Find Out ATM Cash Withdrawal Limit

• The cash withdrawal limit varies depending on the transaction type. For instance, a self-cheque withdrawal limit is different from ATM withdrawal limits.
• Withdrawal limits encourage savings and you can potentially earn interest on your money by keeping it in your account rather than simply withdrawing it.
• If you anticipate a need for funds beyond the withdrawal limits, explore temporary or alternative arrangements with your bank.

Imagine this - you usually go to an ATM (Automated Teller Machine) to withdraw money and enter the desired amount on the keypad. However, in this instance, you get a message that the entered amount exceeds your withdrawal limit.Wondering why this happened? Well, banks set a certain withdrawal limit and being aware of these limits helps you plan your withdrawals and avoid such inconveniences. In this blog, we decode the cash withdrawal limit to help you manage your withdrawals effectively.

The cash withdrawal limit on your savings accounts serves multiple purposes, including security. If fraudsters get access to your account, they would want to transfer all your hard-earned savings into their account, leaving you with no money. Thanks to the withdrawal limit, they can only withdraw up to a certain amount.A cash withdrawal limit also encourages you to save. Instead of taking out money, you can potentially earn more interest by keeping it in your account. Additionally, such withdrawal limits help banks maintain liquidity.

The cash withdrawal limit varies depending on the transaction type. For instance, a self-cheque withdrawal limit is different from ATM withdrawal limits. Let’s understand these limits one by one:

Self-Cheque Withdrawal Limit

Self-cheque withdrawal limit indicates the maximum amount of money you can withdraw from your savings account using a self-cheque.Banks usually set a self-cheque withdrawal limit of ₹1-2 lakh per day. You should check with your bank the limit applicable in your case. It is important to check this limit in advance to avoid inconveniences when you want to withdraw large sums from your account.Thus, plan your withdrawals within the self-cheque withdrawal limit to ensure seamless access to your funds.

ATM Withdrawal Limit

After learning about the self-cheque withdrawal limit, let’s move to the next type, i.e. ATM withdrawal Limit.The amount of money that you can withdraw from an ATM depends on your account and varies from bank to bank. For example, some banks may cap your daily withdrawals to ₹25,000. Thus, you should always check the withdrawal limit with your bank at the time of getting the card itself. Also Read: Credit Card Cash Withdrawal: Limits, Charges & Interest Rates

The cash withdrawal limit depends on several factors. Let’s delve deeper:

Type of Account

The cash withdrawal limit depends on your account type. Typically, the withdrawal limit is lower in the case of basic savings accounts. Whereas, if you hold a privileged savings account, you can expect the withdrawal limit to be higher.Before opening a savings account, talk to your bank to understand the eligibility and key account features. Knowing these along with the cash withdrawal limit helps make an informed account-opening decision.

Branch and Non-Branch Transactions

Another important factor determining your cash withdrawal limit is the branch from where you are withdrawing.What usually happens is, banks allow a higher withdrawal if you withdraw funds from your home branch. On the other, if you withdraw funds from a branch other than your home branch, the withdrawal limits are normally on the lower side.

You should manage your withdrawal limits, including your self-cheque withdrawal limit effectively to ensure a smooth banking experience. Here's how:

Familiarise Yourself with the Account Features

Even before you decide to open a specific savings account , fully understand its features. This will help you make an informed decision and abide by the relevant conditions, including the cash withdrawal limit.

Explore Alternative Modes

If a particular transaction surpasses the applicable withdrawal limits, explore other modes, such as cheque payments, digital wallets, etc. However, make sure to meet the applicable guidelines.

Reach Out to Your Bank

If you anticipate a need for funds beyond the self-cheque withdrawal limit, reach out to your bank to explore temporary or alternative arrangements.

Knowing the cash withdrawal limit helps plan your financial transactions effectively. Trying to withdraw over the set limits normally results in transaction delays or failures. To avoid such unpleasant experiences, consider using a credit card .Apart from offering you interest-free credit for a certain period, a credit card offers reward points and other benefits. Thus, credit cards go beyond avoiding the withdrawal limits and make your purchases rewarding. Also Read: Savings Account: Meaning, Types, Benefits & How to Apply