Today the banks were told by the RBI to charge their customers for the SMS alerts facility based on the usage of the customer. They also told them to consider a fixed monthly fee which was reasonable.
As per the Monetary Policy Second Quarter Review for 2013-14, of the Reserve Banks of India, it stated that the banks need to enhance their technology that is with them as well as the telecom providers, ensuring that the charges for the SMS are based on usage basis.
The RBI on March 2011 had placed certain guidelines on the alerts that the customer's got online from the banks. This was including all the different types of transactions that were involved, irrespective of what the amount was. In contradictory, there were no rules set by the Central bank towards their customers for such alerts. State Bank of India has already imposed a fee for the SMS alerts. The charge was Rs.60 annually.