Mumbai, Oct 2 (PTI): The nation’s largest lender State Bank has slashed the daily withdrawal limit from ATMs to half from Rs 40,000 to check fraudulent transactions.

The new limit will be effective from October 31 for the bank customers who number over 42 crore.

The limit has been reduced to Rs 20,000 on classic debit card, which is the most popular ATM-cum-debit card of the bank. There is no change in the daily withdrawal limits on other cards.

This card variant is not chip-based and so there are concerns about its security, a senior bank official said.

“The bank has been receiving many complaints regarding cloning. Due to this, the decision is taken to reduce the withdrawal limit on these cards,” the official explained.

As of March 2018, the bank issued over 39.50 crore debit cards with around 26 crore actively used debit cards.

In terms of debit card issuance in the country, it has a market share of 32.3 per cent, while in terms of debit card spends, its market share is 30.40 per cent.