ATM usage fees

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ATM usage fees are the fees that many banks and interbank networks charge for the use of their Automated Teller Machines (ATMs). In some cases, these fees are assessed solely for non-members of the bank; in other cases, they apply to all users. Many people oppose these fees because ATMs are actually less costly for banks than withdrawals from human tellers.

Two types of consumer charges exist: the surcharge and the foreign fee. The surcharge fee may be imposed by the ATM owner (the deployer or Independent sales organization) and will be charged to the consumer using the machine. The foreign fee or transaction fee is a fee charged by the card issuer (financial institution, stored value provider) to the consumer for conducting a transaction outside of their network of machines in the case of a financial institution.


On 3 March 2009 Direct Charging (surcharging) on Australia’s ATM networks was introduced. The Reserve Bank of Australia says this reform will result in benefits to competition and efficiency in the Australian ATM system.[1]

Most banks, (Commonwealth Bank [CBA], ANZ and Westpac/St.George) levy a $2 "ATM service fee" for withdrawals and balance inquiries at their ATMs by non-customers, NAB charges $1.50 (50c for an enquiry), Suncorp $2.20 (80c for an enquiry).

Suncorp and BankWest sponsored independent deployers are charging fees from $2, at these early stages $2.20 and $2.50 are not uncommon in pubs and clubs.

Bendigo Bank charges its customers $1.00 to use another bank's ATM. Bank of Queensland, CBA, Suncorp and Westpac/St.George do not charge any fee to use another bank's ATM. BankWest[2] does not charge users for access to foreign ATMs.

ING Group operates as ING Direct in Australia and has accounts that reimburse any domestic ATM fee provided that a withdrawal is at least $200.[3]


In Brazil, banks such as Bradesco, Banco do Brasil, Caixa Econômica Federal, Itaú and Santander operate their own nationwide ATM networks. These ATMs can be found in many locations such as the bank branch itself, kiosks spread throughout a city or even supermarkets, gas stations, shopping malls and post offices, making it very convenient for the customer to make withdrawals and check balances without incurring any fees. There are also no denial fees (i.e. when trying to withdrawal more money than what's available in your account) as Brazilian businesses cannot charge for services not rendered. However, fees are assessed if there is excessive usage of the ATMs (i.e. one makes more withdrawals than what's allowed by their monthly maintenance fee). Fees and limits can be checked at the FEBRABAN (the Brazilian Banking Federation) website.

Third-party networks

Brazilian banks have several partnerships in place in order to extend their coverage.

Correspondente bancário (Banking agent)

A partnership with store owners, who then use a small wireless ATM (much like a wireless EFT POS) to process transactions for the bank, such as deposits, payments and withdrawals. Use of a banking agent normally does not generate any fees.

Interbank network

Brazil does not have a national interbank network, but ATMs from some banks are connected to other banks' networks. These are usually indicated in the ATM itself. Use of an interbank network does generate fees.

Cash withdrawal with a Visa debit card

Brazilian acquirer Cielo (also known as VisaNet) offers Visa debit card holders an option to withdrawal a small amount of cash (up to R$ 100, approx. US$ 58) when paying for merchandise at any Visa-accepting store. Store owners then hand over the money to the customer at the checkout. While the purchase itself generate fees for the business (like any other credit or debit card transaction), the money withdrawal does not, and is reimbursed in full.

Third-party networks

There are third-party ATM networks such as Banco24Horas that charge fees for use. However, some banks (such as Citibank) will reimburse fees for its customers.


