News

Indian Inter-bank ATM transactions fees will disappear from 2009

Friday 22 February 2008 07:53 CET | News

Reserve Bank of India (RBI) has ruled that in the near future banks will not be allowed to charge customers who use debit cards to check accounts balance at ATMs owned by another bank. According to RBI rules, starting from April 1 2009, there will be no charge on ATM use across banking networks.

RBI final guidelines are based on an approach paper that suggested customers who withdraw money from the AMT of another bank should not be charged more than INR 20 (approximately USD 0.5) per transaction. The paper had forced banks that charged over INR 20 to reduce the fee by 31 March 2008. RBI said the INR 20 fee would be all-inclusive and no other charges could be imposed. Currently, Indian banks charge between zero and INR 57 (approximately USD 1.4) a transaction when customers use the ATM of another bank for cash withdrawals and balance enquiry. Imposed charges depend on the network relationship between banks. 


Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Keywords:
Categories: Payments & Commerce
Companies:
Countries: World
This article is part of category

Payments & Commerce






Industry Events