New Withdrawal Limits – As of this month, millions of South African bank cardholders are facing a major shift in how much cash they can withdraw daily and weekly. This change comes as part of a broader policy update introduced by several major banks, aimed at improving fraud prevention, managing liquidity, and adapting to the changing digital transaction landscape. However, the sudden implementation has caused confusion and concern among everyday users who rely on physical cash for their daily needs. The new withdrawal limits apply to both ATM and over-the-counter transactions, significantly impacting those who prefer or depend on cash rather than card or mobile payments. For pensioners, small business owners, and informal traders, these limitations can have far-reaching effects, particularly in regions where card machines or online payments are not yet common. Many are now wondering how these limits will affect their financial routines, especially during peak transaction times like month-end salary withdrawals or grant payouts. The South African Reserve Bank has supported this move, citing the need to curb illegal cash-based activities and reduce cash-in-transit risks. Yet critics argue that these restrictions are being rolled out with little public awareness or support infrastructure, leaving many vulnerable to inconvenience and financial hardship. Here’s everything you need to know about the new withdrawal policy, how it affects different bank accounts, and what you can do to prepare for these changes.
New Withdrawal Limits – What’s Changing?
Banks across South Africa have revised their cash withdrawal rules. These changes affect all major account holders and include adjustments to ATM withdrawals and teller withdrawals.
- Withdrawal caps now vary by account type and bank
- ATM limits have been reduced to prevent large cash access
- Over-the-counter (OTC) withdrawal charges have increased
- Weekly limits are now being enforced in addition to daily ones
- Users must opt-in for higher limits in some banks
- Notifications may not be automatically sent
- Some banks have added restrictions on weekends and public holidays
Sample ATM New Withdrawal Limits by Major Bank (Effective June 2025)
| Bank Name | Account Type | Old Daily Limit | New Daily Limit | Weekly Limit | OTC Charge Increase | Weekend Access |
|---|---|---|---|---|---|---|
| Standard Bank | Personal Cheque | R10,000 | R5,000 | R20,000 | 15% | Limited |
| FNB | Easy Account | R5,000 | R3,000 | R12,000 | 10% | Available |
| Nedbank | Savvy Plus | R8,000 | R4,000 | R16,000 | 12% | Limited |
| Capitec | Global One | R5,000 | R3,500 | R10,000 | No change | Available |
| Absa | Flexi Account | R7,500 | R4,000 | R15,000 | 20% | Available |
| Postbank | Mzansi Account | R2,500 | R1,500 | R5,000 | 10% | Limited |
| African Bank | MyWorld | R6,000 | R3,000 | R10,000 | 8% | Available |
| TymeBank | Everyday Account | R4,000 | R2,500 | R8,000 | No OTC Access | Available |
Who Will Be Most Affected by These New Withdrawal Limits?
The impact of this policy shift will not be felt equally. Several demographics are expected to face greater challenges.
- Elderly pensioners relying on cash disbursements
- Informal traders and taxi operators
- Rural communities with limited banking infrastructure
- SASSA grant recipients needing physical cash
- Cash-based business owners
- Workers without access to mobile banking
- Migrant laborers who remit cash home
New Withdrawal Limits – High-Risk Groups to Monitor Closely
| Category | Dependence on Cash | Access to Digital Payments | Risk of Inconvenience |
|---|---|---|---|
| Pensioners | Very High | Low | High |
| Rural Residents | High | Low | Very High |
| Informal Traders | Very High | Medium | High |
| Students | Medium | High | Medium |
| Urban Workers | Medium | High | Low |
| Farmers | High | Low | High |
| Social Grant Recipients | Very High | Low | Very High |
What Are the Official Reasons Behind the Rule Change?
The banking sector has outlined several justifications for this change in withdrawal policy.
