Axis Bank: Starting July 1, 2025, Axis Bank customers will face higher ATM charges. The bank is raising the fee for ATM transactions beyond the free limit.
Customers will now have to pay ₹23 per transaction instead of ₹21. These updated charges will apply to savings accounts, NRI accounts, trust accounts, and some priority and Burgundy customers.
₹23 will be charged per extra transaction
Axis Bank has announced that customers making transactions beyond the free limit will now be charged ₹23 for each additional transaction.
Previously, the charge was ₹21 — a ₹2 increase. This fee will apply to both Axis Bank ATMs and those of other banks. Taxes will be added separately.
RBI’s new rule also comes into effect
The Reserve Bank of India (RBI) issued a notice on March 28, 2025, stating that the ATM interchange fee will now be set by the ATM network.
From May 1, 2025, if customers exceed their free ATM transactions, banks can charge up to ₹23 per extra transaction.
This rule also applies to Cash Recycler Machines (except when depositing cash).
What is an ATM interchange fee?
An ATM interchange fee is the amount one bank pays another when a customer uses a different bank’s ATM.
For instance, if you are an HDFC Bank customer and use an SBI ATM, HDFC pays SBI a fee. This cost is usually recovered from the customer.
How many free ATM transactions are allowed?
According to RBI rules from May 1, 2025:
Metro cities: 3 free ATM transactions per month (includes own and other banks’ ATMs)
Non-metro cities: 5 free ATM transactions per month
ATM charges of other banks
HDFC Bank:
Metro cities: 3 free transactions
Non-metro cities: 5 free transactions
After that: ₹23 for cash withdrawals, ₹8.50 + taxes for non-financial transactions
SBI (State Bank of India):
New rules from February 1, 2025
All customers get 5 free SBI ATM transactions and 10 free transactions at other banks’ ATMs, regardless of location or account balance
What should customers do?
If you often withdraw cash from ATMs, be mindful of the new charges. To avoid extra fees, consider using digital payments, UPI, or internet banking.
These new Axis Bank charges will mostly affect customers who rely on cash transactions. It’s wise to plan your withdrawals and choose digital options whenever possible.
