The State Bank of India has implemented significant changes to its ATM transaction rules for salary package account holders, effective October 1, 2026. According to reports from Mint, Times Bull, The Economic Times, and Goodreturns, the bank has reduced the number of free monthly transactions at other banks' and financial institutions' ATMs from 10 to 5 transactions. This revised limit applies to both financial and non-financial transactions made using SBI debit cards at other banks' ATMs and Automated Deposit cum Withdrawal Machines (ADWMs). The bank has clarified in its public notice that this new rule is specifically for salary package accounts, with no changes to other account types. The changes are part of SBI's broader policy revision that has been in effect since December 1, 2025. As per The Economic Times, these revisions come shortly after Canara Bank revised its ATM and cash recycler charges from September 1, reducing the number of free monthly transactions for regular savings account customers at its ATMs from six to five.
Once the five free transactions are exhausted, customers will be charged for additional transactions. As reported by Mint, Times Bull, The Economic Times, and Goodreturns, any cash withdrawal will cost ₹23 + GST, whereas a non-financial transaction will attract ₹11 + GST. The revised charges distinguish between financial and non-financial ATM activity, with financial transactions including cash withdrawals and non-financial transactions covering activities like balance enquiries. The bank has confirmed that service charges remain unchanged from previous levels, with no increases in fees for transactions beyond the free limit. The revised policy introduces a significant change where customers cannot treat balance enquiries separately from cash withdrawals - if an SBI salary account holder checks their balance three times at another bank's ATM and makes three cash withdrawals during the same month, the total number of transactions will reach six, potentially exceeding the free limit. The revised limit also covers transactions at Automated Deposit cum Withdrawal Machines (ADWMs) operated by other banks or financial institutions, with no longer separate metro and non-metro classification for the five free transactions.
Under the revised charges, BSBD account holders will see changes in cash withdrawal limits. According to The Economic Times, the first four cash withdrawals in a month will remain free, including cash withdrawals made through SBI ATMs, other bank ATMs, branches and AEPS cash transactions. From the fifth cash withdrawal onwards, a charge of ₹15 + GST per transaction will apply. The BSBD account is a basic savings account designed mainly for people from the poorer sections of society with no minimum balance requirement and no upper limit on balance maintenance. As per The Economic Times, customers cannot have another savings bank account and must close any existing savings account within 30 days of opening the BSBD account. The account comes with a basic RuPay ATM-cum-debit card issued free of cost with no annual maintenance charge.
The revised limit specifically affects transactions at other banks' ATMs, while SBI ATM benefits remain unchanged. According to Mint, Times Bull, The Economic Times, and Goodreturns, customers continue to receive 10 free transactions per month at SBI ATMs, including both financial and non-financial transactions. Salary package account holders also continue to enjoy unlimited free transactions at SBI ATMs under the applicable benefits, including accounts such as Shaurya Family Pension Accounts and 'SBI RISHTEY' Family Savings Accounts. The bank has confirmed that there will be no alterations to the rules regarding cardless cash withdrawal transactions from SBI ATMs/ADWMs or those of other banks, with the unlimited free cardless cash withdrawal service continuing as before. As per The Economic Times, there is no change in the charges for cardless cash withdrawal transactions at SBI ATMs/ADWMs or other banks' ATMs/ADWMs. For customers holding regular SBI savings accounts, the existing transaction rules applicable to their account category will continue to apply, with the five free transaction limit at ATMs across centres remaining applicable under the existing structure.
The changes apply to all variants of the SBI salary package accounts and are applicable across all centers, as reported by Mint, Times Bull, The Economic Times, and Goodreturns. For individuals without salary package accounts, the existing rule of five free transactions at all centers remains unchanged. Beyond these limits, charges apply at ₹23 + GST for cash withdrawals and ₹11 + GST for non-financial transactions, creating a consistent fee structure across all customer segments. The bank has confirmed that there will be no changes to the number of free monthly transactions or service charges for other types of accounts, maintaining differentiated pricing based on account categories. The revision applies to Salary Package Accounts across all variants, while for account holders other than Salary Package Accounts, the number of monthly free transactions and applicable service charges will remain unchanged. Customers should therefore confirm whether their account falls under an SBI salary package or a regular savings account, as the benefits and transaction limits may differ significantly. For salary account holders who frequently rely on ATMs operated by other banks, the revised limit makes it important to track monthly ATM usage from October onwards.