A short description of the fee structure one experiences while using Canadian ATMs can be found at the Interac website,[4] while The Financial Consumer Agency of Canada maintains a chart of the fees typically charged for use of ATMs in Canada.[5]

Interac ATM's

Most Canadian financial institutions are members of the Interac Association, a multi-bank ATM network founded by Royal Bank of Canada, CIBC, Scotiabank, Toronto-Dominion Bank, and Desjardins Group in 1984. Before the presence of White Label ATMs, most Canadian customers were only charged the standard Interac Network Transaction Fee when a customer was using an ATM not provided by the bank that held their account (historically $0.75 CAD, now $1.50 CAD). As the Interac network was opened up to more Independent sales organizations ("ISO")s and the potential for additional revenue from Service Fees were made available, most banks elected to impose the Service Fee in addition to the revenue that was generated from the Interac fee.[6]

The Exchange

The Exchange is a multi-bank ATM network. It originated in the northwestern United States before expanding to Canada in 1983. As of 2012, many Canadian credit unions, along with The Alterna Bank, Alterna Savings, Canadian Western Bank, Citibank, Citizens Bank, HSBC, ING Direct, Manulife Bank of Canada, and National Bank provide surcharge-free ATM access to members of other participating financial institutions through the network.[7]

European Union

Rules are being introduced that will force banks to levy equal fees for customers of all banks in the European Union. This may mean national fees become higher. See Single Euro Payments Area.

These rules apply since 1 July 2002.[8] Eurozone and Swedish[9] customers are exempt from getting lower international fees outside Eurozone countries, because only fees for euro withdrawals are regulated. Non-Eurozone customers (except Swedish customers) are completely exempt from getting lower international fees, because the regulation only states that international euro withdrawals should be available at the same price as national euro withdrawals (and euro withdrawals are very uncommon in non-Eurozone customers' home countries).


Cash withdrawals are free for any owner of an Austrian Maestro card.


Cash withdrawals are free for any owner of a Finnish bank card or Visa Electron cards on ATM brand "Otto." which is the largest ATM network in Finland. There are smaller rivals which have fees. "Otto." ATMs accept also Visa, MasterCard, American Express and Diners Club credit cards. They also belong to Maestro, Cirrus and PLUS networks.[10] Fees depend on card issuer.


German banks charge fees for withdrawals at another bank's ATM. Usual fees are 4-5 EUR. All ATMs are connected to the national Girocard interbank network. The ATM owners do usually join one of the ATM groups that mutually lower or waive fees, so that customers can withdraw free of charge. The most extensive network of ATMs belongs to the savings banks associations ("Sparkassen") with 24,600 ATMS. Most of the private banks are either member of the Cash Group (7,000 ATMs owned by the major banks) or Cash Pool (2,500 ATMs owned by smaller banks) - they are usually found in city centers. The credit unions ("Volksbanken" and "Raiffeisenbanken") provide around 18,000 ATMs, very often in smaller towns and villages, but less frequently available in the big cities.

Sparkasse Charges pdf (in German)

Commerzbank Charges pdf 1 (in German)

Commerzbank Charges pdf 2 (in German)


The Central Bank of Ireland forbids all ATM usage fees, although the Government imposes a 5 Euro annual stamp duty on debit/ATM cards.


Cash withdrawals are usually free for an owner of a Dutch debit card, both within The Netherlands and in other places of the European Union. Cash withdrawals from another bank in The Netherlands is limited to a maximum of once a day and a lower limit per transaction. The one transaction per day limit generally does not apply to withdrawals outside the country. You may withdraw up to 2300 euro per cashpoint.


There are few but extensive independent ATM operators in Poland (e.g. Euronet, eCard) as well as smaller bank-owned networks. Fees depend on inter-bank agreements and are explicitly stated in card contract. Typically withdrawals from own and allied networks are free while from competitor's machines are subject to constant fee, e.g. 5 PLN. Premium accounts often come without any withdrawal fees, albeit at higher recurring cost. As of 2010 many banks offer optional contracts on "free" withdrawals from any ATM at flat monthly fee, usually priced similar to 1 withdrawal. The maximum amount you can withdraw in one operation is usually about 3000 PLN, varying depending on the type of machine and banknote denominations used.


All Multibanco withdrawals and payments in Portugal are free. Recent European Union directives allowed merchants and banks to charge the customers for transactions, but the government approved a law that forbids charging any kind of fees. Left Block and Portuguese Communist Party were the political parties that came up with the proposal and the ones more devoted to the idea.


Banks that are not associated with the user's bank will usually charge a small fee of €0.50 per withdrawal of cash from the machine. Other services such as top-up of mobile phones are usually free.


