Is your ATM safe? Experts reveal why banks selling ATMs could be damaging for Aussies

Remember the good ol' days when visiting the local ATM didn't come with a price tag? When the convenience of cash withdrawal was simply that—a convenience?

Well, brace yourselves. These days, a simple visit to the ATM could leave you lighter in the pocket than you'd expected. And it's not the cash withdrawal we're talking about!



In 2017, a wave of relief washed over us as Australian banks declared they'd be scrapping cash-out fees for using another bank’s ATMs. The ATM landscape had begun to look like a consumer's dream: free and accessible.

Fast forward six years, and the lush landscape of fee-free withdrawals has become somewhat barren.

Nowadays, you are more likely to stumble upon an independent ATM provider showing no mercy with their hefty withdrawal costs.


compressed-atm.jpeg
There is a growing trend among banks to enter into agreements with third-party entities for their ATMs. Image by Peggy_Marco from pixabay



Associate Professor of Finance at the University of New South Wales, Mark Humphery-Jenner, said that these sly moves benefit banks, reducing their operational costs while simultaneously hitting consumers’ pockets.

'ATMx (owned by Armaguard) is now increasingly replacing ANZ machines. Unless your bank has a fee waiver agreement with ATMx, they will charge you $3 to withdraw your money.' cautioned the professor.



This is no trivial matter. Multiple withdrawals could quickly add up to a substantial loss for fixed-income or lower-income earners with tight budgets.

The professor suggested consumers could evade these fees by withdrawing money in person at bank branches.

But with local branches growing sparse, accessibility is becoming a real issue.

Now you might wonder, 'What other options do we have?' Well, there is still light at the end of the tunnel.

Macquarie Bank and ING are still championing the cause of fee-free withdrawals across all ATMs. Ample reason to consider that switch, perhaps?



With the surge of digital transactions, it seems plausible to question the longevity of ATMs.

Based on data from the Australian Prudential Regulation Authority, the number of ATMs in Australia has decreased by half between 2017 and 2022.


compressed-photo-1601597111158-2fceff292cdc.jpeg
The pace at which ATMs will continue to decline is a subject of ongoing debate. Image by eduschadesoares from unsplash



A recent report by the Australian Banking Association reveals that an overwhelming 98.9 per cent of bank interactions in Australia over the past four years were conducted digitally.

As cash transactions and ATM machines continue to decline significantly, Associate Professor Christoph Breidbach from the University of Queensland's Business School predicts that fees for cash withdrawals may continue to rise for individuals who still prefer or require cash transactions.



Breidbach said, ‘It’s expensive for banks to run ATMs. Now we have a Covid and post-Covid society, which has supercharged a cashless society because people were afraid to touch cash. An increase in fees for ATM transactions is the logical consequence because there are fewer and fewer people using them, but the cost (to run them) is the same.’

John Hicks, an Economics Professor at Charles Sturt University, agreed with the notion that it is logical for banks to divest themselves of ATMs as they become less profitable.

Consequently, third-party entities will impose fees since they, too, require revenue generation.

Professor Mark Humphery-Jenner expressed a different perspective, indicating scepticism regarding the imminent disappearance of ATMs.

He said, ‘Banks sometimes claim that ATMs are unnecessary, but this is disingenuous. If cash were so disliked and ATMs so unnecessary, why do third parties think they can make a profit by running ATMs?’



Key Takeaways
  • Banks offloading ATMs to third-party suppliers is having a negative impact on Australians with high withdrawal fees reinstated.
  • Some Australian banks have signed agreements with currency management service provider Armaguard, effectively offloading a significant portion of their ATMs.
  • The University of New South Wales Associate Professor of Finance, Mark Humphery-Jenner, warned that this trend impacts everyone and particularly harms those who make smaller withdrawals more often.
  • Despite the trend of increasing ATM fees, several options are still available for customers seeking to avoid these fees, such as withdrawing at bank branches or switching to banks that waive ATM fees from all machines.

In a nutshell, banks will keep watching their dollars, and we, in turn, need to keep a vigilant eye on ours.

