ATM bank fees are at a record high - Business Insider

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Rising fees for out-of-network ATMs could spell trouble for consumers, given that banks are reducing their ATM footprints:

by CNBC. That's up 33% over the last decade and is a total figure, comprised of both the fee noncustomers are charged by banks for using their ATMs and the penalty banks assess account holders for withdrawing funds from an out-of-network ATM .Rising fees for out-of-network ATMs could spell trouble for consumers, given that banks are reducing their ATM footprints and independent ATM deployers are on the rise.

This trend is particularly prevalent in North America, where more than half of the IAD ATMs in the world are located. Because these ATMs come from independent developers and aren't affiliated with any particular bank, there is a solid chance most banks will count them as out-of-network. Accordingly, it's possible that more and more of the touchpoints through which consumers can access cash will charge them for that privilege.

Banks that are rolling back their branch footprints may want to keep ATM fees in check to avoid putting customers in a bind. Bank branches provide a counter to rising ATM fees, as customers can visit their nearest branch to conduct banking business and to withdraw cash fee-free. But many US banks are reducing their branch footprint, and US bank branch networks on the whole shrank 2% last year, Barron's.

If ATMs get more expensive, the importance of digital banking tools will rise, but affordable cash accessibility will remain an issue. Digital banking features like in-app balance checks and mobile check deposit can help users carry out certain banking functions without needing a bank branch or ATM, but the fact remains that the majority of online banking tools won't help users get access to cash.

 

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