In Sweden, most banks issue debit cards for an annual or monthly fee which includes free withdrawals in Sweden and within the eurozone. However, customers are subject to a fee if using a cash machine elsewhere. Some cards from some banks are, however, subject to fees also when used in the eurozone and some Swedish cash machines. Most of these cards are issued by savings banks.

United Kingdom

During the 1980s the number of banks and building societies charging issuer fees (i.e. charging fees to their own customers when they used another ATM operator's ATMs), gradually increased. However, in 1990 Barclays announced they were introducing an acquire fee for all non-Barclays card-holders at their ATMs. This would result in "double charging", where the customer was charged by both their card issuer and the ATM operator. Public reaction against this proposal was very strong and a campaign launched by Nationwide Building Society and the UK tabloid newspapers resulted in issuer fees being removed altogether.[11]

Interchange, the fee which a card issuer pays to the ATM operator to cover the cost of the transaction remains and this cost is absorbed by the card issuer.

In 1999 LINK, the UK ATM network opened membership to so called independent ATM operators, ("IADs"); organisations which do not issue cards. IADs initially focussed on the pay-to-use market, where the customer covers the cost of the transaction directly and this, coupled with a low-cost business model, meant that the number of pay-to-use ATMs rose rapidly, peaking in 2007 at just over 27,000 ATMs.[12]

Most of these machines are in low footfall locations such as convenience stores, garages, nightclubs and pubs. The fee charged in 2005 was usually between £1.00 and £1.50,[13] but occasionally they have been known to charge up to £5[14] and £10.[15]

Rules regarding signage on pay-to-use machines were introduced in 2005 and enhanced in 2006[16] and since 2007 the number of pay-to-use cash machines has fallen, by the end of 2010 there were around 21,000.[12]

The large numbers of free-to-use ATMs and the low average number of transactions at pay-to-use machines means that 97% of cash withdrawals in the UK remain free of charge.[17]


There is only one ATM network in Iran, SHETAB. There are no charges for money withdrawal in this network. Transferring money between two accounts in a same bank is free but between different banks costs from 5,000 to 9,000 (for amounts of 50,000 to 30,000,000) per day, and checking the account balance costs IRR 1000 for other banks' cards. Other services are currently free.

Southeast Asia

Hong Kong

There are three ATM networks in Hong Kong: ETC (HSBC and Hang Seng Bank only) JETCO (all remaining banks) and AEON. ATM use is free of charge, except when a card is used outside of its respective home network. When a card is used outside the home network, HKD$15–30 is paid for service charge.


In Indonesia, banks generally do not charge a fee for ATM usage. However, when an ATM card is used outside the home ATM network, service charge will apply.


In Thailand, there is no fee for domestic same-bank same-province transaction. However, customers usually pay for ATM annual fee of THB200, one-off card fee of THB100 and convenience fee for withdrawal or balance inquiry at other bank ATM or at a province other than the province where the account is opened. On September 23, 2010, Bank of Thailand (BOT) has announced ATM fee ceiling framework which came into full effect one year later.[18] Most of the banks will allow customer to have four withdrawal or balance inquiry transactions for free provided that the ATM is located in the same province with the account, then charges up to THB10 per transaction for interbank same-province ATM usage. Inter-provincial fund transfer or withdrawal fees are capped at THB20 per transaction as a result of BOT 2010 reform. However, Banks are now pushing for high annual fee card by combining personal assurance (PA) into their cards. The annual fee of PA card can be more than three times for the ordinary card (typically THB200 for a debit card). Many customers are often told that basic cards have run out off stock and they can only choose the PA card. In some cases, customers are not allowed to open an account if he or she is not willing to subscribe to ATM service and pay the card fees.

For foreign card, the standard fee is 150 THB. However, there's an exception on the ATMs from AEON (Financial Service company) that will not charge the additional fee on the foreign card.


In the Philippines, there is a PHP 200 (Philippine Peso) charge from local banks when using an international ATM card, in addition to the originating bank's charges. However, there's an exception on the ATMs from CITIBANK. Citibank does not charge the PHP 200 fee on any international card use except JCB cards.

