bank rates

Chase Ends $5 ATM Fee Test

Non-bank customers will now be charged $3Well, that didn’t last long. And for good reason.

Chase this week said it would scrap the $5 ATM fee it had charged nonbank customers at some of their ATMs in Illinois and Texas.

The $5 ATM fees were widely lambasted when the bank announced the test earlier this year. We said then that it was “gross.”

Two things to take from this:

  • People will push back against highway robbery.
  • The banking industry isn’t exactly like the airline industry after all. We were wrong on this one. We expected other big banks to follow suit and increase their fees after Chase tested the waters.

They didn’t. So, if you had the option of a $5 Chase ATM fee or crossing the street to Wells Fargo or Citi or TD Bank and paying less, why wouldn’t you?

Fees will drop down to $3 on those test Chase ATMs. Still not great, but it’s better than $5.

Take note, consumers: You scream loud enough — and take your money and debit card elsewhere — and the big banks will be forced to listen.

The move to charge higher ATM fees was largely seen as a response to the Credit CARD Act, which increased oversight of what banks can and can’t do.

The regulations have curbed some of the banks’ revenue power, and increasing fees was seen as one way to make up the difference.

Back to the drawing board for now.

Don't miss out on the next bank deal. Get the newest deals delivered straight to your inbox!

Comments (0)
1 Star2 Stars3 Stars4 Stars5 Stars (5 votes, average: 4.40 out of 5)
Loading...
No Existing Comments

Comments are closed.