ATM use declining
(25 August 2015 – Australia) The Reserve Bank of Australia (RBA) has forecast a decline in the number of ATMs needed in the future as they are used less, replaced by digital payments.
Banks and other ATM owners are feeling the pinch as the machines are used less.
The RBA said at present there are more than 31,000 cash machines throughout Australia, which it said is excessive relative to the population.
The number of withdrawals has fallen by around 20 percent since a peak in 2009.
More shoppers have used cards, including contactless payments, using cash less regularly.
Another problem has been the introduction of fees of at least A$2 to use an ATM that is not owned by the customer’s bank.
Both the Commonwealth Bank of Australia and Westpac signalled their revenue from ATM fees had dropped.
CBA said it made A$54 million a year in revenue from ATM fees but spent A$160 million to maintain the network.
Westpac revealed its ATMS made a ‘net negative contribution’ with costs from maintenance and security rising at the same time customers used the machines less.
Subscribe