In a move aimed at streamlining customer services and improving transparency, the State Bank of India (SBI), the country’s largest lender, has announced a series of updates to its ATM transaction rules. Effective from May 1, 2025, the revised guidelines will impact both the number of free transactions customers can make and the charges levied after exceeding those limits. These changes are applicable across metro and non-metro regions and are part of SBI’s ongoing efforts to align services with customer usage patterns and maintain operational efficiency.
Under the new rules, SBI customers will now be allowed up to 10 free transactions per month at SBI ATMs, regardless of their geographic location. Additionally, they can avail of 5 free transactions per month at ATMs operated by other banks. This new uniform policy ensures a consistent customer experience nationwide, eliminating the earlier distinction between metro and non-metro areas in terms of ATM usage limits. Beyond the free usage, however, customers will be subject to specific transaction fees depending on their average monthly balance and the ATM they use.
The number of free ATM transactions at other banks remains linked to the customer's average monthly balance (AMB). Customers maintaining an AMB between Rs 25,000 and Rs 50,000, as well as those with balances between Rs 50,000 and Rs 1,00,000, will continue to receive 5 free transactions per month at other bank ATMs. For high-value customers maintaining an AMB of over Rs 1,00,000, SBI is offering a more premium benefit: unlimited free transactions at both SBI and other banks’ ATMs. This provides greater flexibility and convenience to customers with higher account balances.
In addition to changes in free transaction limits, SBI has revised its ATM service charges. Once a customer exhausts their free monthly quota, every additional transaction at an SBI ATM will incur a charge of Rs 15 plus GST, regardless of the customer's location. For transactions at ATMs operated by other banks, the fee will be Rs 21 plus GST per transaction. These charges are aimed at offsetting the cost of ATM maintenance and inter-bank transaction handling, ensuring the sustainability of the bank’s ATM network.
Despite the increased transaction fees, certain essential services remain accessible at no or minimal cost. Balance inquiries and mini statements will continue to be free of charge at SBI ATMs, even after the monthly free limit is exceeded. However, if these services are accessed via other banks' ATMs, a fee of Rs 10 plus GST per transaction will apply. Moreover, if an ATM transaction fails due to insufficient funds in a customer’s savings account, SBI will levy a penalty of Rs 20 plus GST, encouraging responsible usage of banking services.
With these changes coming into effect from May 1, 2025, SBI customers are advised to review their ATM usage habits and maintain sufficient average monthly balances to make the most of the available benefits. By updating its policies, SBI aims to balance customer convenience with the operational costs of ATM services, while offering added value to customers who maintain higher balances.