ATM Transaction Costs Increase, Railway Ticket Rules Change, RRB Scheme Implemented, and 12 Bank Holidays in May 2025: Impacting Every Wallet.
Rule Change: Several significant changes came into effect across India on May 1st, 2025, directly impacting the daily lives and expenses of ordinary citizens. These changes pertain to crucial sectors such as banking, railways, milk prices, and investments. Let's understand these rules in detail.
Increased ATM Withdrawal Charges
Withdrawing cash from ATMs has become more expensive. The Reserve Bank of India (RBI), based on a proposal from the National Payments Corporation of India (NPCI), has allowed an increase in transaction fees. Withdrawing cash from a different bank's ATM now costs ₹19 per transaction instead of ₹17. Balance inquiries now cost ₹7 instead of ₹6.
Major banks like HDFC, PNB, and IndusInd Bank are now charging up to ₹23 after exceeding the transaction limit. Customers should therefore plan their cash withdrawals carefully.
Changes in Railway Ticket Booking Rules
Indian Railways has revised its ticket booking rules to improve passenger convenience and traffic control. Waiting list tickets are now only valid for general coaches. Travel on sleeper or AC coaches with a waiting list ticket is no longer permitted. Furthermore, the advance reservation period has been reduced from 120 days to 60 days.
Launch of the ‘One State-One RRB’ Scheme
The ‘One State-One RRB’ scheme was implemented in 11 states across the country on May 1st. This scheme merges all Regional Rural Banks (RRBs) within a state into a single larger bank.
This is intended to make banking services more accessible and efficient. States where this scheme has been implemented include Uttar Pradesh, Andhra Pradesh, Madhya Pradesh, and Gujarat.
Amul Increases Milk Prices
Amul increased milk prices by ₹2 per litre at the beginning of the month. These new rates came into effect on May 1st, 2025. Mother Dairy had already increased its milk prices earlier. This increase in milk prices will directly impact household budgets.
12 Bank Holidays in May
According to the RBI's bank holiday list, there will be a total of 12 bank holidays in May 2025. These holidays are based on various state festivals and local events. Individuals needing to conduct banking transactions should check the holiday list beforehand.
No Change in LPG Cylinder Prices
While several sectors experienced changes, LPG gas cylinder prices remained unchanged on May 1st. The prices of 14.2 kg domestic and 19 kg commercial cylinders have been kept stable. However, due to the RBI's repo rate reduction, some banks may lower FD interest rates in May.
