Home   »   SBI Changes Rule For ATM Cash...

SBI Changes Rule For ATM Cash Withdrawal – Free PDF Download

What has happened?

  • The State Bank of India (SBI) has launched a one-time password (OTP) based cash withdrawal service to protect its customers against fraudulent ATM transactions.
  • Soon many banks are expected to switch to this method for cash withdrawals from ATMs.
  • This will work as an extra layer of protection against unauthorized transactions.

What is this extra security?

  • According to the SBI, customers will have to enter the OTP during the cash withdrawal at ATMs to complete the transaction.
  • The OTP is a system-generated four-digit number, which will be sent on the registered mobile number of the customer.
  • The OTP will authenticate the cash withdrawal and it will be valid for only one transaction.
  • The largest lender in the country launched the OTP-based cash withdrawal services on January 1, 2020.
  • But this is applicable for people withdrawing Rs 10,000 or more in one transaction at SBI ATMs, as an extra layer of protection against fraud.
  • The bank tweeted, “Our OTP based cash withdrawal system for transactions at SBI ATMs is a vaccination against fraudsters. Protecting you from fraud will always be our top priority.”

Charges on transactions

  • The country’s largest lender State Bank of India (SBI) offers five free transactions for customers maintaining a monthly balance of up to Rs 1 lakh at its ATMs in Delhi, Kolkata, Mumbai, Chennai, Bengaluru and Hyderabad.
  • The free transactions are capped at three at other bank ATMs.
  • SBI charges Rs 5-20 for transactions beyond the free limit, depending upon the type of transaction and the ATM.
  • SBI charges Rs 10 to withdraw money from the bank’s ATM beyond the free limit, while it levies Rs 20 for financial transactions from other ATM beyond the free limit.
  • For non-financial transactions like checking account balance, customers are charged Rs 5 at SBI ATM and Rs 8 at other bank ATMs.
  • Those who maintain a monthly balance of over Rs 1 lakh are offered unlimited free transactions at SBI and other bank ATMs.
  • For international transactions at ATM, the bank charges Rs 100 apart from 5% of the transaction amount.
  • International transactions made through point of sale are charged at 3% of the transaction amount.
  • If one has an insufficient balance in the account and a transaction is declined due to that, SBI charges Rs 20.

Number of ATM

  • SBI is India’s largest public sector bank with 22,224 branches and 63,906 ATM/CDM in India.
  • Approximately, 91 million and 20 million people use Internet Banking and Mobile Banking.

  • SBI recently raised its interest rates on both loans and deposits.
  • It hiked its interest rates on fixed deposits by up to 20 basis points.
  • The new SBI FD interest rates are applicable to deposits below Rs 2 crore.
  • The maximum interest rate will be enjoyed by depositors who have or will open an FD account in the 211 days to less than a year tenure.

Q) Which among the following is NOT a quantitative measure of control ?

  1. Bank Rate Policy
  2. Open Market Operations
  3. Reserve Requirements
  4. Margin Requirements




Latest Burning Issues | Free PDF


Sharing is caring!

Download your free content now!


We have received your details!

We'll share General Studies Study Material on your E-mail Id.

Download your free content now!

We have already received your details!

We'll share General Studies Study Material on your E-mail Id.

Incorrect details? Fill the form again here

General Studies PDF

Thank You, Your details have been submitted we will get back to you.

Leave a comment

Your email address will not be published.