June 13 (Punjab Khabarnama) : A big news has come out related to those who withdraw money from ATM. You may have to pay more charges for withdrawing cash after the fixed free limit. Actually, the ATM operators of the country have demanded an increase in the interchange fee paid by the customers on cash withdrawal. The ATM operator has contacted the Reserve Bank of India (RBI) and National Payment Corporation of India (NPCI) in this regard.
Demand to increase it to Rs 23 per transaction
The Confederation of ATM Industry (CATMI) wants this interchange fee to be increased to a maximum of Rs 23 per transaction so that more funding can be raised for the business. Stanley Johnson, Executive Director of ATM manufacturing company AGS Transact Technologies, said, “The interchange rate was increased two years ago. We are contacting RBI and hope that they will support it. We (CATMI) have appealed to increase the fee to Rs 21, while some other ATM manufacturing companies have demanded to increase it to Rs 23.” “Last time, it took several years to increase it but I think everyone is unanimous and it is only a matter of time when the fee will increase.”
Increase was made in 2021
Let us tell you that in the year 2021, the interchange fee on ATM transactions was increased from Rs 15 to Rs 17. ATM interchange is the fee that is paid by the card issuing bank (issuer) to the bank where the card is used to withdraw cash. Another ATM manufacturer said, “Our demands have been raised everywhere to increase the interchange rate. A representation has been sent through NPCI and the bank has also agreed to increase the fee.” The increase in interchange fee is a decision taken by NPCI as the rate is decided by them.”
It is known that at present, in the six metro cities of the country, Bengaluru, Chennai, Hyderabad, Kolkata, Mumbai and New Delhi, banks provide a minimum of five free transactions in a month to their savings bank account holders, while three transactions at any other bank’s ATM are free.
