The month of May is bringing a wave of financial changes that could affect everything from your daily expenses to long-term investments. From higher ATM charges and changes in railway bookings to new tax filing rules and updates on LPG prices, here’s a quick look at what you need to know:
ATM withdrawals just got costlier
From May 1, using an ATM after your free monthly limit will now cost 23 rupees per transaction, up from the previous 21 rupees. You still get three free transactions in metro cities and five in non-metros—this includes both cash withdrawals and non-financial transactions like checking your balance. The Reserve Bank of India approved this increase to help banks cover ATM maintenance costs.
New railway ticket rules
Major changes are coming to railway ticket bookings. From May 1: Waiting list tickets won’t be valid in sleeper or AC coaches anymore. You’ll only be allowed to board general coaches if you’re on the waitlist. The advance reservation period has been reduced to 60 days, down from 120. You’ll now have just two days to claim a refund on a cancelled ticket. Plan ahead, especially if you’re booking long-distance travel.
Commercial LPG prices reduced
Oil Marketing Companies (OMCs) have slashed the price of 19-kg commercial LPG cylinders by approximately Rs 17, effective May 1.
New prices include:
– Delhi: Rs 1,747.50
– Mumbai: Rs 1,699
– Kolkata: Rs 1,851.50
– Chennai: Rs 1,906
The price cut is expected to benefit restaurants, hotels and commercial kitchens. However, domestic LPG prices remain unchanged, though the government may begin fortnightly price revisions going forward.
Also Read:Labour Day 2025: Are banks, Stock Market, schools open on May 1? All you need to know
Home loans may get cheaper
In a relief to borrowers, home loan interest rates are set to fall further after the RBI’s second repo rate cut of 25 basis points this year. The rate now stands at 6 per cent, down from 6.25 per cent. Banks are expected to pass on the benefit to consumers by reducing their Repo-Linked Lending Rates (RLLR), thereby lowering EMIs for new and existing home loan customers.
One State, one RRB takes effect
The Finance Ministry’s “One State-One RRB” policy has come into effect, consolidating 15 regional rural banks across 11 states, starting May 1. This fourth round of RRB restructuring brings down the total number of such banks to 28 from 43, with states like Uttar Pradesh, Bihar, Gujarat, Maharashtra, Karnataka, and others seeing a unification of regional banks for improved efficiency.
FD rates revised
Sundaram Finance Ltd has updated its fixed deposit interest rates effective May 1. Senior citizens will now earn 7.70 per cent for 12 months and 8 per cent for 24-36 months, while other depositors will get 7.20 per cent for 12 months and 7.50 per cent for longer tenures.
ITR filing kicks off for AY 2025–26
The Income Tax Department has released ITR forms 1 and 4, so taxpayers earning less than 50 lakh rupees per year can now start filing for Assessment Year 2025–26. A major change: if you’ve made long-term capital gains of up to 1.25 lakh rupees, you can still use the simple ITR-1 (Sahaj) form instead of the more complex ITR-2. More ITR forms are expected to be notified in the coming days.
