3rd party ATM withdrawals to be capped from Oct 2009

Indian Banks’ Association, which is the industry lobby of Indian banks, has sent a circular to its 150 member banks directing them to implement the decisions from mid-October, a source close to the development said. “IBA has sent a circular to all banks asking them to implement these decisions on third party ATM transactions from October 15,” the source said.

Early this month, the Reserve Bank had put a Rs 10,000 cap per withdrawal from ATMs not owned by the bank in which the customer has an account, besides limiting such transactions to five in a month. The apex bank had sent a communication in this regard to Indian Banks’ Association (IBA).