Withdrawal Limit: Frequently withdrawing cash from ATMs? What are the charges after the free limit? Know SBI's new rates.

ATM Cash Withdrawal Limit: SBI has issued a new directive for its customers, setting a specific limit on ATM cash withdrawals. Charges will apply if this limit is exceeded.

ATM Cash Withdrawal Limit: SBI, the country's largest public sector bank with millions of account holders, has recently taken a new decision. This decision will impact those who withdraw cash from ATMs multiple times a month or year. Under this new rule, there will be a cap on ATM cash withdrawals, and charges will be deducted from the account once the limit is exhausted.

What will the charges be?

SBI recently issued a notice regarding this via its official X (formerly Twitter) account, confirming the applicable charges. According to the notice, SBI savings account holders will now be limited to four free cash withdrawals per month. If a customer attempts a fifth withdrawal, ₹15 plus applicable GST will be deducted from their account. This system is set to come into effect on October 1, 2026.

What was the limit previously?

Previously, there was no such rule; general account holders could withdraw cash from the bank's ATMs as many times as they wished in a month. This new rule does not apply to them; it is specifically for BSBD (Basic Savings Bank Deposit) account holders. If BSBD account holders withdraw cash more than four times a month, a charge of ₹15 will apply to each subsequent withdrawal. Previously, charges under this system were levied only once.

Will online transactions be affected?

It is worth noting that the SBI notice clearly states this system is entirely separate from digital or online transactions. This means you can make online payments or any other type of transaction as often as you like during the month, and these will remain completely free of charge. No transaction limit has been specified for this either. This arrangement will apply only to those withdrawing cash from ATMs.