Australians to save millions of dollars in ATM direct charge fees
Sydney, 02 September 2009: Australian consumers have a reason to celebrate with NAB and Cuscal announcing today they have received interim ACCC approval to join ATM networks. The new network, which goes live today, will save NAB and rediATM customers millions of dollars a year in direct charge fees.
The combined network will have more than 3,100 ATMs in rural, regional and metro locations, with 2,900 of those to be in unique locations - more than any other major bank in Australia.
ATM usage in Australia:
- Approximately 865 million withdrawal transactions were conducted over ATMs in Australia in 2008.
- Over $500 million in direct charge ATM fees are incurred by consumers in Australia each year.
- NAB and rediATM customers conduct more than 190 million ATM transactions per year - more than 40% of these are on ATMs other than their own financial institution resulting in more than $150 million in direct charge fees a year.
- NAB and rediATM customers conduct more than 5 million ATM transactions per year on each other's ATMs resulting in $10 million in direct charge fees a year - this alliance will see consumers save this cost.
- ATM direct charge fees in Australia range between $1.50 and $2.20 for cash withdrawals and $0.50 and $2.00 for balance enquiries1.
The combined NAB and Cuscal-managed rediATM network is extensive - accessible along high streets and in shopping centres which is great news for the 91%2 of Australians who believe it's important to have an ATM in a convenient location.
Cuscal Managing Director, Craig Kennedy, said the NAB alliance more than doubled the size of the rediATM network, offering customers more locations to avoid ATM direct charge fees.
"This is fantastic news for rediATM customers. We can now provide significantly greater ATM access and more convenient banking for approximately seven million Australians," Mr Kennedy said.
NAB Personal Banking's Executive General Manager for NAB Retail, Warren Shaw, said customers could feel confident that NAB was delivering on its commitment to provide fair value to all consumers.
"Not only are we focused on doubling our ATM network to provide greater opportunities for our customers to avoid direct charge ATM fees, we also offer highly competitive3 ATM direct charge fees for non-NAB customers.
"That means we're providing cheaper ATM banking for all Australians which is ideal for the 82%4 of Australians who have used ATMs not owned by their bank," Mr Shaw said.
Full regulatory approval by the ACCC is expected later in 2009. From today, NAB and rediATM customers can utilise the joint network without incurring a direct charge fee.
1 Source: http://www.atmfeetracker.com/atm-fee-table/
2 Galaxy Research survey commissioned by NAB (August 2009) - conducted online with a total of 1279 respondents aged 18 years and older.
3 Direct charge fees on NAB's ATM network for non-NAB customers: $1.50 for cash withdrawals and $0.50 for balance enquiries.
4 Galaxy Research survey commissioned by NAB - conducted online with a total of 1279 respondents aged 18 years and older in August 2009.
Cuscal is the leading business-to-business provider of wholesale banking and transactional banking services to specialist retail financial institutions in Australia. Cuscal developed the rediATM sub-network in response to the introduction of direct charging in March 2009. The Cuscal-managed rediATM network provides national ATM high-street locations to 3.5 million cardholders of over 100 specialist financial organisations.
NAB Personal Banking is one of Australia's leading consumer banks, managing the finances of over three million customers every day. NAB Personal Banking has approximately 11,000 employees and 750 retail stores spread across all states and territories in Australia.
For further information contact:
General Manager - Business Development, Strategy & People
P: 02 8299 9671 M: 0411 641 340 F: 02 8299 9613 E: firstname.lastname@example.org www.cuscal.com.au