- Reduce physical cash movement and cash-in-transit crime
- Encourage digital banking and lower dependency on ATMs
- Support anti-money laundering and fraud prevention measures
- Streamline banking operations and reduce teller workload
- Push users towards mobile and card-based payments
- Improve transparency in cash-based financial activity
New Withdrawal Limits – Key Statements from Banks and Regulators
- “The reduction of withdrawal limits is a proactive fraud-control measure.” – FNB spokesperson
- “We are aligning limits with current digital transaction trends.” – Capitec Bank
- “These changes support national efforts to reduce physical cash dependency.” – South African Reserve Bank
What Alternatives Do Customers Have?
With limits now in place, customers are advised to explore other ways of handling their money.
- Use mobile money apps for daily transactions
- Set up debit orders for recurring expenses
- Request card swiping options at small merchants
- Transfer funds to family via mobile platforms
- Withdraw cash only when absolutely necessary
- Open secondary accounts with more flexible limits
- Use cashback features at retail stores like Shoprite or Pick n Pay
Recommended Mobile and Digital Payment Apps in South Africa
| App Name | Bank Support | P2P Transfers | Bill Payments | Cash Send Feature |
|---|---|---|---|---|
| Capitec App | Yes | Yes | Yes | Yes |
| FNB App | Yes | Yes | Yes | Yes |
| TymeBank App | Yes | Yes | Limited | No |
| SnapScan | All Banks | No | Yes | No |
| Zapper | All Banks | No | Yes | No |
| MTN MoMo | Limited | Yes | Yes | Yes |
| Nedbank Avo | Yes | Yes | Yes | Yes |
What Should You Do If You Need More Than the Limit?
If your cash needs exceed the new withdrawal cap, here’s what you can do:
- Contact your bank to request a temporary limit increase
- Visit your local branch with identification for larger OTC withdrawals
- Set up an emergency account with higher access tiers
- Use banking apps to move money across accounts
- Ask for electronic transfers instead of cash payments when possible
How to Request Higher Limits from Major Banks
| Bank Name | Process to Increase Limit | Documentation Needed | Processing Time |
|---|---|---|---|
| FNB | Online/app or branch | ID, proof of income | 24–48 hours |
| Capitec | In-app request | ID only | Same day |
| Standard Bank | Visit branch | ID and address proof | 2–3 days |
| Nedbank | Contact call center or branch | ID and written request | 2–5 days |
| Absa | Internet banking or in-person | ID and income slip | 24 hours |
| Postbank | Branch only | Green barcoded ID | 48–72 hours |
Tips for Managing Cash Efficiently in Light of New Rules
- Plan withdrawals in advance to avoid shortfall
- Keep small denominations for emergencies
- Use cards at petrol stations, shops, and restaurants
- Inform elderly family members of new limits
- Encourage rural residents to open digital accounts
- Opt for digital grant disbursement methods when available
Expert Advice and Community Reaction
Public feedback has been mixed. While tech-savvy users have welcomed the shift towards digital, many others are expressing frustration.
- “I use cash to pay all my vendors. This change disrupts my business.” – Informal vendor, Soweto
- “My parents don’t know how to use mobile banking. Now what?” – Concerned citizen, Eastern Cape
- “This may be good for safety, but it’s unfair without awareness campaigns.” – Local NGO worker
Banks are encouraged to educate users on alternatives and assist vulnerable groups during this transition. Civil society organizations are calling for improved communication and government support to bridge the digital divide.
These changes are part of a national trend pushing South Africa toward a more digital financial ecosystem. While the transition may be bumpy for many, understanding your bank’s policies and adapting early can help you avoid disruptions and continue managing your money with ease.
FAQs of New Withdrawal Limits
Q1: When did the new withdrawal limits take effect?
A: Most banks implemented the new limits starting 1 June 2025.
Q2: Do these limits apply to SASSA cardholders?
A: Yes, though SASSA has asked banks to ensure flexibility during grant week.
Q3: Can I withdraw the full weekly limit in a single day?
A: No. Daily caps still apply. The weekly limit is cumulative, not a one-day cap.
Q4: Is there a penalty for exceeding the withdrawal limit?
A: Your transaction will be declined, or you may incur extra charges if over-the-counter withdrawal is attempted.
Q5: Will I be notified if my limit changes?
A: Not always. Some banks may not send alerts, so it’s best to check your bank’s official app or website.