Are you concerned about the decreasing accessibility of fee-free ATMs and the potential financial impact on individuals, especially those with limited budgets? Do you believe that the shift towards a cashless society will lead to the complete disappearance of ATMs? Share your opinions; we’re all ears.
 
Sponsored
I personally think your husband is the smart one.
I myself have gone back to making one withdrawal for the fortnight for my grocery shop.
I also shop at Aldi, to save not pay card fees, and although they are not astronomical all little expenses add up over a year.
But my main reason for avoiding my card as much as possible as it is too easy to just tap your card willy nilly and not keep control of your spending.
We only have one ATM in our little country town and at least it is free.
There is a wise old saying "if you take care of the pennies the pounds will take care of themselves"

I personally think your husband is the smart one.
I myself have gone back to making one withdrawal for the fortnight for my grocery shop.
I also shop at Aldi, to save not pay card fees, and although they are not astronomical all little expenses add up over a year.
But my main reason for avoiding my card as much as possible as it is too easy to just tap your card willy nilly and not keep control of your spending.
We only have one ATM in our little country town and at least it is free.
There is a wise old saying "if you take care of the pennies the pounds will take care of themselves"
 
I personally think your husband is the smart one.
I myself have gone back to making one withdrawal for the fortnight for my grocery shop.
I also shop at Aldi, to save not pay card fees, and although they are not astronomical all little expenses add up over a year.
But my main reason for avoiding my card as much as possible as it is too easy to just tap your card willy nilly and not keep control of your spending.
We only have one ATM in our little country town and at least it is free.
There is a wise old saying "if you take care of the pennies the pounds will take care of themselves"
They used to, but these days it doesn't make sense ...
 
There's a difference between, fashion & a uniform. Puffa jackets are the norm in the winter months, whatever Taylor Swift wears subsequently becomes the uniform of Swifties, the list goes on.
That's always been the case when you think about it. Think Mods and Rockers, Skinheads and Long Hairs, Beatniks and Bikies. Every generation has its clones. Either conform or be labelled a weirdo or, even worse, an individual 🤪
 
Remember the good ol' days when visiting the local ATM didn't come with a price tag? When the convenience of cash withdrawal was simply that—a convenience?

Well, brace yourselves. These days, a simple visit to the ATM could leave you lighter in the pocket than you'd expected. And it's not the cash withdrawal we're talking about!



In 2017, a wave of relief washed over us as Australian banks declared they'd be scrapping cash-out fees for using another bank’s ATMs. The ATM landscape had begun to look like a consumer's dream: free and accessible.

Fast forward six years, and the lush landscape of fee-free withdrawals has become somewhat barren.

Nowadays, you are more likely to stumble upon an independent ATM provider showing no mercy with their hefty withdrawal costs.


View attachment 24505
There is a growing trend among banks to enter into agreements with third-party entities for their ATMs. Image by Peggy_Marco from pixabay



Associate Professor of Finance at the University of New South Wales, Mark Humphery-Jenner, said that these sly moves benefit banks, reducing their operational costs while simultaneously hitting consumers’ pockets.

'ATMx (owned by Armaguard) is now increasingly replacing ANZ machines. Unless your bank has a fee waiver agreement with ATMx, they will charge you $3 to withdraw your money.' cautioned the professor.



This is no trivial matter. Multiple withdrawals could quickly add up to a substantial loss for fixed-income or lower-income earners with tight budgets.

The professor suggested consumers could evade these fees by withdrawing money in person at bank branches.

But with local branches growing sparse, accessibility is becoming a real issue.

Now you might wonder, 'What other options do we have?' Well, there is still light at the end of the tunnel.

Macquarie Bank and ING are still championing the cause of fee-free withdrawals across all ATMs. Ample reason to consider that switch, perhaps?



With the surge of digital transactions, it seems plausible to question the longevity of ATMs.

Based on data from the Australian Prudential Regulation Authority, the number of ATMs in Australia has decreased by half between 2017 and 2022.


