The United Bank of India (UBI) on Wednesday decided to continue with five free ATM transactions per month (including non financial ones) at other bank ATMs for all savings account holders in both metros and non-metros.
According to a release issued by the bank, it has also decided to continue with free transactions at its own ATM network without levying any cap.
As per the new guidelines of the Reserve Bank of India (RBI), banks in six metros – New Delhi, Mumbai, Chennai, Kolkata, Hyderabad and Bangalore – are free to charge other bank customers beyond 3 ATM transactions per month. Banks have also been allowed to restrict free transactions to 5 for customers at its own ATM network.
According to Sanjay Arya, Executive Director, UBI, by putting a further cap on ATM transactions may lead to increased footfall at branches thereby resulting in higher operating costs.