SBI Cuts Free ATM Transactions for Salary Accounts Effective October 1
State Bank of India is reducing free ATM transactions at other banks for salary account holders from 10 to 5 per month starting October 1. Exceeding the limit will incur charges of INR 23 for cash withdrawals and INR 11 for non-financial transactions. The modification aligns external ATM usage caps for salary accounts with revised administrative structures.
State Bank of India (SBI) is cutting the monthly limit for free ATM transactions available to Salary Package Account holders at other banks' ATMs from October 1. Under the updated guidelines, eligible salary account holders will see their free monthly transactions at non-SBI automated teller machines (ATMs) and automated deposit cum withdrawal machines (ADWMs) reduced from 10 to 5.
Revised ATM Transaction Limits
This adjustment applies uniformly across the board for external network usage, covering both financial and non-financial transactions. Transactions conducted at SBI's own network of ATMs remain unaffected by this revision, continuing with their existing terms. Cardless cash withdrawal facilities provided through SBI channels also remain untouched by the policy change. SBI Announces 45-Minute UPI Outage on September 4; What Customers Need To Know.
Applicable Charges Beyond Free Limits
Account holders who exceed the revised quota of five free transactions per month at other banks' ATMs will incur standard service fees.
- Cash Withdrawals: INR 23 plus applicable Goods and Services Tax (GST) per transaction.
- Non-Financial Transactions: INR 11 plus applicable GST per transaction.
Background and Account Rules
The modification aligns external ATM usage caps for salary accounts with revised administrative structures. SBI mandates that individuals drawing salaries through these accounts maintain active monthly credits; if a monthly salary is not credited for more than three consecutive months, the account defaults to a standard savings account, removing specialised package benefits and shifting the structure to regular bank charges. Customers are advised to monitor their monthly transaction counts across external networks to avoid extra service fees starting next month.
(The above story first appeared on LatestLY on Sep 04, 2026 09:11 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).