MSE News: Free ATMs 'could start charging withdrawal fees' because of row over costs

GingerBob_3

PeacefulWaters wrote: »

There's still a cost to installing an ATM, adding cash to an ATM, mauntaining an ATM, investigating disputes and crimes at an ATM.

Not many businesses invest in a piece of equipment without expecting a return from it.

And yet everywhere you look, you see more and more of the things. They're like weeds, springing up everywhere, even in redundant telephone kiosks. They must make money in the overall scheme of things otherwise the providers wouldn't do it. I think the issue here is more one of greedy bankers.

PeacefulWaters

GingerBob wrote: »

And yet everywhere you look, you see more and more of the things. They're like weeds, springing up everywhere, even in redundant telephone kiosks. They must make money in the overall scheme of things otherwise the providers wouldn't do it. I think the issue here is more one of greedy bankers.

Yes, you've rather missed the context of the original article to pursue an agenda.

Never mind.

mgdavid

Surely the simple answer to many of the 'problems' mentioned above is to use the cashback facility available in many shops & supermarkets, and don't ignore sub-post-offices too, now that many are open extended hours.

phillw

Jo_Blogs wrote: »

Just another way of making even more money out of people for gaining access to their money. The whole point of ATM's is so that people don't bother the bank staff inside banks during banking hours and so that they can have access to their money 24 hours a day. The banks can't have their cake and eat it, although I have a feeling they will at some point......:o

So the bank holds your money, issues cards and cheque books, pays people that you've set up direct debits when the ask, pays standing orders, cashes cheques and gives you instant access to your money and all for no charge?

I'm not sure how that is having their cake and eat it. We're lucky!to have free retail banking. In some countries the banks charge the customer for each cheque cashed (like business customers in the UK do).

bigadaj

phillw wrote: »

So the bank holds your money, issues cards and cheque books, pays people that you've set up direct debits when the ask, pays standing orders, cashes cheques and gives you instant access to your money and all for no charge?

I'm not sure how that is having their cake and eat it. We're lucky!to have free retail banking. In some countries the banks charge the customer for each cheque cashed (like business customers in the UK do).

I'm not so sure we're lucky with the free banking.

They obviously have the near free use of your deposited money to lend at profit, if a bank has a business model that requires charging then let them crack on with it.

The current system is arguably unfair as most if the charges are paid by the poor and or ignorant, but I wouldn't consider retail banking to be generous or customers to be lucky, it's just a business model.

Oh and considering what we all as taxpayers have put into rbs and lloyds, and the implicit guarantee that has supported the wider banking and financial system, then it's not very free at all.

pinkdalek

Jo_Blogs wrote: »

Just another way of making even more money out of people for gaining access to their money. The whole point of ATM's is so that people don't bother the bank staff inside banks during banking hours and so that they can have access to their money 24 hours a day. The banks can't have their cake and eat it, although I have a feeling they will at some point......:o

Simple answer, no more free banking. Banks charge for everything.

If you don't want to pay for a service you do it yourself. Think sometimes we forget how much different our banking culture is compared to other parts of the world.

PeacefulWaters

bigadaj wrote: »

I'm not so sure we're lucky with the free banking.

They obviously have the near free use of your deposited money to lend at profit, if a bank has a business model that requires charging then let them crack on with it.

The current system is arguably unfair as most if the charges are paid by the poor and or ignorant, but I wouldn't consider retail banking to be generous or customers to be lucky, it's just a business model.

Oh and considering what we all as taxpayers have put into rbs and lloyds, and the implicit guarantee that has supported the wider banking and financial system, then it's not very free at all.

At least Lloyds have just about repaid it all now.

bigadaj

PeacefulWaters wrote: »

At least Lloyds have just about repaid it all now.

Depends on your viewpoint.

Is that in real terms, no sane investor would have contributed when the government did, they only had to due the structural threat in the banking system and the wider economy that a major bank collapse would have triggered.

The tacit subsidy in underwriting the banks is still there, and still being exploited. I don't think the living wills and structure for unraveling failed banks is in place at all, and bankers will continue to exploit systems which Mis match risk and reward, especially where bonuses are paid for success and penalties are carried by share holders.

We should also be looking at the us far more for bank regulation and the penalties, but nothing is perfect.

JuicyJesus

bigadaj wrote: »

The tacit subsidy in underwriting the banks is still there, and still being exploited. I don't think the living wills and structure for unraveling failed banks is in place at all, and bankers will continue to exploit systems which Mis match risk and reward, especially where bonuses are paid for success and penalties are carried by share holders.

I can guarantee you that any bank which pays even the slightest bit of attention to such matters does in fact have such a "living will" ready to be handed over to the regulator and the FSCS on day one.

Serious thought has been given to it and the banks and regulators are prepared for the worst case scenario.

bigadaj

JuicyJesus wrote: »

I can guarantee you that any bank which pays even the slightest bit of attention to such matters does in fact have such a "living will" ready to be handed over to the regulator and the FSCS on day one.

Serious thought has been given to it and the banks and regulators are prepared for the worst case scenario.

I love your optimism, or is that naivety?

Banks will continue to get away with whatever they can, particularly when regulation is so ineffective and many are still run primarily for the employees rather than the shareholders or owners.