5 money changes in Oct: Bulk FD rates, UPI MDR, SBI ATM limit cut, LPG KYC & more

Several rules covering banking, payments and personal finance are scheduled to change from October 2026. 

October brings several changes to your financial life, with some transactions set to get costlier. Several rules covering banking, payments and personal finance are scheduled to change from October 2026.The changes include a reduction in the number of free ATM transactions for certain State Bank of India (SBI) salary account customers, new disclosure norms for interest rates on bulk fixed deposits (FDs), revised charges under the National Pension System (NPS) and mandatory Aadhaar authentication for receiving LPG subsidies. Rules governing Unified Payments Interface (UPI) merchant transactions above Rs 2,000 are also set to be revised in October.Let’s take a look:

SBI ATM rules change

SBI is changing the monthly free transaction limit for salary package account holders who use their SBI debit cards at ATMs and Automated Deposit cum Withdrawal Machines (ADWMs) operated by other banks.The new rules will take effect from October 1, 2026.Also Read | Rs 1.54 lakh crore and counting: Why PPF, Sukanya Samriddhi and senior-citizen schemes keep attracting Indians; FY27 target of Rs 3.59 lakh crore set to be beatenFor all SBI salary package account variants, the number of free transactions allowed at other banks' ATMs will be cut from 10 to five each month, irrespective of the centre.

The revised limit will cover both financial as well as non-financial transactions, according to an ET report.For Basic Savings Bank Deposit (BSBD) accounts, customers will continue to get four free cash withdrawals every month. Once that limit is exhausted, each additional transaction will be charged at Rs 15 plus GST. Customers should note that digital transactions will remain free and will continue without any limit.

New bulk deposit or fixed deposit interest rate rules

The Reserve Bank of India (RBI) is introducing changes to the manner in which commercial banks set and disclose interest rates on bulk fixed deposits.These revised norms will also come into effect on October 1, 2026.Under the new framework, banks will be required to announce their bulk deposit interest rates in advance. They will also have to disclose the applicable rates for bulk deposits every day at 10 am.In general, banks will be expected to offer an identical interest rate for similar bulk deposits.

However, different rates can be offered based on the Liquidity Coverage Ratio (LCR) treatment applicable to those deposits.Also Read | She bought gold at a discount of Rs 5,000 per 10 grams, took no receipt: How Indians are turning to under-the-counter cash deals as gold prices soar, bagging discounts of up to 6%

UPI MDR from October 15

From October 15, 2026, merchants will have to pay the Merchant Discount Rate (MDR) on certain UPI transactions. The charge will apply to specified merchant transactions where the payment made to the merchant is above Rs 2,000. Person-to-person transactions will continue to remain free.Transactions of up to Rs 2,000 will continue to remain free, as will payments covered under the zero-MDR framework for small traders. This means around 96% of all person-to-merchant (P2M) transactions will not be affected. The MDR applicable to merchants will also vary, depending on the industry or category under which the business falls.

New NPS charges

The Pension Fund Regulatory and Development Authority (PFRDA) has changed the charges that Points of Presence (PoPs) are permitted to collect from subscribers under the National Pension System (NPS) and NPS Lite.The revised fee structure will take effect from October 1, 2026.Under the new arrangement, subscribers who open an NPS account through a PoP will be charged a one-time onboarding fee of Rs 200 for each Permanent Retirement Account Number (PRAN).However, the Rs 200 charge will not be taken from the subscriber's account as a single deduction.

LPG Aadhaar authentication

Domestic LPG consumers who have yet to complete their Biometric Aadhaar Authentication (BAA) will need to do so before October 1, 2026, if they want to book a refill at the regulated selling price (RSP) while receiving the applicable subsidy.After the authentication process is completed, consumers will be able to book refills at the RSP along with the government subsidy applicable to them.LPG consumers are therefore advised to complete their Biometric Aadhaar Authentication at the earliest to continue accessing subsidised refills from October 1, 2026 onwards.