View attachment 24506
The pace at which ATMs will continue to decline is a subject of ongoing debate. Image by eduschadesoares from unsplash



A recent report by the Australian Banking Association reveals that an overwhelming 98.9 per cent of bank interactions in Australia over the past four years were conducted digitally.

As cash transactions and ATM machines continue to decline significantly, Associate Professor Christoph Breidbach from the University of Queensland's Business School predicts that fees for cash withdrawals may continue to rise for individuals who still prefer or require cash transactions.



Breidbach said, ‘It’s expensive for banks to run ATMs. Now we have a Covid and post-Covid society, which has supercharged a cashless society because people were afraid to touch cash. An increase in fees for ATM transactions is the logical consequence because there are fewer and fewer people using them, but the cost (to run them) is the same.’

John Hicks, an Economics Professor at Charles Sturt University, agreed with the notion that it is logical for banks to divest themselves of ATMs as they become less profitable.

Consequently, third-party entities will impose fees since they, too, require revenue generation.

Professor Mark Humphery-Jenner expressed a different perspective, indicating scepticism regarding the imminent disappearance of ATMs.

He said, ‘Banks sometimes claim that ATMs are unnecessary, but this is disingenuous. If cash were so disliked and ATMs so unnecessary, why do third parties think they can make a profit by running ATMs?’



Key Takeaways

  • Banks offloading ATMs to third-party suppliers is having a negative impact on Australians with high withdrawal fees reinstated.
  • Some Australian banks have signed agreements with currency management service provider Armaguard, effectively offloading a significant portion of their ATMs.
  • The University of New South Wales Associate Professor of Finance, Mark Humphery-Jenner, warned that this trend impacts everyone and particularly harms those who make smaller withdrawals more often.
  • Despite the trend of increasing ATM fees, several options are still available for customers seeking to avoid these fees, such as withdrawing at bank branches or switching to banks that waive ATM fees from all machines.

In a nutshell, banks will keep watching their dollars, and we, in turn, need to keep a vigilant eye on ours.

Are you concerned about the decreasing accessibility of fee-free ATMs and the potential financial impact on individuals, especially those with limited budgets? Do you believe that the shift towards a cashless society will lead to the complete disappearance of ATMs? Share your opinions; we’re all ears.
This will eventually lead to more and more people loosing none due to internet scams. They have our money in our accounts making millions off is by paying us very low interest whilst they get high interest fr credit cards not being paid in full, high interest on credit cards and rising interest rates on mortgages. I remember back in the 80s and 90s we jad mortgages of 19.5% and credit card interest of 21.5%, though ours currently is 13.5% but paid off in full each month. Can only rent now as too old to purchase anything, no lender would even contemplate financing a pensioner and spon to be pensioner and part working daughter. Though we have paid off the mortgages of at least 2 or 3 properties we have rented the past 30 yrs. Don't see how some people on incomes of $180K can complain they can't live on that. Try living on well under $60K these days. Live pension fortnight to fortnight. Trouble is, people all want mansions with many other rooms that just gather more and more dust. Not l8ke last century where we lived in modest 3 bedroom 1 bathroom houses with a decent backyard for children to play in. Now they play in the streets and nearly get killed and or cause accidents.
 
  • Like
Reactions: Nana Zorak
My BOQ has a fee-free ATM I usually take just $50.00 out a fortnight for my English magazines that way I have the change in my purse for things like charity boxes & notes so I never feel broke. Other than that I use my card for everything else or the computer to pay fortnightly bills. I still like to have cash money for emergencies.
 
DO THE ATM ;S ALSO CHARGE FOR GIVEING BALANCES ?
They shouldn't do ad you aren't deducting anything, but then it wouldn't surprise me if they do. When I use an ATM I always check my balance to make sure I have the funds there. I know I can check on my phone too before hand. Just an old habit. I remember when banks were there for the customer. Now it just seems to be as much profits they can make so the top end get there bonuses each year. They get paid Millions, I mean you can only spend so much. I suppose never being rich and always struggling I have no real clue what it's like to be well off and not worry if we can eat, pay the rent, electricity etc. be rich get richer and the poor remain so if not worse off over time.
 
