Non Availability of Cash in ATMs Will Attract Penalty to Banks from 1st October

ATMs Will Attract Penalty to Banks

The Reserve Bank of India (RBI) has notified to start imposing penalty on banks in case the ATMs remain out-of-cash for a total period of 10 hours in a month, will attract a flat penalty of Rs 10,000 per ATM.

Whereas, in the case of White Label ATMs (WLAs), the penalty would be charged to the bank, which is meeting the cash requirement of that particular WLA. The bank, may, at its discretion, recover the penalty from the WLA operator, it added.

As, it was observed that ATM operations affected by cash-outs lead to non-availability of cash and cause avoidable inconvenience to the members of the public. Thus, it has been decided that the banks/ White Label ATM Operators (WLAOs) shall strengthen their mechanisms to monitor availability of cash in ATMs and ensure timely replenishment to avoid cash-outs.

Any non-compliance in this regard shall be viewed seriously and shall attract monetary penalty as stipulated. The Scheme will be effective from 1st October, 2021.

Click here for official notification:

Knowledge Source:

PM Narendra Modi Launches Digital Payment Solution E-RUPI

Leave a Reply

Your email address will not be published. Required fields are marked *