South Asia


In Pakistan banks usually charge a fee of PKR 0 to PKR 20 per non user's ATM cash withdrawal. These fees are levied chiefly to offset banks' own costs at par only, without any profit margin whatsoever. There are two ATM switches operational in the country, 1LINK, hosted by a consortium of banks, and MNET, hosted by MCB Bank Ltd; and all Pakistani banks are members of one or the other switch as per the mandate of the State Bank of Pakistan, the country's central bank. Some banks, like Allied Bank and HSBC (now operating as JS Bank), absorb the costs entirely, and offer their customers totally free withdrawals at all ATMs countrywide, including Azad Jammu and Kashmir; a territory between Pakistan and India whose status is disputed.

Sri Lanka

In Sri Lanka banks usually charge a fee of LKR (Sri Lankan Rupees) 50.00 (USD 0.40 to 0.60) per non user's bank withdrawal of cash from the machine.


There are multiple ATM networks in Bangladesh. The market leader, Dutch-Bangla Bank, has the largest ATM network and also the most member banks. Dutch-Bangla Bank customers are charged BDT 200 yearly as ATM network charge if one has any debit card of the bank.

Dutch-Bangla Bank has separate agreements with local and international banks whereby Dutch-Bangla Bank charges BDT 10 (USD 0.085) per transaction to member banks. Due to this low amount, member banks often add an extra amount as profit margin.


In India, ATM annual fees( Rs. 100 in Govt. bank and Rs. 500 in private bank).[19] In 2007, the Reserve Bank of India (RBI), the country's central bank, had issued a directive to all commercial banks to freeze ATM charges and, with effect from 1 April 2009, abolish ATM service charges altogether. Since 2009, customers of any licenced bank are able to use the ATMs of other banks without paying a service charge. Earlier, banks charged between INR 10 and INR 35 per reciprocal transaction.Today a person holding card of other banks can withdraw amount from other bank ATM's but the amount of transaction is limited to 5; after 5th i.e. 6th transaction forward the person would be charged up to INR 20.[20]

However, banks can still surcharge for items such as credit card ATM cash advances and at foreign ATMs. In addition, RBI imposes significant foreign exchange restrictions on the use of Indian debit VISA/MasterCard abroad. For example, Indian debit VISA cards are routinely marked "Valid in India and Nepal only" due to the country's restrictive foreign exchange reserve policy.

In the same directive, free mutual ATM usage was reverted to 5 free such transactions per monthly statement cycle; beyond which a cap of INR 20 has been fixed for ATM cards issued to savings bank/term deposit account customers. However ATM Cards issued to current, cash credit, and unit trust account holders would be charged from the first instance.


Fees are not usually charged for withdrawals at a banks' own ATMs, but may be at those of other banks. For example, at the time of writing UBS do not charge for withdrawals at other banks[21] whereas Credit Suisse charge 2 CHF per withdrawal.[22] Sometimes, banks provide the cardholder with 10, 12 or 24 free withdrawals, especially if the bank is a small one, with few ATMs. All Swiss banks hand out Maestro cards to their customers, in most cases for an annual fee of around 40 CHF, so that any ATM can be used.

United States

Prior to 1988, there was no surcharging of cardholders by ATM owners in the U.S. In 1988 Valley Bank of Nevada began surcharging "foreign cardholders" (meaning holders of ATM cards not issued by Valley Bank) for withdrawals at Valley Bank ATMs located in/near Las Vegas casinos.[23] Eventually, various regional ATM Networks, and ultimately the national networks, Plus and Cirrus, permitted ATM surcharging.

