In today’s time, banking services have become an important part of everyone’s life. Whether it is salary, business transactions or benefits of government schemes, bank account is necessary everywhere. For this reason, the government and banks keep changing the rules from time to time so that customers can get better and safe services.
From 1 April 2025 and 1 May 2025, many major changes are being implemented in the banking sector, which is necessary to know every bank account holder. These changes will directly affect your money, keep balance in account, ATM transactions and banking charges.
If you are also a bank account holder or use ATM card, then this article is very important for you. Here we will tell you in easy language what are the new rules, how to withdraw money from ATM, how much is the free transaction limit, and what is important to take care of. Also, we will tell you what effect these changes will affect your pocket and what you can avoid unnecessary charges by taking care of.
New Bank Rules from 1st April 2025 – Overview Table
| Name of Rules/Keyword | Description/Details |
| Date of implementation | 1 April 2025, 1 May 2025 |
| ATM Transaction Charges | ₹ 23 per transaction (after Free Limit) |
| Free ATM transactions | 5 (OWN Bank), 3 (Other Bank) – Regular Accounts |
| Minimum balance requirement | According to different banks and locations |
| Dormant/In-Active Account Closure | Inactive accounts will be discontinued from 12-24 months |
| Positive pay system | Compulsory for check above ₹ 5,000 |
| Savings/FD Interest Rate Change | According to account balance |
| Revised Credit Card Benefits | Changes in rewards and benefits of many cards |
| Digital banking security | Two-factor authentication, biometric verification |
| Penalty for not mainTaining balance | Different according to the bank |
New Rules of Banking 2025 – What has changed?
Since 1 April 2025, there have been many important changes in banking rules in India. The purpose of these changes is to make banking more transparent, safe and digital friendly. The biggest change has occurred in ATM Transaction Charges and Free Transaction Limit, which has now become expensive to withdraw money.
Key highlights:
- Withdrawing money from ATM expensive: Now after the free limit, the charge on every transaction has increased.
- Free transaction limit low: Limited free transactions will be received every month, then charge will be charged.
- Minimum balance is necessary: It is necessary to keep a minimum amount in the account, penalty will be imposed if not kept.
- Promotion of digital banking: Online banking and security features have been strengthened.
- Dorament account closed: Inactive or zero balance accounts will be closed for a long time.
ATM Transaction Charge and Free Limit – ATM Free Transaction Rules 2025
According to the new rules, bank account holders will get a limited number of free ATM transactions every month. After that, charge will have to be paid on every additional transaction.
Free ATM Transaction Limit:
| Account type | ATM of your bank | ATM of other banks | Total free transaction (month) |
| Regular savings | 5 | 3 | 8 |
| Salary account | 5 | 3 | 8 |
| Premium account | Unlimited | 5 | Unlimited/5 |
| Jan Dhan account | 5 | 3 | 8 |
| Senior citizen | 6 | 4 | 10 |
| countryside | 10 | 5 | 15 |
Note: This limit is applicable in both financial (cash withdrawal) and non-financial (balance inquiry, mini statement).
Charges after Free Limit:
| Transaction type | Charge (per transaction) | Gst applicable |
| Cash withdrawal | ₹ 23 | Yes |
| Balance inquiry | ₹ 9 | Yes |
| Mini statement | ₹ 9 | Yes |
| Pin change | ₹ 9 | Yes |
| Unsuccessful transaction* | ₹ 25 | Yes |
*Unsuccessful transaction – due to insufficient funds.
Minimum Balance Rules – Minimum Balance Rule
Now every bank has fixed the minimum balance limit for their saving account. If there is less balance than the amount fixed in the account, then penalty can be imposed every month. This border is different according to the bank and your account type (Urban, Semi-Raban, Rural).
- SBI, PNB, Canara Bank etc. have updated their minimum balance rules.
- Not keeping a minimum balance can impose penalty from ₹ 50 to ₹ 600.
- Limit in rural areas may be less, more in urban areas.
Dormant and Inactive Account – Dormant/Inactive Account Closure
- If there is no transaction in your account for 12 months, it will be considered inactive.
- If there is no transaction for 24 months, the account will be done and the bank can close it.
- Zero balanced and non -used accounts will also be closed.
Positive Pay System – Positive Pay System (PPS)
- Now positive pay system is necessary for checks of ₹ 5,000 or above.
- You have to confirm the details (number, date, amount, pey) bank of the check.
- This will prevent check fraud and wrong transactions.
Digital banking and security features
- Banks are now providing facilities like two-factor authentication, biometric verification.
- AI chatbots, mobile banking apps have added new features to promote digital banking.
- Security has been further strengthened to prevent online fraud.
Savings account and interest change on FD
- Many banks have updated savings account and fixed deposit (FD) interest rates.
- Now the interest rate will be decided according to the account balance – you can get more interest on more balance.
Changes in credit card benefits
- Big banks like SBI, IDFC First Bank, Axis Bank have changed their credit cards rewards and benefits.
- Ticket vouchers, renewal benefits, milestone rewards have been closed on several cards.
Due to increase in new ATM charge
- Increased cost of banking service.
- Promote digital transactions.
- Increased expenses of maintenance of ATM network.
- To cover the operational cost of small banks.
Necessary suggestions for customers
- Take care of your free ATM transaction limit every month.
- If there is no need, avoid cash withdrawal again and again.
- Use more Digital Payment (UPI, Mobile Wallet).
- Maintain minimum balance in the account.
- Operate the inactive account from time to time.
- Get information about new banking rules from time to time from your bank website or branch.
Frequently asked questions (FAQ)
Q1. Will these rules apply to all banks?
Yes, according to the RBI instructions, these rules will apply to all public, private and regional rural banks.
Q2. Will the charge increase on digital payment too?
No, there is no additional charge on UPI, mobile wallet and digital transactions.
Q3. How much will be charged after the free transaction limit is over?
Cash withdrawal will be ₹ 23 + GST, Balance Inquiry/Mini Statement/PIN change ₹ 9 + GST.
Q4. What will happen if the minimum balance is not there?
According to your bank’s rules, penalty may be imposed every month.
Q5. What is a doctor account?
The account which has no transaction for 12-24 months is called a dorament or inactive account.
Conclusion
From the new rules of banking, it has become necessary for every bank account holder to change their financial planning. Withdrawing money from ATM has now become expensive, free transaction limit is reduced, and it is necessary to keep a minimum balance. The government and banks are constantly changing the rules to promote digital banking. If you take care of these rules, you can avoid unnecessary charges and keep your money safe.
Disclaimer:
This article is based on recent changes in banking rules. All information is given according to government and banking guidelines. Please confirm the rules from your bank’s website or branch. This is not a government announcement, but has been written for information. Rules can change from time to time, so always contact your bank for updated information.