The banks are idiots all they will do is push every body back to using cash I already draw money out and use cash if a shop is going to charge me for using a card we never asked for cards the banks pushed us onto them
 
You are not wrong there, we never asked for cards, the banks just told us this is way they were going and sent them out, we did not have a say. Why may I ask, would I pay for something for 40c - 70c on a bankcard? I pity the poor old Charity people with cash collecting boxes, will they have card machines now. Cash is king.
 
There's a difference between, fashion & a uniform. Puffa jackets are the norm in the winter months, whatever Taylor Swift wears subsequently becomes the uniform of Swifties, the list goes on.
A large percentage of people wear Jeans. Does that make it a uniform?
 
Time for us to close any account we have with the ANZ, just to let them know they need our money more than we need them.
 
When it comes to charging fees to access your own money, there is something else to be aware of. It used to be that if you paid for something with a credit card, some merchants would apply a surcharge, but not if you used EFTPOS. This has gradually become a case of some merchants adding a surcharge on ALL card transactions. Some merchants will have a sign to that effect, and some will verbally advise you that is the case, but many of them say nothing and just surreptitiously add it to the bill without telling you. You won't be aware of it unless you check your receipt. It's mostly small businesses that do this and those companies do not get my repeat business. Another merchant told me to beware of using "pay and wave" where you just wave your card over the top of the machine. In his store, there is a surcharge for "pay and wave" but not for inserting your card and keying in your PIN number. I am sure he's not the only merchant who does this but he's the only one who has ever warned me about it. Now I always insert the card. It really makes you wonder about all these hidden fees.
 
Remember the good ol' days when visiting the local ATM didn't come with a price tag? When the convenience of cash withdrawal was simply that—a convenience?

Well, brace yourselves. These days, a simple visit to the ATM could leave you lighter in the pocket than you'd expected. And it's not the cash withdrawal we're talking about!



In 2017, a wave of relief washed over us as Australian banks declared they'd be scrapping cash-out fees for using another bank’s ATMs. The ATM landscape had begun to look like a consumer's dream: free and accessible.

Fast forward six years, and the lush landscape of fee-free withdrawals has become somewhat barren.

Nowadays, you are more likely to stumble upon an independent ATM provider showing no mercy with their hefty withdrawal costs.


View attachment 24505
There is a growing trend among banks to enter into agreements with third-party entities for their ATMs. Image by Peggy_Marco from pixabay



Associate Professor of Finance at the University of New South Wales, Mark Humphery-Jenner, said that these sly moves benefit banks, reducing their operational costs while simultaneously hitting consumers’ pockets.

'ATMx (owned by Armaguard) is now increasingly replacing ANZ machines. Unless your bank has a fee waiver agreement with ATMx, they will charge you $3 to withdraw your money.' cautioned the professor.



This is no trivial matter. Multiple withdrawals could quickly add up to a substantial loss for fixed-income or lower-income earners with tight budgets.

The professor suggested consumers could evade these fees by withdrawing money in person at bank branches.

But with local branches growing sparse, accessibility is becoming a real issue.

Now you might wonder, 'What other options do we have?' Well, there is still light at the end of the tunnel.

Macquarie Bank and ING are still championing the cause of fee-free withdrawals across all ATMs. Ample reason to consider that switch, perhaps?



With the surge of digital transactions, it seems plausible to question the longevity of ATMs.

Based on data from the Australian Prudential Regulation Authority, the number of ATMs in Australia has decreased by half between 2017 and 2022.


View attachment 24506
The pace at which ATMs will continue to decline is a subject of ongoing debate. Image by eduschadesoares from unsplash



A recent report by the Australian Banking Association reveals that an overwhelming 98.9 per cent of bank interactions in Australia over the past four years were conducted digitally.

As cash transactions and ATM machines continue to decline significantly, Associate Professor Christoph Breidbach from the University of Queensland's Business School predicts that fees for cash withdrawals may continue to rise for individuals who still prefer or require cash transactions.



