Question : FREE TRANSACTIONS THROUGH ATM



(a) whether the Government/Reserve Bank of India (RBI) has received any proposal from the Indian Banks Association (IBA) to limit free transactions through Automated Teller Machines (ATMs) to five per month for both their own and other banks` customers;

(b) if so, the details thereof and the response of the Government/RBI thereon;

(c) whether the IBA has also proposed to increase charges that banks pay to each other when their customers use third-party ATMs;

(d) if so, the details thereof and the reaction of the Government/RBI thereto; and

(e) the corrective measures taken by the Government in this regard and protect the interest of the account holders using ATMs?

Answer given by the minister


The Minister of State in the Ministry of Finance (Shri Namo Narain Meena)

(a)to (e) :- Yes, Madam. The Reserve Bank of India (RBI), has received a proposal from Indian Banks Association (IBA) to limit free transactions on ATMs and also to increase the ATM charges. No decision on the proposal has been taken.