Rules Changing From May 1: Several significant changes directly affecting the average person have taken effect as the month has begun. Since May 1, numerous regulations have been changed, ranging from fixed deposit interest rates to LPG cylinder prices, ATM withdrawal fees, and railway ticket booking procedures. Key organisations like the Reserve Bank of India (RBI) and Indian Railways have implemented these changes to promote economic adjustment, digital efficiency, and systemic clarity.

ATM Withdrawal Becomes Costly

Since May 1, the cost of making an ATM withdrawal has increased. After the limit of free transactions was exceeded, the Reserve Bank raised the fees. Customers used to pay Rs 21 for each withdrawal over the free limit. The current price is Rs 23. Customers are usually permitted to withdraw five free ATM withdrawals per month from their bank and three from other banks in metropolitan areas (or five in non-metros). The rising expense of running an ATM is the reason for the increase.

New Rule For Rail Ticket Booking

The Indian Railways ticket booking system has been redesigned. Sleeper and AC coach waiting list tickets will no longer be available as of May 1. Passengers with waiting tickets can only travel on general coaches. Furthermore, the 120-day reservation period has been shortened to 60 days. The new policy framework may also result in higher fare and refund fees. It is anticipated that the action will resolve overbooking concerns and enhance the traveler experience.

LPG Cylinders Are A Little Less Expensive

The cost of commercial LPG cylinders has decreased in many cities, which is a slight but significant change. A 19-kg commercial cylinder used to cost Rs 1868.50 in Kolkata, but now it costs Rs 1851.50. The price in Mumbai has decreased from Rs 1713.50 to Rs 1699. The cylinder will now cost Rs 1906.50 in Delhi rather than Rs 1921.50. Businesses and commercial users who depend on LPG benefit somewhat from the slight difference.

Adjusted Interest Rates for Savings and FD

Additionally, interest rates on savings accounts and fixed deposits are being changed. Many banks have begun lowering interest rates since the Reserve Bank of India lowered the repo rate in its most recent bi-monthly monetary policy review. This decrease impacts not only loans but also savings accounts and deposit plans, and additional rate reductions may be forthcoming.

Pravah Portal Becomes Mandatory

The RBI has mandated that all banks, NBFCS, and other regulated financial entities use the Pravah portal in an attempt to streamline regulatory processes. Applications for licenses, authorisations, and approvals must be made solely via the Pravah portal using the appropriate digital forms as of May 1. It is anticipated that this will improve regulatory filing efficiency and transparency.

Bank Mergers

In the meantime, rural banking has undergone a significant structural change. Eleven states, including Andhra Pradesh, Uttar Pradesh, West Bengal, Bihar, Gujarat, Jammu and Kashmir, Karnataka, Madhya Pradesh, Maharashtra, Odisha, and Rajasthan, have implemented the "One State, One Regional Rural Bank" policy as of May 1. To improve service delivery and streamline operations, several regional rural banks in a single state have merged under this plan.

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