Breidbach said, ‘It’s expensive for banks to run ATMs. Now we have a Covid and post-Covid society, which has supercharged a cashless society because people were afraid to touch cash. An increase in fees for ATM transactions is the logical consequence because there are fewer and fewer people using them, but the cost (to run them) is the same.’

John Hicks, an Economics Professor at Charles Sturt University, agreed with the notion that it is logical for banks to divest themselves of ATMs as they become less profitable.

Consequently, third-party entities will impose fees since they, too, require revenue generation.

Professor Mark Humphery-Jenner expressed a different perspective, indicating scepticism regarding the imminent disappearance of ATMs.

He said, ‘Banks sometimes claim that ATMs are unnecessary, but this is disingenuous. If cash were so disliked and ATMs so unnecessary, why do third parties think they can make a profit by running ATMs?’



Key Takeaways

  • Banks offloading ATMs to third-party suppliers is having a negative impact on Australians with high withdrawal fees reinstated.
  • Some Australian banks have signed agreements with currency management service provider Armaguard, effectively offloading a significant portion of their ATMs.
  • The University of New South Wales Associate Professor of Finance, Mark Humphery-Jenner, warned that this trend impacts everyone and particularly harms those who make smaller withdrawals more often.
  • Despite the trend of increasing ATM fees, several options are still available for customers seeking to avoid these fees, such as withdrawing at bank branches or switching to banks that waive ATM fees from all machines.

In a nutshell, banks will keep watching their dollars, and we, in turn, need to keep a vigilant eye on ours.

Are you concerned about the decreasing accessibility of fee-free ATMs and the potential financial impact on individuals, especially those with limited budgets? Do you believe that the shift towards a cashless society will lead to the complete disappearance of ATMs? Share your opinions; we’re all ears.
They charge you $3 just to check your balance. If ATMs are so expensive, why did the Banks revert to them. As usual Banks call the shots, and we are all beholden to them, as they lend money they don't have and have us all guarantee them while they do it. Suckers is what such behaviour is titled imo.
 
Remember the good ol' days when visiting the local ATM didn't come with a price tag? When the convenience of cash withdrawal was simply that—a convenience?

Well, brace yourselves. These days, a simple visit to the ATM could leave you lighter in the pocket than you'd expected. And it's not the cash withdrawal we're talking about!



In 2017, a wave of relief washed over us as Australian banks declared they'd be scrapping cash-out fees for using another bank’s ATMs. The ATM landscape had begun to look like a consumer's dream: free and accessible.

Fast forward six years, and the lush landscape of fee-free withdrawals has become somewhat barren.

Nowadays, you are more likely to stumble upon an independent ATM provider showing no mercy with their hefty withdrawal costs.


View attachment 24505
There is a growing trend among banks to enter into agreements with third-party entities for their ATMs. Image by Peggy_Marco from pixabay



Associate Professor of Finance at the University of New South Wales, Mark Humphery-Jenner, said that these sly moves benefit banks, reducing their operational costs while simultaneously hitting consumers’ pockets.

'ATMx (owned by Armaguard) is now increasingly replacing ANZ machines. Unless your bank has a fee waiver agreement with ATMx, they will charge you $3 to withdraw your money.' cautioned the professor.



This is no trivial matter. Multiple withdrawals could quickly add up to a substantial loss for fixed-income or lower-income earners with tight budgets.

The professor suggested consumers could evade these fees by withdrawing money in person at bank branches.

But with local branches growing sparse, accessibility is becoming a real issue.

Now you might wonder, 'What other options do we have?' Well, there is still light at the end of the tunnel.

Macquarie Bank and ING are still championing the cause of fee-free withdrawals across all ATMs. Ample reason to consider that switch, perhaps?



With the surge of digital transactions, it seems plausible to question the longevity of ATMs.

Based on data from the Australian Prudential Regulation Authority, the number of ATMs in Australia has decreased by half between 2017 and 2022.


View attachment 24506
The pace at which ATMs will continue to decline is a subject of ongoing debate. Image by eduschadesoares from unsplash



A recent report by the Australian Banking Association reveals that an overwhelming 98.9 per cent of bank interactions in Australia over the past four years were conducted digitally.

