SBI cuts daily ATM cash withdrawal limit to Rs 20,000

New Delhi, Oct 1: The country's largest lender, State Bank of India (SBI), has lowered the ATM cash withdrawal limit on its Classic Debit Card to Rs 20,000 a day, from Rs 40,000. The lower limit will be effective from October 31. This is an attempt to address the growing incidence of ATM frauds and boost digital transactions.

"Daily cash withdrawal limits for Classic and Maestro debit cards reduced from Rs 40,000 to Rs 20,000 per day with effect from 31 October 2018," SBI said on its website.

"In view of the increase in the number of complaints received by banks around fraudulent transactions at ATMs and to encourage digital and cashless transactions, it has been decided to decrease the cash withdrawal limits of debit cards issued or being issued on 'Classic' and 'Maestro' platforms," said a bank communique sent out to its offices.

SBI has been urging its account holders who still have magstripe ATM-cum-debit cards to change to new EMV chip debit cards by the end of this year.

For card replacement, SBI ATM-cum-debit card-holders can visit their home branch or apply online through internet banking. The conversion process is absolutely safe and comes with no charges. Earlier, SBI had removed the limit on the amount that can be deposited in a non-home branch.