Withdrawing Cash from ATMs to Get Costlier: Axis Bank Hikes Charges from July 1

Updated: 29-06-2025, 01.41 PM

New Delhi, June 28, 2025 — Axis Bank customers may need to rethink how often they visit the ATM. Starting July 1, 2025, the bank will increase charges on ATM transactions beyond the permitted free limit. The fee hike will apply not just on Axis Bank ATMs, but also on ATMs of other banks, affecting millions of savings and trust account holders.

savings account cash deposit rules how much money can you keep and deposit safely

What’s Changing?

Currently, Axis Bank charges ₹21 per ATM transaction once the monthly free limit is exceeded. Under the revised fee structure, this charge will increase to ₹23 per transaction. The change will apply to a wide range of customers, including:

Savings account holders
NRI account holders
Trust accounts
Some Priority and Burgundy account holders

The new fee structure covers all types of financial transactions, such as cash withdrawals and balance inquiries, conducted at ATMs beyond the free monthly limit.

Why the Hike?

Axis Bank’s move aligns with the Reserve Bank of India’s revised guidelines, which came into effect from May 1, 2025. The RBI has updated the ATM interchange fee structure, allowing banks to revise their customer-facing charges accordingly.

According to the RBI directive:

In metro cities, customers are entitled to 3 free ATM transactions per month
In non-metro cities, customers can avail 5 free ATM transactions per month

After exhausting these limits, users will be charged for every additional financial ATM transaction.

How to Avoid Extra Charges?

Axis Bank is urging its customers to be more mindful of their ATM usage. To avoid unnecessary fees:

Track your free transaction limits each month
Opt for digital banking services like mobile banking and UPI for basic transactions
Make bulk withdrawals instead of frequent small ones
Use Axis Bank’s mobile app to monitor account activity and check balances

Bottom Line

As digital banking becomes more mainstream and banks restructure their service charges, ATM visits may cost more than just time. Account holders, especially those relying heavily on cash transactions, should stay updated with their bank’s policy to avoid unexpected deductions.

Author Profile

Kuldeep Singh Chundawat: My name is Kuldeep Singh Chundawat. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.