Charges for cash withdrawal from other banks’ ATMs to go up

Customers are set to incur more charges for taking out cash from ATM booths of banks other than their own.

At present, it costs Tk 20 to take out cash from another bank’s ATM booth, but the charge is split evenly between the customer and his/her bank.

But banks have urged the central bank to excuse them from paying half of the Tk 20-charge, as it is the customers who enjoy the service and not them, said a high official of Bangladesh Bank.

In other words, banks want their customers to bear the entire Tk 20 cost for the convenience to take out money from any cash machine.

More and more people are now using the option and banks have to pay a significant sum to others as a result. Customers withdrew about Tk 104 crore from ATM booths of other banks last month. The BB took a middle ground: the customer will pay Tk 15 for the service and his/her bank will foot the remaining Tk 5 of the charge.

The official said the central bank will notify all banks of its decision this week.

Meanwhile, in another development seven more banks have entered the National Payment Switch (NPS) system to take the total number to 38.The NPS system, recently introduced by the BB to cut the risk of carrying large amounts of cash, allows these banks’ customers to use each other’s ATM booths.