The Reserve Bank of India (RBI) has revised its Domestic Money Transfer (DMT) framework, issuing the Domestic Money Transfer Directions, 2026 to harmonise and consolidate the existing instructions that govern how money is moved within the country, the central bank said on November 11.

Source: Reserve Bank of India

Under the revised directions, banks can offer a cash pay-out service — paying out money transferred from a bank account to recipients who do not themselves have a bank account — at an ATM, through a business correspondent, or through any other authorised payment channel.

Source: The Hindu BusinessLine

Rs 10,000Maximum cash pay-out per transaction
Rs 25,000Monthly cash pay-out ceiling per beneficiary
Rs 50,000Maximum walk-in cash pay-in at a bank branch via NEFT
Rs 5,000Maximum cash pay-in per transaction via BCs and ATMs

The maximum amount that can be paid out in cash is Rs 10,000 per transaction, subject to an overall monthly ceiling of Rs 25,000 per beneficiary, BusinessLine reported from the RBI directions.

For cash pay-in — money paid in to be credited to a bank account — a walk-in customer at a bank branch can remit up to Rs 50,000 to a beneficiary's bank account through NEFT. Banks may also allow such customers to transfer funds through business correspondents and ATMs up to Rs 5,000 per transaction, with a monthly cap of Rs 25,000 per remitter.

The directions apply to scheduled commercial banks, specified categories of rural and co-operative banks, and authorised payment system operators and participants, including banks and non-banks. Domestic money transfer services are widely used by migrant workers and others who send money to family members without bank accounts, so the caps and channels directly affect how those remittances can be sent and received in cash.