V G Kannan head of RBI committee to review ATM charges

The Reserve Bank of India (RBI) has constituted a high-level committee under IBA Chief Executive V G Kannan to examine ATM charges and fees by banks amid demands for reviewing the levies. The use of Automated Teller Machines (ATMs) has been growing significantly and there have been persistent demands to change ATM charges and fees. The 6-member panel will review the existing structures and patterns of costs, charges and interchange fees for ATM transactions. The committee will also review the overall patterns of usage of ATMs by cardholders and assess the impact, if any, on charges and interchange fees. Besides, it will assess the entire gamut of costs in respect of the ATM ecosystem and make recommendations on the optimal charge/interchange fee structure and pattern. The committee will submit its report within two months from the date of its first meeting.