SBI Account Holders Alert: ₹15 + GST Cash Withdrawal Charge From October 1
SBI account holders should check what type of savings account they have before assuming that a new cash withdrawal charge will apply to everyone. State Bank of India (SBI) has announced revised cash withdrawal charges for its Basic Savings Deposit Account (BSBD) through the branch channel, effective October 1, 2026. Under the new notice, the first four cash withdrawals in a month will remain free, while every cash withdrawal beyond those four will attract a charge of ₹15 plus GST per transaction.
The important point is that this is not a blanket new charge on every SBI savings account. The notice specifically identifies the affected product as the Basic Savings Deposit Account — Branch Channel, Product Code 1011-1701.
That distinction matters because regular SBI savings accounts have a different ATM and service-charge structure.
What Is Changing From October 1, 2026?
SBI's latest service-charge notice says that, from October 1, 2026, four cash withdrawals per month will be free for the specified Basic Savings Deposit Account.
After the four free withdrawals are exhausted, the bank will charge:
First four cash withdrawals: Free
Fifth withdrawal onwards: ₹15 + GST per transaction
Effective date: October 1, 2026
Account covered: Basic Savings Deposit Account, Branch Channel
Product code: 1011-1701
If GST is charged at 18%, ₹15 would work out to ₹17.70 per additional withdrawal.
For example, if an eligible customer makes six chargeable cash withdrawals during a month, the fifth and sixth withdrawals would attract the applicable service charge.
The new rule therefore does not mean that SBI will deduct ₹15 every time customers withdraw cash. The charge starts only after the four free cash withdrawals have been used.
Who Will Be Affected?
The biggest clarification for customers is that the October change is aimed at a specific basic savings account product, rather than every SBI account holder.
SBI's own website lists Basic Savings Bank Deposit accounts as a separate savings-account category. These accounts are designed to provide basic banking facilities without a minimum-balance requirement.
The latest SBI notice specifically refers to the Basic Savings Deposit Account through the branch channel. Therefore, customers with ordinary SBI savings accounts should not automatically assume that the ₹15 charge applies to them.
This is especially important because headlines suggesting that "all SBI account holders will pay for withdrawals from October" can create unnecessary confusion.
Why Is SBI Introducing the Charge?
The change is part of SBI's periodic revision of its service-charge structure.
There is also an important piece of context: SBI has already maintained a separate four-free-withdrawal framework for BSBD accounts for some time. Its earlier service-charge documents specified four free withdrawals in a month and a ₹15-plus-GST charge for transactions beyond the free limit.
The bank has now published a specific notice making the revised branch-channel cash withdrawal charge effective from October 1, 2026.
So, for customers researching the change, it is better to describe this as a new effective-date notice for the branch-channel BSBD product, rather than suggesting that SBI is suddenly introducing a ₹15 withdrawal fee across all accounts.
What Is an SBI BSBD Account?
A Basic Savings Bank Deposit (BSBD) account is a basic savings account intended to provide essential banking services with no minimum balance requirement.
SBI's current information says BSBD accounts offer basic facilities such as cash deposits, electronic credits, a basic RuPay debit card and other banking services. SBI also states that BSBD customers are entitled to a minimum of four free withdrawals or ATM transactions each month under the applicable framework.
These accounts are particularly relevant to customers who want a basic bank account without the minimum-balance requirements associated with some traditional banking products.
What About ATM Withdrawals?
This is where SBI customers need to be particularly careful.
The October 1 notice discussed here concerns cash withdrawals under the Basic Savings Deposit Account through the branch channel. It should not be confused with the separate ATM/ADWM service-charge schedule.
SBI has a separate ATM transaction-charge framework. Its published ATM notice states that BSBD accounts have four free withdrawals and that cash withdrawals beyond the free limit can attract ₹15 plus GST per transaction. SBI also separately lists its ATM/ADWM charges and other account categories.
SBI's service-charge page, updated in August 2026, separately lists the October 1, 2026 BSBD branch-channel charge and the ATM/ADWM revision effective from December 1, 2025.
For customers, the practical lesson is simple: the account type and withdrawal channel matter.
What Should SBI Customers Do?
Before worrying about the new charge, customers should first identify whether their account is actually a BSBD account.
Check the account details in your SBI banking records, passbook or branch documentation. If you have a regular savings account, do not assume that the October BSBD branch charge automatically applies to you.
BSBD customers who frequently withdraw cash from a branch may also want to keep track of the number of withdrawals they make each month.
A simple example makes the impact clear:
Suppose a BSBD customer makes five cash withdrawals in October.
The first four withdrawals remain free. The fifth withdrawal attracts ₹15 plus GST. If the customer makes eight withdrawals, four remain free and the other four become chargeable.
That makes the fee relatively small for occasional users, but repeated cash withdrawals can gradually add to banking costs.
Digital Transactions Remain Important
The BSBD framework distinguishes cash withdrawals from several digital transactions.
SBI's current PMJDY/BSBD FAQ says digital payment transactions such as UPI, NEFT, RTGS and IMPS are not counted as withdrawals for the purpose of the minimum four free withdrawals.
That means customers who can use digital payments for everyday transactions may be able to reduce the number of cash withdrawals they make.
For example, transferring money through UPI or another eligible digital channel is fundamentally different from repeatedly visiting a branch to withdraw cash.
However, customers should always check the specific terms applicable to their account before assuming that every transaction is exempt from charges.
The Bigger Takeaway for SBI Customers
The headline may sound alarming, but the actual change is narrower than it first appears.
SBI is not imposing a ₹15 charge on every cash withdrawal by every account holder from October 2026. The latest official notice covers the Basic Savings Deposit Account through the branch channel, where four cash withdrawals per month remain free and subsequent cash withdrawals will cost ₹15 plus GST each from October 1, 2026.
For regular SBI savings-account customers, the applicable ATM and branch charges remain governed by their respective account and transaction rules.
The most important step, therefore, is to identify your SBI account type rather than relying on viral headlines.
Conclusion
SBI has announced a ₹15 plus GST charge on cash withdrawals beyond four free withdrawals per month for its Basic Savings Deposit Account through the branch channel, effective October 1, 2026. The change applies to the specified BSBD product and should not be interpreted as a new universal withdrawal fee for all SBI customers.
Customers who frequently use cash should monitor their monthly withdrawals, while those using regular savings accounts should check the separate service-charge schedule applicable to their account.
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This article is for informational and educational purposes only and should not be considered investment advice
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