As cash transactions and ATM machines continue to decline significantly, Associate Professor Christoph Breidbach from the University of Queensland's Business School predicts that fees for cash withdrawals may continue to rise for individuals who still prefer or require cash transactions.



Breidbach said, ‘It’s expensive for banks to run ATMs. Now we have a Covid and post-Covid society, which has supercharged a cashless society because people were afraid to touch cash. An increase in fees for ATM transactions is the logical consequence because there are fewer and fewer people using them, but the cost (to run them) is the same.’

John Hicks, an Economics Professor at Charles Sturt University, agreed with the notion that it is logical for banks to divest themselves of ATMs as they become less profitable.

Consequently, third-party entities will impose fees since they, too, require revenue generation.

Professor Mark Humphery-Jenner expressed a different perspective, indicating scepticism regarding the imminent disappearance of ATMs.

He said, ‘Banks sometimes claim that ATMs are unnecessary, but this is disingenuous. If cash were so disliked and ATMs so unnecessary, why do third parties think they can make a profit by running ATMs?’



Key Takeaways

  • Banks offloading ATMs to third-party suppliers is having a negative impact on Australians with high withdrawal fees reinstated.
  • Some Australian banks have signed agreements with currency management service provider Armaguard, effectively offloading a significant portion of their ATMs.
  • The University of New South Wales Associate Professor of Finance, Mark Humphery-Jenner, warned that this trend impacts everyone and particularly harms those who make smaller withdrawals more often.
  • Despite the trend of increasing ATM fees, several options are still available for customers seeking to avoid these fees, such as withdrawing at bank branches or switching to banks that waive ATM fees from all machines.

In a nutshell, banks will keep watching their dollars, and we, in turn, need to keep a vigilant eye on ours.

Are you concerned about the decreasing accessibility of fee-free ATMs and the potential financial impact on individuals, especially those with limited budgets? Do you believe that the shift towards a cashless society will lead to the complete disappearance of ATMs? Share your opinions; we’re all ears.
welcome to rural living ..... it is the only option for most of us. as the big 4 banks dont want to service us. the only option is the high fee of an independent atm. we have had to suffer these fees for years. now you are catching up.
 
Remember the good ol' days when visiting the local ATM didn't come with a price tag? When the convenience of cash withdrawal was simply that—a convenience?

Well, brace yourselves. These days, a simple visit to the ATM could leave you lighter in the pocket than you'd expected. And it's not the cash withdrawal we're talking about!



In 2017, a wave of relief washed over us as Australian banks declared they'd be scrapping cash-out fees for using another bank’s ATMs. The ATM landscape had begun to look like a consumer's dream: free and accessible.

Fast forward six years, and the lush landscape of fee-free withdrawals has become somewhat barren.

Nowadays, you are more likely to stumble upon an independent ATM provider showing no mercy with their hefty withdrawal costs.


View attachment 24505
There is a growing trend among banks to enter into agreements with third-party entities for their ATMs. Image by Peggy_Marco from pixabay



Associate Professor of Finance at the University of New South Wales, Mark Humphery-Jenner, said that these sly moves benefit banks, reducing their operational costs while simultaneously hitting consumers’ pockets.

'ATMx (owned by Armaguard) is now increasingly replacing ANZ machines. Unless your bank has a fee waiver agreement with ATMx, they will charge you $3 to withdraw your money.' cautioned the professor.



This is no trivial matter. Multiple withdrawals could quickly add up to a substantial loss for fixed-income or lower-income earners with tight budgets.

The professor suggested consumers could evade these fees by withdrawing money in person at bank branches.

But with local branches growing sparse, accessibility is becoming a real issue.

Now you might wonder, 'What other options do we have?' Well, there is still light at the end of the tunnel.

Macquarie Bank and ING are still championing the cause of fee-free withdrawals across all ATMs. Ample reason to consider that switch, perhaps?



With the surge of digital transactions, it seems plausible to question the longevity of ATMs.

