Bank’s to pay penalty if ATM’s run out of cash

The Reserve Bank of Inda has given an instruction to all banks in India that the banks will have to pay penalty if the ATM’s run of cash and a consumer did not get money from the ATM.

All the ATM’s in the country have sensors inbuilt in them which notify the respective banks the exact amount of cash in the machines. But many banks choose not to refill many ATM’s in the rural and semi-urban areas.

The Apex bank of India come forward with this move as many complaints regarding ATM’s in rural areas running out of cash has been reported.

Around 22 lakh ATM’s are operating in India. The banks are charging service charge for using ATM cards from consumers.