While withdrawing from other bank ATM, if you try to withdraw more money than available in your account, you will get a 'Insufficient balance: transaction declined' message on ATM. In such case, you will see a deduction in your bank account titled 'INSUF BAL ATM DECLINE CHARGE'. That is, they will charge you a fee ranging from Rs 10 to Rs 30 for this.

The exact charge is different depending on the bank. Here are charges for few banks based on their sites:

  • ICICI bank - Rs 25 + service tax

Decline of transaction at other bank ATMs or point of sale (POS) due to insufficient balance in the account - Rs. 25 per transaction

  • HDFC - Rs 25 + service tax

Transactions declined at other bank ATMs anywhere in the world or at a merchant outlet / websites outside India due to insufficient funds will be charged at Rs. 25 + applicable taxes per transaction

  • SBI - Rs 17 + service tax

ATM/Point of Sale (PoS) Transaction Decline due to Insufficient Balance - Rs 17 per transaction + service tax

Ways to avoid insufficient balance decline charge

To avoid this charge, here are some useful tips:

  • Try to withdraw money from your own bank ATM as much as possible
  • If you need to withdraw from other bank ATM, make sure that you only withdraw an amount less than your available balance. Typically you can find your bank balance easily by seeing the last sms sent by your bank for withdrawal or deposit.

Please note that this charge is also levied on debit card transactions done at point of sale machines (e.g., at petrol pump or a grocery shop) if the amount is more than your bank balance.

Category: finance