Some banks have begun charging a minimum amount of Rs 150 per transaction for cash deposits and withdrawals after four free transactions in a month.
Leading private sector player HDFC Bank said in a circular that the new charges will be applicable from March 2nd and will apply to saving as well as salary accounts. In case of several banks, including ICICI Bank and Axis Bank, these charges came into effect early in January and are same as they were before the demonetisation move announced on November 8, while there is an increase in such fees in case of some others, including HDFC Bank, from March 2nd onwards. These charges are for cash transactions in the branches, and not through ATMs. The move was seen in some quarters as aimed at discouraging cash transactions and furthering the digital payment drive. For the basic no-frills accounts, maximum four cash withdrawals would continue to remain free and there would be no fees for cash deposits.
According to details on ICICI Bank website, there will be no charge for first four transactions a month at branches in home city while Rs. 5 per thousand rupees would be charged thereafter subject to a minimum of Rs: 150 in the same month. The third party limit would be Rs: 50,000 per day. For non-home branches, ICICI Bank would not charge anything for first cash withdrawal of a calendar month and Rs: 5 per thousand rupees thereafter subject to a minimum of Rs: 150.
For anywhere cash deposit, ICICI Bank would charge Rs: 5 per thousand rupees (subject to a minimum of Rs: 150) at branches, while deposit at Cash Acceptance Machine would be free of charge for first cash deposit of a calendar month and Rs: 5 per thousand thereafter. ATM intercharge charges have also been re-introduced. At Axis Bank, the first five transactions or Rs: 10 lakh of cash deposits or withdrawals would be free and charged at Rs: 5 per thousand rupees or Rs: 150, whichever is higher.