Reserve Bank of India has asked banks not to count failed transactions at ATMs due to technical reasons as part of “free ATM transactions” permitted every month.
Use of ATMs for balance enquiry and fund transfers too should not be part of the free transactions facility given to a customer. Banks provide certain number of free transactions at ATMs to their customers and beyond that impose charges.
The RBI clarified that transactions which fail on account of technical reasons, non-availability of cash, and any other reason attributable to the bank should not be counted as valid ATM transactions for the customer. It said, consequently, no charges will be levied.
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