Embrace yourself for a little dent in the pocket starting May 1, 2025. Several big changes will come into effect that could directly impact your wallet. These changes include day-to-day essentials like ATM withdrawal charges, railway ticket bookings, updates in LPG gas prices, rural banking, and interest rates.
1. Increase in ATM withdrawal Charges
The RBI has announced that customers will now have to pay a bit more for cash withdrawals from ATMs. The fee, earlier ₹21, will increase to ₹23 starting May 1, 2025. The RBI and NPCI (National Payments Corporation of India) have jointly decided on this reform. In metro cities, three ATM withdrawals per month will still be free, but beyond that, the new charges will apply automatically from your bank account.
2. Impact on LPG Gas prices
Every month, gas companies revise the prices of domestic, commercial, and industrial gas. On May 1, you can expect either an increase or a decrease in prices (uncertain at the moment). For the record, in April, the government had already hiked cylinder prices by approximately ₹50. Therefore, we have yet to see in which direction the change will go.
3. Changes in FD and Savings Account Interest Rates
The RBI has revised the repo rate twice this year already, leading many government and private banks to adjust their fixed deposit (FD) and loan interest rates. It is certain that we will observe more repo rate changes in the upcoming months, and it is expected to affect your savings and lending.
4. Major shift in Rural Banking
To streamline rural banking, the Indian government is all set to implement the ‘One State, One Regional Rural Bank’ scheme, which will merge all rural banks within a state into a single, larger entity. Initially, this transition will take place in 11 states, including West Bengal, Andhra Pradesh, Uttar Pradesh, Bihar, Jammu & Kashmir, Karnataka, Gujarat, Madhya Pradesh, Odisha, and Rajasthan.
5. Big change in railway ticket booking
From May 1, a major change will occur in railway bookings. Passengers holding a waiting list ticket will no longer be allowed to board sleeper and AC coaches (it is a shocker, of course, but rules are rules). Only confirmed ticket holders will be permitted to travel.