Withdrawing Cash From ATM Will Be Costlier By Rs 2 From May 1; Internet Jibes ‘Banks Becoming Vasooli Bhais’

Cash withdrawal at Automated Teller Machines (ATM) will now be even costlier come May 1, 2025.

The National Payments Corporation of India (NPCI) and the Reserve Bank of India (RBI) have approved an interchange fee for ATM cash withdrawals from Rs 17 to Rs 19—a two rupee hike. An additional GST will also be levied on the interchange amount. Interchange fee of Rs 7 will be levied for non-financial transactions, per the latest circular. The same will be levied for balance enquiry in Bhutan and Nepal.

The surge in transaction fees is to sustain the business viability of ATM operators in India. The country has 2,167,06 operational ATMs as of January 2025, per RBI data. Currently, free transaction costs are borne by banks. In metros including Chennai, Kolkata, Delhi, Hyderabad, Mumbai, and Bengaluru, users can avail of the first five transactions for free per month at their bank’s ATMs. Earlier the ATM operator’s association had suggested raising the interchange fee to Rs 23, even as ATM usage in the country has declined.

ATM Withdrawals May Cost More From May 1 @sakshibajaj19 reports pic.twitter.com/8gmjK7A9BX
— NDTV (@ndtv) March 25, 2025

RBI raises charges on ATM transactions. pic.twitter.com/2wJ3Cpx1tG
— NDTV Profit (@NDTVProfitIndia) June 10, 2021

Reactions poured in, with users slamming the regulatory body and banks for fleecing users. One user remarked, “Loot lo middle class ko,” while another added, “Ek baar hi loot lo, dheere dheere lootne se kya fayda?” “Banks have become vasooli bhais,” jibed one, while another wrote, “Now it’s tough to decide which is costlier. Reaching out to the nearest ATM of your bank or paying an extra charge at the other bank’s ATM?”

“Why do people have to pay Rs 2 extra to access their own money? This is why we need decentralization,” commented one user. Another remarked, “To fund the most efficient institution called banks and their golden employees a bit more for the backbreaking job they do.”

Another user lamented, “Everything moves forward—except salaries, which are still living in the Stone Age.” One netizen asked, “Next step? Fees for breathing air near an ATM.” Meanwhile one user succinctly summed up,

Ambani, Adani ke kitne loans ko maaf karna hota hai yaaro, samjha karo. Fir international trips, babuo ko Europe bhi bhejna hai, judges ko protect karna, oh my god! Apne logo ko hi toh dena hoga yeh sab paisa.”

Earlier, trolls were paid 2 Rs per post.
Now common man has to pay 2 Rs to take out his own money.

1. Maintain minimum balance
2. Various charges
3. Tax on interest
4. Charges to even withdraw own money
5. No customer service

Basically banks have become Vasooli Bhais.
— Ganeshan (@ganeshan_iyer) March 26, 2025

pic.twitter.com/eULzSaQufl
— Anshul (@chauhanshul) March 26, 2025

Now it’s tough to decide which is costlier.

Reaching out to the nearest ATM of your bank or paying extra charge at the other bank’s ATM?
— Swapna Kumar Panda (@swapnakpanda) March 26, 2025

Why do people have to pay Rs 2 extra to access their own money
This is why we need decentralization.
— Karan Singh Arora (@thisisksa) March 26, 2025

Everything moves forward—except salaries, which are still living in the Stone Age.
— Trend_X_Now (@TrendXNow) March 26, 2025

To fund the most efficient institution called banks and their golden employees a bit more for the back breaking job they do.
— Soumendu Mukherji (@SoumenduM) March 26, 2025

Hum to use hin nahi krte ATM pic.twitter.com/bjYXuqh3tT
— Ubermensch (@EatMyPotat0) March 26, 2025

Next step ? Fees for breathing air near an ATM
— Gaurav Tiwari (@gauravtiwarii01) March 26, 2025

Ambani, Adani ke kitne loans ko maaf karna hota hai yaaro, samja karo. Fir international trips, babudio ko Europe bhi bhejna hai, judges ko protect karna, oh my god! Apne logo ko hi toh dena hoga yeh sab paisa.
— V Consultants (@Consultant79990) March 26, 2025