5 new rules for bank account holders, ATM card users, others from this month

Finance minister Nirmala Sitharaman had relaxed rules relating to minimum balance requirement and ATM withdrawal charges till June

5 new rules for bank account holders, ATM card users, others from this month

NEW DELHI : From this month, several new rules for financial transactions relating to ATM withdrawals, minimum bank account balance, mutual funds and Atal Pension Yojana accounts have kicked in.

ATM withdrawal charges:

Amid the situation arising out of the spread of Covid-19, finance minister Nirmala Sitharaman had in March announced that ATM charges will be waived off for all ATM transactions for three months. The deadline ended June 30 and now ATM withdrawals will be charged as before, beyond the limit of free transactions.

Minimum bank account balance:

Sitharaman had also announced that the minimum balance requirement fee in bank accounts will be suspended for three months ending June. Most banks demand a minimum balance requirement from an account holder and non-maintenance can attract a penalty from this month.

Atal Pension Yojana accounts:

In April, the Pension Fund Regulatory and Development Authority had directed banks to stop the auto debit of Atal Pension Yojana (APY) till June 30. Auto debit for APY contributions shall now resume from month but no penal interest will be charged if APY contributions from April, 2020 to August, 2020 are regularised before September 30, 2020.

Stamp duty on mutual funds:

Mutual fund investors, including those taking the Systematic Investment Plan (SIP) and Systematic Transfer Plan (STP) route, will not have to pay stamp duty charges from this month. The stamp duty will be imposed at the rate of 0.005% on purchase or switch-in amount but not on redemption. The new rules applies to all mutual funds—debt as well as equity. The imposition of stamp duty will affect holdings of 90 days and less.

Registration in Kisan Samman Nidhi

Under the Prime Minister Kisan Samman Nidhi Yojana, 6,000 is given to the farmers in three installments of 2,000 every year. So far, five installments have been sent to the farmers. The last date of registration was June 30, according to reports.