Based on data from the Australian Prudential Regulation Authority, the number of ATMs in Australia has decreased by half between 2017 and 2022.


View attachment 24506
The pace at which ATMs will continue to decline is a subject of ongoing debate. Image by eduschadesoares from unsplash



A recent report by the Australian Banking Association reveals that an overwhelming 98.9 per cent of bank interactions in Australia over the past four years were conducted digitally.

As cash transactions and ATM machines continue to decline significantly, Associate Professor Christoph Breidbach from the University of Queensland's Business School predicts that fees for cash withdrawals may continue to rise for individuals who still prefer or require cash transactions.



Breidbach said, ‘It’s expensive for banks to run ATMs. Now we have a Covid and post-Covid society, which has supercharged a cashless society because people were afraid to touch cash. An increase in fees for ATM transactions is the logical consequence because there are fewer and fewer people using them, but the cost (to run them) is the same.’

John Hicks, an Economics Professor at Charles Sturt University, agreed with the notion that it is logical for banks to divest themselves of ATMs as they become less profitable.

Consequently, third-party entities will impose fees since they, too, require revenue generation.

Professor Mark Humphery-Jenner expressed a different perspective, indicating scepticism regarding the imminent disappearance of ATMs.

He said, ‘Banks sometimes claim that ATMs are unnecessary, but this is disingenuous. If cash were so disliked and ATMs so unnecessary, why do third parties think they can make a profit by running ATMs?’



Key Takeaways

  • Banks offloading ATMs to third-party suppliers is having a negative impact on Australians with high withdrawal fees reinstated.
  • Some Australian banks have signed agreements with currency management service provider Armaguard, effectively offloading a significant portion of their ATMs.
  • The University of New South Wales Associate Professor of Finance, Mark Humphery-Jenner, warned that this trend impacts everyone and particularly harms those who make smaller withdrawals more often.
  • Despite the trend of increasing ATM fees, several options are still available for customers seeking to avoid these fees, such as withdrawing at bank branches or switching to banks that waive ATM fees from all machines.

In a nutshell, banks will keep watching their dollars, and we, in turn, need to keep a vigilant eye on ours.

Are you concerned about the decreasing accessibility of fee-free ATMs and the potential financial impact on individuals, especially those with limited budgets? Do you believe that the shift towards a cashless society will lead to the complete disappearance of ATMs? Share your opinions; we’re all ears.
It’s unfair to enforce fees if going cashless is the only option that include ATM and credit card fees when purchasing
 
  • Like
Reactions: MotherGoose
This whole issue makes me so mad. They want us to pay by card so that they can charge us for the privilege! I bank with Bendigo Bank, the only one in my small town, which means no fees for their ATM, and also with ING who reimburse fees charged by other ATMs.
 
An econ
Remember the good ol' days when visiting the local ATM didn't come with a price tag? When the convenience of cash withdrawal was simply that—a convenience?

Well, brace yourselves. These days, a simple visit to the ATM could leave you lighter in the pocket than you'd expected. And it's not the cash withdrawal we're talking about!



In 2017, a wave of relief washed over us as Australian banks declared they'd be scrapping cash-out fees for using another bank’s ATMs. The ATM landscape had begun to look like a consumer's dream: free and accessible.

Fast forward six years, and the lush landscape of fee-free withdrawals has become somewhat barren.

Nowadays, you are more likely to stumble upon an independent ATM provider showing no mercy with their hefty withdrawal costs.


View attachment 24505
There is a growing trend among banks to enter into agreements with third-party entities for their ATMs. Image by Peggy_Marco from pixabay



Associate Professor of Finance at the University of New South Wales, Mark Humphery-Jenner, said that these sly moves benefit banks, reducing their operational costs while simultaneously hitting consumers’ pockets.

'ATMx (owned by Armaguard) is now increasingly replacing ANZ machines. Unless your bank has a fee waiver agreement with ATMx, they will charge you $3 to withdraw your money.' cautioned the professor.



This is no trivial matter. Multiple withdrawals could quickly add up to a substantial loss for fixed-income or lower-income earners with tight budgets.

