New ATM rules from April 1: Key changes by HDFC, PNB, Bandhan Bank

Some of the leading public and private sector banks have tweaked their ATM usage rules. The new rules set to be effective from April 1, 2026 primarily relate to free ATM transaction limit and daily withdrawal limit. In this article, we look at what has been revised by the different banks in respect of their ATMs.

The private sector lender is making a key shift in the way in which ATM transactions will be counted April 1, 2026 onwards. Accordingly, going forward, withdrawals done using UPI at ATMs will be treated as regular ATM withdrawals when calculating the monthly free transaction limit.

So, after the free transaction limit gets exhausted, a fee of Rs 23 plus applicable taxes per transaction would apply.

Free ATM transactions limit at HDFC Bank

How are UPI-based withdrawals at ATMs made?

UPI-based cardless ATM withdrawals are facilitated via a system called Interoperable Cardless Cash Withdrawal (ICCW). This facility allows customers to simply choose the UPI cash withdrawal option at the machine, scan the generated QR code using the app and later approve the transaction using their phone.

Punjab National Bank (PNB) ATM rule changes

The public sector lender has trimmed the daily cash withdrawal limit for select debit cards. According to the bank, the new revised limits will be effective beginning the new financial year.

The withdrawal limit has been reduced by as much as 50 per cent. For instance, on Platinum, Gold and Business cards, the daily cash withdrawal limit has been slashed from Rs 1,00,000 to Rs 50,000. Likewise, for Select and Signature debit cards, the withdrawal limit has come down to Rs 75,000 from Rs 1.5 lakh previously.

**Bandhan Bank **

Metro cities include Bengaluru, Chennai, Hyderabad, Kolkata, Mumbai, and New Delhi. Any other city except these 6 cities will be considered as non-metro.