IMGCAP(1)]
A rule limiting free ATM withdrawals in India will take effect on Thursday, according to an announcement from the Reserve Bank of India, the country's central bank. In April, the bank issued a ruling that generally enabled debit cardholders in India to withdraw cash and check account balances without having to pay surcharges when using other banks' ATMs. In August, the Indian Banks' Association, a trade group that includes about 160 members, asked the Reserve Bank to put curbs on free cash withdrawals at ATMs not owned by their card's issuer. (CardLine Global, 24 Aug.). The Reserve Bank now will limit free withdrawals to a maximum of 10,000 rupees (US$217 or 145 euros) per transaction from third-party ATMs. The Reserve Bank also now limits those free transactions to five per month. The banking trade group pushed for the changes because it said financial institutions would bear a financial burden from too many free withdrawals from noncustomers.