The professor suggested consumers could evade these fees by withdrawing money in person at bank branches.

But with local branches growing sparse, accessibility is becoming a real issue.

Now you might wonder, 'What other options do we have?' Well, there is still light at the end of the tunnel.

Macquarie Bank and ING are still championing the cause of fee-free withdrawals across all ATMs. Ample reason to consider that switch, perhaps?



With the surge of digital transactions, it seems plausible to question the longevity of ATMs.

Based on data from the Australian Prudential Regulation Authority, the number of ATMs in Australia has decreased by half between 2017 and 2022.


View attachment 24506
The pace at which ATMs will continue to decline is a subject of ongoing debate. Image by eduschadesoares from unsplash



A recent report by the Australian Banking Association reveals that an overwhelming 98.9 per cent of bank interactions in Australia over the past four years were conducted digitally.

As cash transactions and ATM machines continue to decline significantly, Associate Professor Christoph Breidbach from the University of Queensland's Business School predicts that fees for cash withdrawals may continue to rise for individuals who still prefer or require cash transactions.



Breidbach said, ‘It’s expensive for banks to run ATMs. Now we have a Covid and post-Covid society, which has supercharged a cashless society because people were afraid to touch cash. An increase in fees for ATM transactions is the logical consequence because there are fewer and fewer people using them, but the cost (to run them) is the same.’

John Hicks, an Economics Professor at Charles Sturt University, agreed with the notion that it is logical for banks to divest themselves of ATMs as they become less profitable.

Consequently, third-party entities will impose fees since they, too, require revenue generation.

Professor Mark Humphery-Jenner expressed a different perspective, indicating scepticism regarding the imminent disappearance of ATMs.

He said, ‘Banks sometimes claim that ATMs are unnecessary, but this is disingenuous. If cash were so disliked and ATMs so unnecessary, why do third parties think they can make a profit by running ATMs?’



Key Takeaways

  • Banks offloading ATMs to third-party suppliers is having a negative impact on Australians with high withdrawal fees reinstated.
  • Some Australian banks have signed agreements with currency management service provider Armaguard, effectively offloading a significant portion of their ATMs.
  • The University of New South Wales Associate Professor of Finance, Mark Humphery-Jenner, warned that this trend impacts everyone and particularly harms those who make smaller withdrawals more often.
  • Despite the trend of increasing ATM fees, several options are still available for customers seeking to avoid these fees, such as withdrawing at bank branches or switching to banks that waive ATM fees from all machines.

In a nutshell, banks will keep watching their dollars, and we, in turn, need to keep a vigilant eye on ours.

Are you concerned about the decreasing accessibility of fee-free ATMs and the potential financial impact on individuals, especially those with limited budgets? Do you believe that the shift towards a cashless society will lead to the complete disappearance of ATMs? Share your opinions; we’re all ears.
An economics professor says ATM's are uneconomical? But those bloody banks are making HUGE profits. Also banks are reducing services, not holding enough cash for customers to withdraw their own money, closing branches and ATM's . Soon there will be NO need for banks!
 

Join the conversation

News, deals, games, and bargains for Aussies over 60. From everyday expenses like groceries and eating out, to electronics, fashion and travel, the club is all about helping you make your money go further.

Seniors Discount Club

The SDC searches for the best deals, discounts, and bargains for Aussies over 60. From everyday expenses like groceries and eating out, to electronics, fashion and travel, the club is all about helping you make your money go further.
  1. New members
  2. Jokes & fun
  3. Photography
  4. Nostalgia / Yesterday's Australia
  5. Food and Lifestyle
  6. Money Saving Hacks
  7. Offtopic / Everything else

Latest Articles

  • We believe that retirement should be a time to relax and enjoy life, not worry about money. That's why we're here to help our members make the most of their retirement years. If you're over 60 and looking for ways to save money, connect with others, and have a laugh, we’d love to have you aboard.
  • Advertise with us

User Menu

Enjoyed Reading our Story?

  • Share this forum to your loved ones.
Change Weather Postcode×
Change Petrol Postcode×