State Bank of India Raises Cash Withdrawal Fees for Basic Accounts

The State Bank of India will implement a revised cash withdrawal fee structure for Basic Savings Bank Deposit Accounts starting October 1, 2026. The update creates a uniform regime across all account holders, including senior citizens and those who opened accounts through branch banking channels.

Under the new rules, customers are permitted four free cash withdrawals per month across SBI ATMs, other banks' ATMs, and branch channels. Transactions exceeding this limit will incur a fee of ₹15 plus GST, an increase from the previous ₹8 fee. The bank also removed the previous exclusion for Aadhaar Enabled Payment System transactions, which will now count toward the monthly free limit. The bank stated that these changes aim to plug fee income leakages and encourage digital banking habits.

Separately, the bank reduced interest rates on domestic bulk term deposits of ₹3 crore and above, effective August 15, 2026. Rates for tenures between seven and 179 days decreased by 25 basis points, while rates for 180 to 210 days fell by 10 basis points. Additionally, the bank introduced a 1 percent penalty on the premature withdrawal of bulk deposits across all tenures.