Several new rules for financial transactions pertaining to ATM withdrawals, minimum bank account balance, mutual funds and Atal Pension Yojana accounts have kicked in from this month. Let’s have a look at what it means for the bank account holders, ATM card users and others.
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 for waive off tenure ended on June 30 and now ATM withdrawals will be charged as before i.e. beyond the limit of free transactions.
Minimum bank account balance
Most banks ask for a minimum balance failing which an account holder has to pay the penalty. Amidst the COVID-19, in order to provide relief to people, Finance Minister had also announced that the minimum balance requirement fee in bank accounts will be suspended for three months ending June. The deadline for this has ended and the non-maintenance of minimum balance 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 rate at which the stamp duty will be imposed will be 0.005% on the purchase or switch-in amount but not on redemption. The new rules apply 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 Prime Minister Kisan Samman Nidhi Yojana, ₹6,000 is given to the farmers in three instalments of ₹2,000 every year. So far, five instalments have been sent to the farmers. According to the reports, the last date of registration was June 30.
