As the calendar flips to May 2025, a wave of major financial and policy changes is sweeping across India. These updates touch nearly every aspect of daily life-from how you bank and travel to how you save and file taxes. Here’s a crisp rundown of the most significant changes and how they may affect your finances and routines.
Banking & ATM Rules Get a Makeover
- The cost for ATM withdrawals after your free quota has gone up. Now, each extra transaction at another bank’s ATM will set you back ₹23, with GST added on top.
- You still get five free transactions per month at your own bank’s ATMs. At other banks, the free limit is three in metro cities and five in non-metro locations.
Major Rural Bank Merger for Streamlined Services
- Fifteen regional rural banks are merging across 11 states, reducing the total number from 43 to 28.
- Over 22,000 branches in 700 districts are part of this consolidation, aiming to boost efficiency and improve rural banking services.
Railway Ticketing Rules Tightened
- If you’re holding a waitlisted ticket, you can no longer board AC or sleeper coaches. Only general coaches are open for waitlisted passengers.
- The advance booking window for train tickets is now 60 days, down from 120 days.
- Refunds on cancellations must be claimed within two days, making timely action more important than ever.
Tax Filing Simplified for Small Investors
- New income tax return (ITR) forms have been rolled out. Taxpayers with long-term capital gains up to ₹1.25 lakh can now use the simpler ITR-1 form.
- This move aims to make compliance easier for small investors and salaried individuals.
Updated ATM Interchange Fees
- The National Payments Corporation of India (NPCI) and RBI have revised interchange fees: ₹19 for financial transactions and ₹7 for non-financial ones, effective immediately, with GST applicable.
Why These Changes Matter
These new rules are poised to influence how you access money, plan travel, manage savings, and file taxes. Staying informed will help you avoid extra charges, make the most of new benefits, and keep your financial life running smoothly. As always, reviewing your habits and updating your plans in line with these changes is the best way to stay ahead.
