After ATM fees, SBI increases IMPS transfer charges: Check new rates

Lender will end free high-value online IMPS transfers from Feb 15, as it recalibrates service pricing amid rising operational costs

State Bank of India (SBI) has increased charges for certain Immediate Payment Service (IMPS) transfers, announcing the step after raising ATM transaction fees on January 12. The revised IMPS charges will be effective from February 15, according to the latest rate chart published on the bank’s website.

 

IMPS is used for instant fund transfers, particularly for payments outside Unified Payments Interface limits or when UPI services face disruption. High-value IMPS transactions through online channels will attract higher charges.

What has changed in IMPS charges

SBI has introduced fresh charges for online IMPS transactions above Rs 25,000, a category that was earlier free. IMPS transfers at bank branches remain free.

 

 

Under the revised structure:

• Up to Rs 10,000: IMPS transfers remain free across online and branch channels.
• Above Rs 10,000 and up to Rs 25,000: No change; online transfers remain free, while branch transfers continue to cost Rs 4 plus GST.
• Above Rs 25,000 and up to Rs 1 lakh: Online transfers will now cost Rs 2 plus GST, compared with free service earlier.
• Above Rs 1 lakh and up to Rs 2 lakh: Charges rise to Rs 6 plus GST for online transfers.
• Above Rs 2 lakh and up to Rs 5 lakh: Customers will pay Rs 10 plus GST online.

Branch-channel charges for these slabs remain unchanged, ranging from Rs 4 to Rs 20 plus GST, depending on the transfer amount.

Who is exempt from the hike

SBI said that IMPS will continue to be free for several salary and special account categories. These include defence salary package, central government salary package, pension salary package, railways salary package, and Shaurya Family Pension Accounts. Select institutional and family-linked savings accounts are also exempt.

Why this matters

The IMPS revision follows SBI’s recent hike in ATM transaction charges, which was attributed to higher interchange fees paid to other banks. Together, these changes indicate a broader recalibration of transaction pricing by the country’s largest lender amid rising operational costs.

 

While UPI remains free and widely accepted, IMPS is still used for higher-value transfers and time-sensitive payments. For customers who regularly transfer large sums via IMPS, the new charges could modestly increase monthly banking costs.