RBI Sets Up Committee To Review ATM Charges Levied By Banks
The RBI has constituted a committee under Indian Banks’ Association CEO VG Kannan to examine ATM charges and fees by banks.
The Reserve Bank of India has constituted a high-level committee under Indian Banks' Association's chief executive VG Kannan to examine ATM charges and fees by banks amid demands for reviewing the levies.
The six-member panel will review the existing structures and patterns of costs, charges and interchange fees for ATM transactions, RBI said on Tuesday. The use of ATMs has been growing significantly and there have been persistent demands to review ATM charges and fees.
The committee will also review the overall patterns of usage of ATMs by cardholders and assess the impact, if any, on charges and interchange fees. Besides, it will assess the costs associated with the ATM ecosystem and make recommendations on the optimal charge fee structure and pattern.
The committee has been asked to submit its report within two months from the date of its first meeting.
There are about two lakh ATMs in the country. As on April 30, there were about 88.47 crore debit cards and 4.8 crore credit cards in India. According to RBI data, 80.9 crore transactions were done through debit cards at ATMs during April.