ATM Rules Change From April 1, ₹23 Charge After Free Limit & UPI Withdrawals Count

New Delhi: Starting April 1, new ATM rules will come into effect across India. Several banks, including HDFC Bank and Punjab National Bank, have announced changes in cash withdrawal rules, charges and limits. These changes will affect how customers use ATMs every month.

UPI Withdrawals Now Included

One major change is related to UPI-based cash withdrawals. HDFC Bank has said that ATM withdrawals done through UPI will now be counted in the monthly free transaction limit.

Earlier, these cardless withdrawals were treated separately. Now, they will be included in the same limit as debit card withdrawals.

Charges After Free Limit

Customers will still get a fixed number of free ATM transactions every month. At present, HDFC Bank allows 5 free withdrawals at its own ATMs.

At other bank ATMs, customers get 3 free transactions in metro cities and 5 in non-metro cities.

After crossing this limit, customers will have to pay ₹23 per transaction plus taxes. The bank says this step will bring more transparency and make charges similar across all types of withdrawals.

Debit Card Limits May Change

Punjab National Bank has also announced changes in ATM withdrawal limits for some debit card categories.

The bank has said that daily withdrawal limits may be reduced for certain cards. However, the exact new limits have not been shared yet.

What Is UPI ATM Withdrawal?

UPI-based ATM withdrawal allows customers to withdraw cash without using a debit card. They can simply scan a QR code at the ATM using their mobile phone and complete the transaction.

This feature is now available at many banks and is becoming popular for its ease of use.

What Should Customers Do?

Customers are advised to check their debit card limits and plan their withdrawals carefully.

Banks are also encouraging people to use digital options like UPI and net banking for larger transactions instead of relying only on cash.