What is the ATM Withdrawal Limit?

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Automated teller machines (ATMs) have become indispensable in our lives, offering unparalleled convenience for accessing funds from our bank accounts anytime, anywhere. However, despite their convenience, they come with limitations, notably ATM withdrawal limits.

Why Do Banks Have ATM Withdrawal Limits?

Banks, including Kotak, set ATM withdrawal limits to safeguard the security and stability of the financial system. These limits serve as protective measures for account holders and the bank, reducing risks associated with fraud, theft, and financial instability. Here's a closer look at why banks have ATM withdrawal limits:

Security Measures: ATM limit per day safeguards against fraudulent activities such as card skimming, where unauthorised individuals steal card information to make illegal withdrawals. By setting limits on the amount that can be withdrawn in a single transaction or within a specified time frame, banks reduce the potential financial loss in case a card is compromised.
Risk Management: Banks manage their liquidity and operational risks by setting withdrawal limits. Allowing unlimited withdrawals could strain the bank's cash reserves, especially during periods of high demand. By setting limits, banks ensure they maintain sufficient cash on hand to meet the needs of all customers while minimising the risk of liquidity shortages.
Prevention of Money Laundering and Illegal Activities: ATM limit per day helps prevent money laundering and other unlawful financial activities. Limiting the amount that can be withdrawn in a single transaction or within a certain period makes it more difficult for individuals to move large sums of money anonymously. This makes it easier for banks and regulatory authorities to track and monitor suspicious transactions.
Customer Protection: ATM withdrawal limits protect customers from potential losses if their cards are lost or stolen. If there were no limits, thieves could drain a victim's account in a single transaction. By restricting the amount that can be withdrawn, banks limit the financial impact of unauthorised transactions and provide a layer of protection to their customers.
Regulatory Compliance: Financial regulators, such as the Reserve Bank of India (RBI), in the case of Indian banks, often mandate certain ATM withdrawal limits as part of their oversight responsibilities. Banks have to comply with these regulations to ensure the stability and integrity of the financial system. Failure to adhere to these limits could result in regulatory penalties or sanctions.
Encouraging Responsible Spending: ATM withdrawal limits also promote responsible financial behaviour among account holders. Banks limit cash withdrawals to encourage careful spending habits and promote the use of alternative payment methods like debit or credit cards for larger transactions.

Thus, cash withdrawal limits are a crucial component of the banking system. They protect both banks and customers from various risks and ensure smooth financial transactions. By implementing these limits, banks strike a balance between convenience and security, enhancing overall confidence in the banking system.

How Much Can You Withdraw From an ATM Each Day?

When it comes to accessing your funds conveniently, Kotak Mahindra Bank's Easy Pay Debit Card offers flexibility with a daily ATM cash withdrawal limit:

Domestic Withdrawal Limit: You can withdraw up to Rs 25,000 per day from ATMs within India.
Purchase Limit: Enjoy a daily limit of Rs 50,000 for business transactions.
Insurance Coverage: Rest assured with insurance coverage, including a Lost Card Liability and Purchase Protection limit of up to Rs 50,000 each, safeguarding your transactions.
Transaction Alerts: After every transaction, you will receive instant alerts sent to your registered mobile number, ensuring the security of your card usage.

With these features, managing your business expenses becomes seamless and secure, empowering you to focus on your business growth.

How Much Money Can You Withdraw From an ATM at One Time?

When it comes to ATM withdrawals, the amount you can withdraw at one time varies based on your account type and the card you hold:

Within India Limits:

Daily ATM withdrawal limit: Rs 25,000 for regular accounts.

For Kotak Edge, Pro, and Ace accounts: Rs 1,00,000.

International Transactions:

Easy Pay Debit Card: Not enabled for international transactions.

Kotak Edge, Pro, and Ace Debit Cards: The same limit applies for international withdrawals as domestic, i.e., Rs 1,00,000.

Ensure you know your account's specific limits to plan your withdrawals accordingly, whether for domestic or international use.

The alternatives mentioned below can offer flexibility when faced with ATM withdrawal limits, ensuring you have access to cash when necessary.

Visit a Branch: If you exceed your ATM withdrawal limit, visit the Kotak Bank branch and fill out the withdrawal form to withdraw cash from your account.
Cashing a Cheque: Write a cheque to ‘self’ and cash it at the Kotak Bank branch when you exceed your ATM withdrawal limit to get the required cash.

How To Increase ATM Withdrawal Limits?

Here's how you can increase your withdrawal limits with your Kotak Debit Card:

Contact Customer Support: Call Kotak Customer Contact Centre at 1860 266 2666 to adjust ATM withdrawal limits to the default thresholds.
Visit Nearest Branch: If your limit exceeds the default settings, you must visit your nearest Kotak Mahindra bank branch.

Lastly, if you have a higher limit on your Kotak Debit Card, use it wisely to ensure security and prevent unauthorised access to your funds.

Read Also : Cash Deposit Limit in Savings Account

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FAQs About ATM Withdrawal Limit

How much amount can we withdraw from an ATM per day?

The maximum amount that can be withdrawn from an ATM per day varies depending on the type of account. For Kotak Edge, Pro, and Ace accounts, the limit is Rs 1,00,000. However, for Easy Pay accounts, the limit is Rs 25,000.

How much money can be withdrawn from an ATM?

With Kotak Edge, Pro, and Ace accounts, customers can withdraw up to Rs 1,00,000 per day from an ATM. The daily withdrawal limit for Easy Pay accounts is Rs 25,000.

Can I withdraw Rs 50,000 from an ATM in a day?

Yes, you can withdraw Rs. 50,000 from an ATM in a day with certain debit card types, such as Kotak Edge, Kotak Pro, and Kotak Ace. However, this limit applies to transactions within India.

How to withdraw a large amount of cash?

To withdraw a large amount of cash, visit the Kotak Bank branch and request a withdrawal. Alternatively, if you have time, you can withdraw from ATMs over several days, adhering to the daily withdrawal limit set by your account type.

How to check withdrawal limits?

You can check your withdrawal limits by referring to the terms and conditions provided by Kotak Bank or by contacting customer service. Additionally, you can check your account balance and recent transactions through Kotak online banking or mobile banking app.

How many ATM transactions are free?

Usually, banks allow five free transactions every month. You can check this information in your account opening form or by contacting Kotak Bank's customer service.