New rules from October: SBI ATM charges, bulk FD rates, fee on UPI, Aadhaar verification for LPG subsidy, and more
October brings changes affecting ATM use, large deposits, digital payments, pensions and cooking gas subsidies. Most start on 1 October while the UPI change starts on 15 October.
SBI ATM charges
SBI’s ‘salary package’ customers will get fewer free transactions at other banks’ ATMs. Their monthly allowance falls from 10 to 5 across all locations. Both cash withdrawals and services such as balance enquiries count towards this limit.
Afterwards, each cash withdrawal costs ₹23 plus GST. Each non-financial transaction costs ₹11 plus GST. These come into effect on 1 October.
Salary package customers continue enjoying unlimited free transactions at SBI’s own ATMs. Rules for other account categories remain unchanged.
Bulk fixed deposits
Banks must publish bulk fixed deposit (FD) interest rates online by 10 AM every working day. A grace period allows updates until 10:10 AM. The new requirements start on 1 October.
Similar bulk deposits booked on the same day generally receive consistent rates across branches. However, differences are allowed depending on how deposits are treated under banking liquidity rules. These rules concern banks’ ability to meet cash needs.
For scheduled commercial banks, bulk deposits generally start at ₹3 crore. Limits differ for some bank categories. Existing interest rates on ordinary retail deposits will not automatically change.
MDR on UPI
UPI merchant payments above ₹2,000 will attract a Merchant Discount Rate (MDR) from 15 October. Payments up to ₹2,000 remain free. Transactions covered by the zero-MDR arrangement for small traders also remain free.
According to the government, around 96% of payments to merchants will remain unaffected. Applicable charges depend on the merchant’s business category.
LPG subsidy verification
From 1 October, households must complete biometric Aadhaar verification to continue receiving the LPG subsidy. They can visit their gas agency or use the required mobile applications. Delivery staff can also complete verification during cylinder delivery.
Without verification, households lose access to subsidised 14.2 kg refills. They may receive 5 kg or 10 kg cylinders, depending on availability.
These smaller cylinders will cost market prices without subsidy. Booking at regulated prices, with applicable subsidy, resumes after verification. The exercise aims to remove duplicate connections and prevent misuse.
NPS joining fee
Revised charges for the National Pension System and NPS Lite apply from 1 October. Subscribers who register through service providers called Points of Presence incur a new joining charge. The charge is ₹200 for each Permanent Retirement Account Number (PRAN).
