The number of ATM charges has increased, and it has been raised for the eighth consecutive year

The number of ATM charges has increased, and it has been raised for the eighth consecutive year (Alberta Times) Financial research company Bankate.com released its annual survey report on the 24th and said...

(Alberta Times)

Financial research company Bankate.com released its annual survey report on the 24th and said that in order to make up for the losses caused by tightening regulations, the banking industry has increased automatic teller machine (ATM) fees to record levels and reduced free checking accounts. Bankate.com said that this year, ATM charges have been raised for the eighth consecutive year, by 4%, to a record-breaking $2.50; the charge for using a competing bank's ATM has been increased by 11%, to $1.57, so for many customers, the charge for using a competing bank's ATM is $4.07, a record-breaking 7% increase. Banks have traditionally made up for it by letting their customers use ATMs for free and then charging customers for using interbank ATMs, but now that people are getting savvier and only use ATMs within the system, banks are trying to make up for their lost revenue. A Bankate.com analysis of 477 checking accounts at 247 banks and savings banks found that banks offer no-interest checking accounts with no fees for only 39% of customers, compared with 45% last year and a peak of 76% in 2009. The average monthly service fee for checking accounts also reached a record-breaking $5.48, up 25% from last year. McBride, an analyst at Bankate.com, said the banking industry's revenue has fallen due to tightening regulations, especially the government's 2010 restriction on bank overdraft fees and last year's reduction of swipe fees for consumers using charge cards, which led banks to reduce the number of free checking accounts. McBride said card fees and overdraft fees used to be a source of revenue to support free checking accounts, but now the banking industry is more selective about giving free checking accounts, often only to preferential customers, such as those with direct deposit. These measures have an impact on customer behavior. According to a Bankate.com survey, 72% of bank customers said they would consider changing banks if the bank raised fees. Last year, the rate was 64%. High-income customers with at least $75,000 in their accounts were the most likely to change banks. 82% of them said they would consider changing banks if banks raised fees. McBride said consumers can still avoid ATM fees and overdraft fees if they maintain good financial habits. Standalone free checking accounts will continue to shrink, but most people still have ways to get a free checking account, such as setting up direct deposit or finding a bank or credit union that offers a free checking account.