New rules for ATMs, UPI, NPS, and LPG: 5 big October 2026 money changes to impact your finances and banking
Starting October 1, new financial rules affect payments, savings, and budgeting. UPI MDR charges commence on October 15 for certain transactions. SBI alters BSBD account fees and KYC becomes mandatory for LPG consumers.
From October 1, several financial rules and changes—including NPS charges, LPG KYC requirements, SBI ATM withdrawal fees and bulk deposit norms—have come into effect, while UPI MDR charges will kick in from October 15. These changes could affect your everyday payments, savings, retirement planning and household budget. Here’s a look at what’s changing this month.
UPI MDR charges come into effect from 15 October
From 15 October, a 0.4 per cent MDR will apply to person-to-merchant UPI payments above ₹2,000. The charge will be paid by merchants, not consumers, and will be capped at ₹300 for transactions of ₹75,000 or more. Payments between individuals, as well as the vast majority of everyday merchant payments, will remain free.
Essential services, such as railways, telecom, fuel and insurance, will attract a flat ₹5 fee per transaction above ₹2,000. Capital markets transactions (mutual funds, stockbroking) get a lower 0.02 per cent rate, also capped at ₹300.
SBI ATM rule changes
State Bank of India (SBI) has revised its service charges for customers who hold Basic Savings Bank Deposit (BSBD) accounts. The new rules will apply from October 1, 2026.
Under the new rules, BSBD account holders will continue to have a total of four free cash withdrawals per month. Following this, the bank will charge ₹15 plus GST for each additional cash withdrawal. However, digital transactions are completely free.
The four free withdrawals cover cash withdrawals through SBI and other bank ATMs, branch channels, etc.
LPG KYC becomes mandatory
KYC becomes mandatory for all LPG consumers from 1 October for booking efills at the regulated retail selling price
However, if you haven't completed your KYC yet, that doesn't mean you will be left without LPG. You will still be able to obtain LPG but at the applicable market price, without the subsidy, subject to the conditions set by oil marketing companies (OMCs).
NPS charges for subscribers
National Pension System (NPS) subscribers will see a revised Point of Presence (PoP) charge structure from 1 October 2026.
PFRDA has set a one-time onboarding fee of ₹200 for every Permanent Retirement Account Number (PRAN) opened through a Point of Presence (PoP). Subscribers will also be charged an annual fee of 0.20% of their assets under management (AUM), except for accounts classified as dormant.
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Bulk FD deposits rule changes from 1 October
The Reserve Bank of India’s revised framework for bulk deposits will come into effect on 1 October.
The new rules specify that from October 1, all banks will have to publish the interest rates applicable to bulk deposits of ₹3 crore or more on their websites every business day. Also, they will have to maintain a fixed interest rate for a given deposit amount across all branches
However, they can continue to set different rates for different bulk-deposit slabs.
The new rule does not impact retail investors.
About the Author
Sanchari Ghosh is an Assistant Editor at Mint with over 12 years of experience in journalism, specialising in personal finance, DLT & DeFi, geopolitics and foreign policy, with a particular emphasis on how these areas intersect. <br> She writes extensively about how money works in everyday life—helping readers navigate personal finance decisions. <br> As AI reshapes investing behaviour, capital is increasingly flowing into decentralized ecosystems, redefining how assets are managed, traded, and valued. She focuses on explaining how money flows within frameworks like Distributed Ledger Technology (DLT), DeFi protocols, and crypto markets—while also exploring what the future of money could look like in a trustless, programmable financial world. <br> She also focuses on immigration-related issues, simplifying complex topics around visas, passports, overseas financial planning, and the many practical challenges Indians face while moving or living abroad. <br> Alongside personal finance, Sanchari has a strong understanding of international politics, contemporary and historical conflicts, and global state decisions. She closely tracks how geopolitical developments influence economies, markets, and individual financial choices, bringing together finance and global affairs in her reporting. <br> She began her career as a desk editor, which gave her a strong foundation in news writing. Over time, her interest naturally shifted toward personal finance. Before joining Mint in 2020, she worked DNA, The Times of India, Outlook Money, BloombergQuint, and ETMoney. At Mint, she got an opportunity to expand her coverage to include immigration and geopolitical developments while continuing to closely follow personal finance trends and market movements.As a journalist, she is committed to accuracy, intellectual rigour, and fairness. <br> She is an English Major and her work took her across cities including Delhi, Mumbai, and Pune. Living independently from an early age gave her firsthand experience in managing life and money on her own. This practical exposure sparked her strong interest in personal finance. <br> Outside the newsroom, Sanchari is a sports enthusiast who regularly plays lawn tennis and squash. In her younger years, she was also a national-level badminton player.
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