Shock: Now withdrawing money from ATM will be expensive, after 2 years this charge will increase

ATM Interchange Fee: If you withdraw cash from an ATM machine then this news may be useful for you. Now you may have to pay more charges for ATM withdrawals after the fixed free limit. In fact, ATM operators in the country have approached the Reserve Bank of India (RBI) and the National Payments Corporation of India (NPCI). ATM operators are demanding a hike in interchange charges.

What is the demand?

According to a report in Economic Times, the Confederation of ATM Industry (CATMI) demands that the interchange fee should be increased to a maximum of Rs 23 per transaction. This will help ensure more funding for the business. Stanley Johnson, executive director of ATM maker AGS Transact Technologies, said the interchange rate was increased two years ago. We are contacting the RBI and they seem to support the increase. We ie CATMI have requested to increase the charge to 21 rupees. At the same time, some other ATM manufacturers have demanded to increase it to Rs 23. However, RBI has not officially said anything about this. According to the ATM manufacturer, the increase in interchange charges is a decision taken by NPCI as the rates are fixed by them.

There was an increase in 2021

Let us tell you that in the year 2021, the interchange charge on ATM transaction was increased from 15 rupees to 17 rupees. ATM interchange is a charge paid by the card issuing bank to the bank where the card is used to withdraw cash. Due to higher interchange charges, banks may increase the charges they charge customers after free transactions to offset the cost. Currently, customers are being charged up to Rs 21 per transaction.

Currently, minimum five transactions per month are free for savings account holders. At the same time, there are some banks whose ATM transactions are three free. After this, different types of charges are also collected from ATMs of different banks.