Nationalised banks charge minimum Rs 150 for transactions
New Delhi, March 4: Nationalised banks in India including HDFC Bank, have begun charging a minimum amount of Rs 150 for each transaction like cash deposits and withdrawals beyond four free transactions in a month.
The charges would apply to savings as well as salary accounts with effect from March 1, according to the leading private sector bank, HDFC said in a circular.
The bank is also planning to cap third party cash transactions at Rs 25,000 per day. However, the cash handling charges would be withdrawn from today, the circular said.
Certain banks including ICICI Bank and Axis Bank has already made these charges came into effect early in January, this year.
These charges are for cash transactions in the branches, and not for the transactions through ATMs. The move was actually intended to discourage cash transactions and enhancing digital payment. For the basic accounts, a maximum of four cash withdrawals would be free and no fee would be levied for cash deposits.
According to details on the website of ICICI Bank, there will be no charge for first four transactions a month at branches in a home city. While Rs 5 per thousand rupees would be charged thereafter subject to a minimum of Rs 150 in the same month.
Third party limit is fixed to Rs 50,000 per day. ICICI Bank would not charge anything, for non-home branches, while the withdrawal is made for the first time in a calendar month and Rs 5 per thousand rupees thereafter subject to a minimum of Rs 150. For depositing cash anywhere, ICICI Bank would charge Rs 5 per thousand rupees at branches, while deposit at Cash Acceptance Machine would be free of charge for of charge for ATM interchange charges have also been re-introduced.
The first five transactions or Rs 10 lakh of cash deposits or withdrawals would be free and charged at Rs 5 per thousand rupees or Rs 150, whichever is higher, at Axis Bank. It is not so clear whether the public sector banks have also begun imposing such charges for money transactions. There has been no directive from the government to the banks regarding levy of such charges, a senior officer said while asked by the media.