The Reserve Bank of India (RBI) has issued an important order to make withdrawing money from ATM more convenient. Now banks and white label ATM operators will have to ensure that ₹ 100 or ₹ 200 notes are regularly available in at least one cassette in their ATM. This step will prove to be a great relief for the general public as it will make it easier to withdraw money in small notes and increase convenience in everyday transactions.
Mandatory small notes in ATM
According to RBI’s monthly bulletin, by March 2025, about 2.20 lakh bank ATMs and 36 thousand white label ATMs are operational in the country. All these ATMs have four cassettes, out of which the instruction to keep ₹ 100 or ₹ 200 notes in at least one cassette has now been made mandatory. Earlier, people often used to get notes of large denominations from ATMs, due to which there was a shortage of small notes.
By when will this have to be followed?
The Reserve Bank has set a target to implement this system in 75% of ATMs by 30 September 2025. After this, by 31 March 2026, 90% of ATMs will have to provide ₹ 100 or ₹ 200 notes in at least one cassette. 500 rupee notes will also continue with this system, so that the diversity of notes will be maintained.
What will be the benefit for the general public?
Banking experts believe that this step will make cash transactions simple and quick. With the availability of small notes, people will be able to easily withdraw money even for small expenses, especially in those areas where the expansion of digital payments is still limited. Also, this will reduce the hassle of changing notes.
