SOPHIE ELSWORTH
May 17, 2018
News Corp Australia Network
ATMs and bank branches are rapidly disappearing across the country since the dumping of withdrawal fees by the big four banks and as more customers use “tap and go” technology.
Exclusive new figures show machine numbers have dropped by nearly 450 nationally since the banning of ATM fees in September and bank branches are also on the decline.
The big four banks all ditched foreign ATM fees of at least $2 per customer to withdraw cash from a machine that was not in their own bank’s network.
In the past year Westpac has removed 200 machines, ANZ 130 machines, National Australia Bank 115 machines while CBA has added two machines.
About 450 big bank ATMs have been removed in the past year.
And for customers wanting to have face-to-face contact with a banker this is also becoming harder.
Bank branches have diminished in the past 12 months — ANZ has removed 46 branches, NAB 36 branches, Westpac 34 branches and CBA 9 branches — a total of 125 closures.
Financial comparison website Mozo’s spokeswoman Kirsty Lamont said ATMs were no longer the cash cows they once were for banks and more customers were turning to pay using “tap and go” technology ahead of cash.
Mozo spokeswoman Kirsty Lamont says ATMs are no longer as lucrative for banks since the removal of ATM fees and more customers move to paying by cash.
“The scrapping of ATM charges last year, the fees charged by banks when the customer of another bank uses their ATM, means ATMs are no longer as lucrative as they once were,’’ she said.
“With operating costs eating into the bank’s bottom line, we expect even more ATMs to fall by the wayside over the next year or the introduction of a merged ATM system shared between banks.”
Latest statistics from the Australian Payments Network shows the number of ATM withdrawals in the past five years has fallen by 25 per cent and so too is the amount of cash being withdrawn.
The use of ATMs continues to decline in Australia.
In the past five years this has fallen by 12 per cent or a total of $17.5 billion.
The Australian Banking Association’s chief economist Tony Pearson said “cash is no longer king” and more people were doing away with the need to use cash.
“Today Australians are able to pay for goods and services at the swipe of a card, smart phone or even their watch,’’ he said.
“As a result of this shift there has been a reduction in customer’s reliance on more traditional banking channels such as branches and ATMs.”
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