ATM usage fee: You’re walking down the street, searching for the nearest ATM, only to be hit with a hefty fee. Sound familiar? It may have happened once or twice before, and you may not know what it was or why you had to pay it.
Don’t worry—ATM usage fees are common, but they don’t have to be. In this article, we’ll discuss what ATM usage fees are, who charges them, how much they cost and most importantly—how to avoid them. ATMs come handy when you have run out of money and need cash immediately.
So, if you ever find yourself in a situation where you need cash but don’t want to pay extra for it, read on!
What is an ATM Usage Fee?
ATM usage fees are charges that banks levy on customers for using ATMs outside of their network. They can add up quickly! These fees vary depending on the bank and the type of transaction you make.
Generally, banks will charge a fee when you withdraw money from an ATM not owned by them or in a different network. This fee can range from $1 to $5 per transaction. The amount may also be affected by withdrawal limits and other restrictions imposed by your bank.
Understanding these fees can help you avoid costly surprises when using an ATM outside your usual network. Therefore, it is important to know who charges these fees and how much they cost before making any withdrawals.
Who Charges ATM Usage Fees?
Nobody wants to get hit with charges for accessing their own money! ATM usage fees are often applied when customers use ATMs that are not owned by their bank.
Banks that charge usage fees include those who have direct debit and online banking services, as well as credit unions. These banks usually allow customers to withdraw cash from any ATM they choose, but may charge a fee for doing so.
In some cases, the fee will be automatically deducted from the customer’s account balance when they make a withdrawal. Other times, it will appear on the customer’s statement as a separate transaction.
It is important to check with your bank or credit union before withdrawing cash at an ATM in order to avoid unexpected fees. Understanding who charges ATM usage fees can help you better manage your finances and keep more of your hard-earned money in your pocket.
How Much are ATM Usage Fees?
Do you ever wonder how much of your hard-earned money is lost to ATM usage fees? It all depends on the bank or ATM network policies.
Banks may charge anywhere from $2 to $6 for each transaction, while some ATM networks might tack on an extra fee depending on the type of withdrawal.
Typically, these fees are listed on the screen when you’re making a transaction, so it’s easy to see what kind of fee you’ll be charged. However, if you’re not paying attention, this can add up quickly and lead to major losses in your budget.
Thankfully, there are ways to avoid these fees altogether.
ATM Usage Fee of Different Banks:
| Bank | Non-Network ATM Fee | International ATM Fee | ATM Operator Fee |
|---|---|---|---|
| Bank of America | $2.50 | $5.00 and 3% | $3.00 |
| BB&T | $2.50 | $5.00 and 3% | $2.50 |
| BBVA Compass | $2.50 | $2.50 and 3% | – |
| BMO Harris | $2.50 | $2.50 and 3% | $2.50 |
| Capital One | $2.00 | $2.00 and 3% | $3.00 |
| Chase | $2.50 | $5.00 and 3% | $3.00 |
| Citibank | $2.50 | $2.50 and 3% | $3.00 |
| Citizens Bank | $3.00 | $3.00 and 3% | $3.00 |
| Comerica Bank | $2.50 | $5.00 and 3% | $3.00 |
| Fifth Third Bank | $2.75 | $5.00 and 3% | $1.50 – $3.50 |
| HSBC Bank | $2.50 | $2.50 and 3% | – |
| Keybank | $2.50 | $5.00 and 1% | $2.50 |
Please note that these fees are subject to change, and it’s best to verify them directly with the bank.
Tips for Avoiding ATM Usage Fees
You don’t want to throw away your hard-earned cash on unnecessary fees, so here’s how you can keep more of your money in your pocket.
When selecting a bank, be sure to compare their ATM usage fee policies. Depending on the type of account you have with them, there may be certain restrictions or advantages when it comes to withdrawing from ATMs.
Make sure to look into card comparison as well; some debit cards offer free transactions at select ATMs and are worth considering. Doing a quick internet search can help you find out which banks have free ATM networks and which ones may charge higher fees for withdrawals.
Being aware of the different types of fees associated with various ATMs is an important part of budgeting and saving money. With just a bit of research, you can save yourself time and money by avoiding excessive ATM usage fees.
Plus, there are plenty of alternatives to ATMs that can help make accessing your funds easier and more affordable.
Alternatives to ATMs
With so many ways to access your funds without having to pay hefty fees, why not explore the alternatives to ATMs?
Cashback programs from retail stores are a great way to get cash back when you use your debit card.
You can also get prepaid cards with a set amount of money that you can use for purchases. These cards act like debit cards but don’t require a bank account or ATM withdrawal fees.
Some banks also offer no-fee ATMs, which allow you to withdraw cash without incurring charges.
With these options available, there’s no reason to pay expensive ATM usage fees ever again!
Conclusion
You’ve learned what an ATM usage fee is, who charges it, and how much it costs. Now let’s discuss some tips for avoiding these fees:
- Plan ahead: One of the easiest ways to avoid ATM usage fees is to plan your cash withdrawals in advance. Take note of when you’ll need cash and make sure to withdraw it from your bank’s ATM or a fee-free ATM before that time.
- Use your bank’s ATM: Many banks have their own network of ATMs that offer fee-free withdrawals for their customers. Make sure to use these ATMs whenever possible to avoid paying extra fees.
- Look for fee-free ATMs: If you can’t find your bank’s ATM nearby, look for fee-free ATMs in your area. Some banks have partnerships with other ATM networks that allow their customers to withdraw cash without incurring any fees.
- Get cash back at stores: Another option to avoid ATM usage fees is to get cash back when making a purchase at a store. Many retailers offer this service, allowing you to withdraw cash without any additional fees.
- Consider online banking: Online banks often reimburse their customers for any ATM usage fees they incur. If you frequently need cash and don’t have access to your bank’s ATM, consider opening an account with an online bank to avoid these fees.
Remember, by planning ahead and being aware of your options, you can avoid paying unnecessary ATM usage fees and get the most out of your bank account.
