Are you an SBI customer? And looking to withdraw more cash during the upcoming festive season? Here’s some bad news for you. Your bank, ie. the State Bank of India, has decided to reduce the daily cash withdrawal limit of some of its debit cards from Rs 40,000 to Rs 20,000 from the end of this month. As per the bank, this has been done keeping in view the growing number of complaints regarding the fraudulent transactions at ATMs as well as to give a boost to digital transactions.
In an internal circular, dated September 29, SBI said, “In view of the increase in number of complaints received by the bank around fraudulent transactions at ATMs, and to encourage digital/cashless transactions, it has been decided to decrease the cash withdrawal limits of debit cards issued/being issued on Classic and Maestro platforms from Rs 40,000 to Rs 20,000, with effect from 31 October, 2018.”
The bank further said that as per the guidelines of the Banking Codes and Standards Board of India (BCSBI), at least 30 days’ notice has to be served to the customers for any changes in terms and conditions of charges. Accordingly, “all the branches are hereby advised to display this message on the notice board for information to the customers,” it said in the circular sent to all of its branches and offices.
It may, however, be noted that the daily ATM cash withdrawal limit has been reduced only on the bank’s Classic and Maestro Debit Cards. Therefore, if someone wants to go for the higher daily cash withdrawal limit, then one is required to apply for a higher card variant.
However, in his reaction, SBI managing director PK Gupta hinted at it being business as usual. He said, “Our internal analysis shows most actual withdrawals are of smaller amounts. So, Rs 20,000 should be adequate for most customers. We are trying to see whether smaller withdrawals could minimise frauds.” He was speaking to Economic Times.
Gupta further stated that customers with a requirement for more can ask for card variants that offer higher withdrawal limits.
The new limit will come into effect from October 31 just a few days before the Diwali festival.
While chalking down the cash withdrawal limit ATM, the SBI today on its official Twitter account, motivated its customers to apply for SBI EMV Chip Debit Card without any fee charge.
The bank said, “Do not take a chance; get enhanced security for your debit card by applying for the SBI EMV Chip Debit Card without any fee at your branch or through OnlineSBI.”
At SBI, currently daily cash limit at ATMs is at minimum Rs 100 and maximum Rs 40,000 which will change to Rs 20,000.
Secondly, SBI has made no changes in its limit on Point of Sale (POS) or e-commerce platform, which clearly indicates that the lender is trying to push more of the digital transaction. At present there is no minimum limit at transactions made on POS or e-commerce, however, the maximum limit is up to Rs 50,000.