Congress urged to regulate ATM transaction charges

Party-list group Bayan Muna yesterday urged Congress to pass a bill regulating fees that banks impose for transactions done through automated teller machines (ATMs) like withdrawals.

Rep. Carlos Zarate and Ferdinand Gaite said they would refile a bill to regulate such fees. They said the last Congress did not approve their proposed law.

“This measure is timely since ATM charges are expected to increase with the decision of the Bangko Sentral ng Pilipinas (BSP) to lift the moratorium it imposed in 2013 on any adjustment,” Zarate said.

He said the BSP should stop any increase “because banks do not need it.”

“Income from ATM fees is just a small fraction of the tens of billions in total earnings of banks,” Zarate said, adding that banks even earn from the salaries of workers that are withdrawn through ATM machines.

He said although the BSP is promising to control ATM fees, it would be better that a law regulating such charges is passed.

Makati Rep. Luis Campos Jr. has filed a resolution asking the committee on banks and financial intermediaries to look into ATM fees.

Campos said at present, banks collect P10 to P15 for every interbank transactions like withdrawals, and P2 for each balance inquiry.

He said he expects these rates to double with the lifting of the BSP-imposed moratorium.

The committee on banks and financial intermediaries has yet to schedule a hearing on the matter.

Meanwhile, Sen. Lito Lapid urged the BSP to study the proposed increase in ATM fees and consider the plight of ordinary workers with meager income.

Lapid said the proposed measure would discourage Filipinos from putting their money in banks.

Reports said there were less than 10 banks that applied for higher ATM fees after the BSP lifted the moratorium imposed in September 2013.