Before 1996, foreign ATM fees averaged $1.01 USD nationally, according to a 2001 report from the US-based State Public Interest Research Group.[24]

As banks and third parties realized the profit potential they raised the fees. ATM fees now commonly reach $2.00 (2003[25]), and can be as high as $6.00,[26] or even higher in cash-intensive places like bars and casinos. In cases where fees are paid both to the bank (for using a "foreign" ATM) and the ATM owner (the so-called "surcharge") total withdrawal fees could potentially reach $11. Independent sales organizations ("ISO"s) are the driving force in ATM deployment in the U.S. today representing over 60% of the 396,000 ATMs nationwide. Some have expressed concerns that the U.S. market is becoming too saturated, spreading the resulting fee pool too thin, which may result in a future net decrease in the number of machines.[27] Other media reports indicate that growth in ATM usage has decreased, possibly in relation to the amount of fees imposed by banks.[28]

Only some fees charged by ATMs are advertised at the point of transaction. This is more of a cautionary statement, as ATMs are required by law to inform users of the surcharge fees that the machine will charge the user. This information may come in the push through menu or it may be on a sticker on the machine. However, the ATM card holder's own bank may charge a "foreign ATM network" fee to the card holder for using an ATM that is not owned and operated by the card holder's own bank. Since this charge is not assessed by the machine or the owner of the machine, it is usually not advertised at the time and place of the transaction. Thus, it becomes the responsibility of the card holder to be aware of the details of their own bank's fee structure, which may also vary from state to state, to determine the total cost of an ATM transaction. In addition, the "foreign ATM network" fee may be different if using an ATM outside the U.S. versus inside the U.S.

A new charge that has come into the marketplace is the "Denial Fee", where a customer is charged a fee for attempting to withdraw more money than they are either allowed through their daily withdrawal limit or by having insufficient funds in their account.[29]

While many consumers are faced with multiple fees as described above, a number of standalone and internet banks, such as USAA, Capital One and Ally, do not charge their customers for using another ATM and they also provide reimbursement, nationwide, of another ATM's fee. Thus, customers at some banks in the US can avoid ATM fees altogether. Another popular way to avoid paying ATM fees is to make a cashback purchase at a retail store: many retailers will allow a customer who is paying with a debit card to withdraw more than the total due the retailer and get back the difference in cash.

See also


  2. ^ "No charge for Bankwest customers when they use Foreign ATMs". 2009-08-19. Archived from the original on 22 September 2010. Retrieved 2010-08-11.
  3. ^
  4. ^
  5. ^ FCAC - For Consumers - Banking and Insurance - ABM fees
  6. ^ CBC Marketplace: ATM Fees[dead link]
  7. ^ Financial Consumer Agency of Canada (January 24, 2013). "Automated Banking Machine Fees".
  8. ^ "EUR-Lex - 32001R2560 - EN". Retrieved 2010-08-11.
  9. ^ "EUR-Lex - 52002XC0711(03) - EN". Retrieved 2010-08-11.
  10. ^ "Ottopisteiden kotisivu". Retrieved 2010-08-11.
  11. ^ "Barclays delays ATM fee". CNN. 1999-09-23.
  12. ^ "ATM users to pay £250M in fees next year". Retrieved 2010-08-11.
  13. ^
  14. ^ Banking and credit | Cash machines
  15. ^,consumergroupsandTreasuryCommitteeshouldbeginworkingtogetheroncashmachineis.aspx
  16. ^ LINK website
  17. ^
  18. ^
  19. ^ Our Special Correspondent (2009-03-30). "The Telegraph - Calcutta (Kolkata) | Business | Use any ATM from April free of charge". Retrieved 2010-08-11.
  20. ^
  21. ^
  22. ^ United States Court of Appeals for the Ninth Circuit Valley Bank v. Plus Sys., Inc.:[dead link]
  23. ^ Edmund Mierzwinski (2001-03-29) (PDF). Double ATM Fees, Triple Trouble. U.S. Public Interest Research Group. Retrieved 2007-06-26.
  24. ^ Press Releases[dead link]
  25. ^ Latest game of chance in town: ATMs[dead link]
  26. ^ Sullivan, Bob (2004-07-28). "Are there too many ATM machines? - Money -". MSNBC. Retrieved 2010-08-11.
  27. ^ Hartley, Thomas (2006-02-10). "After 25 years, ATMs facing market changes - Business First of Buffalo:". Retrieved 2010-08-11.
  28. ^ "In denial: ATM fee for getting nothing - The Red Tape Chronicles -". 2005-10-28. Retrieved 2010-08-11.