ATM Card AMC (Annual Maintenance Charge) is a maintenance fee levied by banks every year. This debit card maintenance fee varies from card issuer to issuer. The fee is decided by the bank while the cardholder has to pay this fee every year. Though most banks waive off this fee during the first annual year of card issuance, the charges are levied from second year onwards.
This blog talks about how ATM AMC are levied and the charges imposed by different banks. Read on!
What is an ATM Card AMC?
ATM AMC fee is a fee levied by banks for card maintenance. Each bank has different AMC fees and depends on the type of ATM card you use. According to banks, they charge this annual maintenance fee to cardholders as an ATM service fee. Every year, a fixed amount (decided by the bank) getsauto- deducted from the cardholder’s account on the concerned bank’s behalf.
What is the AMC Charge for an ATM Card?
The annual maintenance fee depends on the card you are using. Most banks such as SBI, HDFC, PNB and Axis Bank charge Rs. 100-150 for classic cards. Indian Bank charge Rs. 60 in suburban and rural areas and Rs. 120 in metropolitan and urban areas. ICICI Bank does not charge an annual maintenance fee for debit cards. However, for coral debit cards, the bank charges an annual fee equal to the initial fee of Rs. 499, according to the website.
ATM AMC varies from bank to bank and depends on the type of card you are using.
How to Avoid ATM Card AMC?
Here are a few tips you can consider to avoid debit card annual maintenance charges:
- Choose a card that doesn’t have AMC: Do a thorough research and get an ATM card with zero AMC. For instance, ICICI Bank doesn’t charge any annual maintenance fee for its debit cards.
- Plan your cash flow: Do not wait till you run out of cash to withdraw money from the ATM. Plan in advance, so you don’t find yourself forced to use another ATM of a different bank. While withdrawing cash, ensure withdrawing more than the amount needed. Take into account the expenses during the coming eight to ten days and withdraw accordingly.
- Prefer your own bank: Avoid using ATMs from other banks. You should only use an ATM from another bank if you do not have an ATM nearby. Some banks have mobile apps that you can use to find the nearest ATM on your smartphone.
- Have readily available emergency funds: Keep cash at home in case you run out of money due to unforeseen events. However, do not store too much cash. Instead, plan accordingly to maintain cash flow in various forms, and not only through your savings account.
How to Check AMC for Different Bank ATM Cards?
The ATM AMC charges levied for the ATM cards are available on the respective bank’s website itself. Therefore, the individual applying for a new ATM or savings account can refer to the bank’s website for more information. You can also contact your bank executive to know more about the charges.
However, in this article, we have compiled the charges for a few banks operating in India.
State Bank of India
SBI offers a free cash deposit service to the account linked to the card with a debit card. This means that customers can use their SBI debit cards to deposit cash in their bank accounts for free.
According to the SBI’s official banking website, SBI charges Rs. 22 and a GST fee per transaction for cash deposits to third party bank accounts via ATMs. SBI charges an annual maintenance fee for debit cards. For SBI’s classic debit cards, this cost is Rs. 125 plus GST. This fee is collected from the bank at the beginning of the second year. SBI charges Rs. 300 plus GST for the exchange of debit cards.
ICICI Bank doesn’t have AMC for its usual debit cards. Except the Coral Debit Card, which comes with an annual fee of Rs. 499. Other than that, ICICI Bank charges a fee of Rs. 25 to regenerate the debit card PIN.
HDFC Bank issues ATM cards to customers free of charge. According to the bank’s official website, each time you redeem or reissue your debit card, the bank levies AMC that could range from Rs.200 to Rs.750, depending on the card variant.
It’s always recommended to go through an ATM or debit card’s AMC before signing up for one. Certain premium ATM cards come with high AMCs and it’s not necessary that you shouldn’t go for cards with high maintenance fees. In the end, it’s all about your requirements and how you plan to use your ATM/debit card.
FAQs on ATM Card AMC
Q1. Does the bank charge a service fee to use the ATMs of other banks?
Ans: Since the Reserve Bank of India introduced a free ATM access policy in April 2009, there have been no service charges for transactions by other banks. However, at ATMs of other banks, banks limit the number of free transactions per month to five free transactions per month. If you complete 5 free transactions at a non-bank ATM, Rs.20 will be charged as a transaction fee for each transaction at a non-bank ATM.
Q2. What if my cash is not paid during my cash withdrawal, and the amount is deducted from my account?
Ans: If you do not receive the money from your withdrawal, but it is withdrawn from your account, you should immediately file a complaint with the bank. After the investigation, the money will be credited to your account. If this happens at an ATM at another bank, you need to follow the same steps.
Q3. What is the maximum number of days a bank needs to deposit money into an account for such false charges?
Ans: If you have not received your withdrawal yet, but have been debited from your account, you must make a complaint. The money will be deposited back within 10-15 business days as directed by RBI.