Customers hit with exorbitant ATM fees despite Big Four banks dumping charges

Customers are getting slugged exorbitant fees — in some cases of more than $100 — to access their own money. Here are the worst places to get stung.

Customers are getting slugged with exorbitant fees and in some cases are paying more than $100 to use ATMs, alarming new data has revealed.

Jetsetters are among the hardest hit by high fees at airports, while adult entertainment venues, casinos and bars across the country are also hot spots to get stung.

And customers are also being badly hit when using ATMs overseas — at multiple locations in Las Vegas customers paid charges ranging from between $140 and $225 to access their own money.

Customers are still paying exorbitant charges to access their own money from ATMs. Picture: Getty Images

Sources confirmed some of these excessive fees can include flat fees and a percentage fee of the amount of withdrawn.

The exclusive banking data provided to News Corp found in the worst case in Australia a customer was slugged a $113 charge to withdraw $750 from an adult entertainment venue in Melbourne.

And on multiple occasions customers were hit with charges of up to $34 to withdraw amounts of around $1100 from an ATM at Melbourne’s International Airport earlier this year.

A Travelex spokeswoman said despite these high fees at machines located in airports, their ATMs are clear about the cost before the customers makes a withdrawal.

“Our ATMs show the amount requested in foreign currency, the exchange rate, the converted amount in Australian dollars and the commission charged on the transaction,” she said.

“This is then displayed as an authorised amount which the customer then has the option to continue or cancel the transaction.”

A Melbourne Airport spokesman said, “ATM transaction fees are set by machine owners.”

Financial comparison website RateCity’s spokeswoman Sally Tindall said paying ATM fees “should be a thing of the past” and consumers were being slugged for taking the most convenient option.

“Someone who pays over $100 to get money out overseas has more dollars than sense,” she said.

“ATM providers who are strategically placed in locations where cash is king know they’ll catch people in a tight spot and will often make you pay for the privilege.”

Ms Tindall suggested when customers are warned of an excessive ATM charge on screen to “cancel the transaction and take a moment to think practically.”

“While $3 or $4 doesn’t seem like much when you are in a rush, if you get into bad habits the bill will run into the hundreds before you know it,” she said.

Many banks including ME, ING and Macquarie all refund ATM fees in Australia if you hold a daily transaction account with them, while ING also refunds international ATM fees.

It was recently revealed big bank National Australia Bank customers would be slugged fees for using more than 3000 RediATMs they have been able to access for free since 2009.

From January 1 NAB customers will be charged $2 to access their own money from these machines after the banking giant severed its long-running tie with Cuscal who operate these machines.

In 2017, the big four banks all dumped ATM fees for Australian banking customers.

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