Wave Goodbye to ATM Fees

Ramping up their efforts to woo new customers, PNC Financial Services Group Inc. (PNC) and Commerce Bancorp Inc. (CBH) recently said that they not only will stop charging some customers for using competitors' ATMs, but also will reimburse the customers for the surcharges that the other banks slap on the transactions…industry observers expect a wave of banks to follow PNC and Commerce's lead and put ATM fees on the chopping block.

Anat Bird, a banking industry expert and consultant in Granite Bay, Calif., said that in the next two years, ATM fees probably will disappear among small and mid-sized banks that are operating in competitive markets. Offering refunds can help the smaller players neutralize the competitive advantages enjoyed by national banks that have much more extensive ATM networks.

Excerpt taken from a David Enrich article found in the Seattle Times, April 16, 2005, p. E15, or you can view it here.