26 September 2017
visit www.ncr.com

ATM fees to hit £250m in 2006

14 November 2005  |  7745 views  |  0 ATM

UK bank customers will pay £250m to withdraw their own money from fee-charging cash machines in 2006, according to a report released by the Nationwide Building Society which shows there has been a 16% increase in the number of fee-charging ATMs during the past year.

Nationwide says the number of fee charging ATMs in the UK stood at 23,931 units at the end of September 2005, compared with 20,685 at the end September 2004. At the same time the number of free machines dropped 0.3% to 32,355 units.

Stuart Bernau, Nationwide executive director, says: "If this pattern continues, there is a real possibility that free access to cash will not survive other than at bank and building society branches and a few other locations such as main post offices."

Nationwide has released the study prior to MPs meeting in Westminster to back its call for greater transparency regarding the fee charging status of cash machines.

A survey for Nationwide found that 93% of British adults thought charging was unacceptable, while 97% thought all ATMs should display red or green stickers so that people could tell easily if they would be charged a fee.

The National Consumer Council (NCC) has echoed Nationwide's calls for the cash machine industry to halt the decrease in free ATMs.

Claire Whyley at the NCC, says: "This situation is unacceptable. It is essential that people have easy and cost-free access to their money. ATM charges are simply another example of the poor paying more — in this case they are paying a high price just to access their own money!"

But Link, which currently regulates the UK's ATM network, claims there is no current evidence that free cash machines are under threat. The organisation says there has in fact been a two per cent rise in the number of free machines at non-branch locations over the past year and that 96% of cash withdrawals are free.

Link admits that the number of charging cash machines has risen but insists that the vast majority of new charging machines are in locations that previously had no ATMs.

Following the Treasury Select Committee report on fee-charging ATMs in March this year Link introduced tougher rules on signage that will see ATM operators fined or disconnected from its network for non-compliance.

But Nationwide is calling for the entire ATM industry to adopt a more unambiguous, "at a glance" green or red signage stating whether consumers will be charged for using a cash machine. So far HBOS is the only bank to agree to display the new signs.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Nationwide introduces clearer signs for free ATMs; Cardpoint cashes in

Nationwide introduces clearer signs for free ATMs; Cardpoint cashes in

29 September 2005  |  7209 views  |  0 comments
Government under fire over fee-charging ATMs

Government under fire over fee-charging ATMs

20 July 2005  |  5282 views  |  0 comments
MPs demand clear labels for fee-charging ATMs

MPs demand clear labels for fee-charging ATMs

31 March 2005  |  6256 views  |  0 comments
Banks offered big bucks to sell off remote ATM networks

Banks offered big bucks to sell off remote ATM networks

11 February 2005  |  6657 views  |  0 comments
Campaign against fee-charging ATMs hits Scott Tod profits

Campaign against fee-charging ATMs hits Scott Tod profits

26 January 2005  |  5985 views  |  0 comments
Revenue from cash machine charges more than doubles in a year

Revenue from cash machine charges more than doubles in a year

16 December 2004  |  4964 views  |  0 comments
Nationwide urges adoption of ATM code of practice to avoid regulation

Nationwide urges adoption of ATM code of practice to avoid regulation

28 October 2004  |  4530 views  |  0 comments
Nationwide warns of rise of fee-charging ATMs

Nationwide warns of rise of fee-charging ATMs

21 September 2004  |  4730 views  |  0 comments
UK consumers still confused by fee-charging ATMs

UK consumers still confused by fee-charging ATMs

02 September 2004  |  5115 views  |  0 comments
Link members vote down Nationwide ATM resolution

Link members vote down Nationwide ATM resolution

26 June 2003  |  5322 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
download the paper nowvisit www.sibos.comvisit www.capgemini.com

Top topics

Most viewed Most shared
AXA launches blockchain to cover late flight compensationAXA launches blockchain to cover late flig...
12253 views comments | 16 tweets | 30 linkedin
European Commission makes fintech a priority in supervisory shakeupEuropean Commission makes fintech a priori...
8853 views comments | 34 tweets | 46 linkedin
hands typing furiouslyBlockchain is a new way of thinking?
7566 views 2 | 10 tweets | 1 linkedin
German central bank flags DLT weaknessesGerman central bank flags DLT weaknesses
7303 views comments | 17 tweets | 19 linkedin

Featured job

Competitive
London, UK (or flexible)

Find your next job