Important News: Major Changes to ATM Withdrawal Limit Rules Coming April 1st—Here’s How It Affects You

ATM Rules Change: Starting next month, several banking-related rules are set to undergo changes. These changes will have a direct impact on customers who use ATMs. Let's take a closer look at the details...

ATM Rules Change: Starting next month, several banking-related rules are set to undergo changes. These changes will have a direct impact on customers who use ATMs. Effective April 1, 2026, several banks—including HDFC Bank—have prepared to implement changes regarding cash withdrawal limits, transaction fees, and other terms and conditions.

Consequently, the process of withdrawing money from ATMs—along with the associated charges—will no longer remain the same. Therefore, it is essential for customers to understand these new rules to avoid any potential inconvenience.

HDFC Bank Implements These Changes

HDFC Bank has decided to link UPI-based ATM cash withdrawals to its free ATM transaction limit. This means that once the prescribed limit is exceeded, customers will be required to pay an additional fee for every subsequent ATM transaction. These new rules are scheduled to come into effect on April 1, 2026.

Under the new regulations, once the allotted free transaction limit is exhausted, customers will be charged ₹23 (plus applicable taxes) for every additional ATM transaction. HDFC Bank has set the free transaction limit at 3 for customers in metro cities and 5 for those in non-metro cities. This charge will be applicable to every transaction conducted beyond these respective limits.

PNB Reduces ATM Withdrawal Limit

Effective April 1st, Punjab National Bank (PNB) is set to lower the cash withdrawal limits on certain categories of its debit cards. According to the new rules, while customers were previously permitted to withdraw up to ₹1 lakh per day, the bank has now decided to reduce this limit to ₹50,000. This specific rule will apply to select debit cards.

Additionally, the bank has also reduced the daily withdrawal limits for some of its premium debit cards. Previously, customers could withdraw up to ₹1.5 lakh using these cards; however, this limit has now been revised downward to ₹75,000. Bandhan Bank Also Revises ATM Rules

Bandhan Bank has also revised the rules regarding ATM transactions for its customers. Now, customers will be able to perform only 5 free financial transactions per month at the bank's own ATMs.

Meanwhile, this limit has been reduced to 3 for transactions conducted at ATMs of other banks. Once the prescribed limit is exceeded, a charge of ₹23 will be levied on every additional transaction.