SBI Rule Change: State Bank of India (SBI) is set to implement major rule changes starting October 1. If you hold an account with SBI, this is significant news for you; SBI users should read this update immediately. Starting next month, withdrawing cash from ATMs could become costlier for SBI users.

The country’s largest bank is altering rules regarding ATMs and cash withdrawals for its customers effective October 1, 2026. These new rules will impact customers holding SBI Salary Package Accounts and Basic Savings Bank Deposit Accounts (BSBDA). If you have an SBI account, you should familiarise yourself with the new charges and the limits on free transactions.

 

ATM Rules for Salary Account Holders
SBI has announced changes to the number of free transactions allowed at other banks’ ATMs and ADWMs (Automated Deposit-cum-Withdrawal Machines) for salary account holders. From October 1, 2026, a total of only five free transactions per month will be permitted at other banks’ ATMs/ADWMs using an SBI debit card. This limit applies across all locations and encompasses both financial and non-financial transactions.

Which Accounts Will Be Affected?
Specifically, starting October 1, SBI customers will be charged ₹15 plus applicable GST for every cash withdrawal exceeding the monthly limit of four free withdrawals. This charge applies to Basic Savings Bank Deposit Accounts (BSBDA) opened at bank branches.

Charge of ₹15 to Apply
According to SBI, customers will continue to enjoy the facility of four free cash withdrawals per month. Once this limit is exhausted, a charge of ₹15 plus applicable GST will be levied for each additional cash withdrawal. SBI announced this change via a public notice and shared the information on X (formerly Twitter). While charges will apply for cash withdrawals exceeding the monthly free limit, there is a silver lining: digital transactions will remain free, with no restrictions on the number of transactions.

Changes to Other Transactions
Modifications have also been made to the procedures for Aadhaar-Enabled Payment System (AePS) transactions. Previously, AePS transactions were classified as digital transactions and were not counted towards the limit of four free monthly cash withdrawals.

Changes in Fixed Deposit Interest Rates
In August, SBI also revised the interest rates for domestic bulk fixed deposits of ₹3 crore and above. The new rates came into effect on August 15.