SBI ATM cash withdrawal: Following footsteps of private lenders — ICICI Bank, Kotak Mahindra Bank, Yes Bank, and HDFC Bank, the State Bank of India (SBI) has changed its ATM Cash Withdrawal limit rule. According to the SBI’s official website — sbi.co.in — now a SBI debit card user will be charged for every SBI ATM failed transaction due to insufficient balance. Means, if a SBI account holder is not sure about one’s account balance, then he or she should first check about the account balance before going for SBI ATM cash withdrawal.

According to the new rules of SBI, if you try to withdraw cash from the SBI ATM more than the amount deposited in the account, then the user will have to pay a fine of Rs 20 and GST. The bank will charge a penalty for non-financial transactions as well.

SBI ATM balance check
SBI ATM users can keep a tab on account balance as there are several options like missed call and SMS facility which allows customers to keep track of the balance in their savings account. However, the best way is to first check one’s SBI account balance at the SBI ATM before going for the SBI ATM cash withdrawal (only when the account holder is not sure about one’s account balance).

How to avoid the penalty

The first way to avoid a penalty is to stay updated about the amount deposited in your account. If there is no information, then use SBI’s Balance Check Service to know the account balance. Balance can also be checked by calling SBI Customer Care.

Balance check can be done even before withdrawing cash from ATM. If you use online banking, then information can also be taken from there. Apart from this, balance can also be checked on UPI Apps such as Google Pay or Phone Pay. SBI Metro City customers get 8 free ATM transactions per month which include 5 transactions from SBI ATMs and 3 transactions from other bank ATMs. At the same time, for non-metro city customers, this limit is 10 free ATM transactions consisting of 5 transactions from SBI ATMs and 5 transactions from other banks’ ATMs. 

Cash withdrawal requires OTP

SBI users when withdrawing cash from ATM will require to enter OTP from the registered mobile number along with the ATM pin. This rule is applicable to transactions above R. 10,000. State Bank of India updated this rule of January 1, 2020. This gives the user an additional level of security.