RBI Confirms ATM Fee Hike Effective May 1, 2025

Cash withdrawals and balance inquiries will cost more after free transaction limits, with smaller banks and cash-dependent customers facing the greatest impact.

ATM cash withdrawal fees will increase from ₹17 to ₹19 per transaction, and balance inquiry fees will rise from ₹6 to ₹7, starting May 1, 2025.
The fee hike applies after customers exceed their free monthly limits: five transactions in metro cities and three in non-metro areas at other banks' ATMs.
The Reserve Bank of India approved the increase following lobbying from white-label ATM operators and the National Payments Corporation of India, citing rising operational costs.
Smaller banks and their customers are expected to be disproportionately affected due to their reliance on larger banks' ATM networks.
The fee hike underscores the ongoing decline in ATM usage as digital payment methods like UPI become increasingly dominant in India.