debit cards issued by other banks.
However, the bank whose ATMs are being used may not charge anything to the users who is a customer of another bank, but will be able to charge a fee to the banks which maintains the account of that customer. But the banking regulator, RBI is yet to inform anything to the banks in this regard.
Currently, less than half-a-dozen banks control 85% of the ATM network in India. For larger players the shift would mean higher revenues & ATM usage as customers would tend to use the nearest ATM.
For use of own ATMs for any purpose
For use of other bank ATMs for balance enquiries
For use of other bank ATMs for cash withdrawals -- Free
For detailed RBI guidelines on charges for ATM usage.... Click here
Report on Indian ATM Industry
Special Section on ATMs
Tips to users for Fraud Prevention
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