Going to another bank to use their ATM has steadily gotten more expensive over the years. A new survey from Bankrate shows that the cost of using an out-of-network ATM is the highest its ever been since it began tracking fees in 1998.
The average ATM fee is now $4.77, which is up from $4.73 a year ago, the survey says.
When Bankrate began tracking ATM fees, the average cost was $1.97. A decade later, it was up to $3.43. Fees reached the $4 mark for the first time in 2012 and have remained above $4 ever since.
Using an out-of-network ATM can result in two separate charges. One comes from the bank processing the transaction. On average, that fee costs $3.19. The customer's home bank also generally charges a fee, which is averaging $1.58, the study says.
“If you make an out-of-network ATM withdrawal, expect to pay, and pay more than ever before,” Greg McBride, Bankrate's chief financial analyst, said in a press release. “Fees have increased again and you’ll typically pay two fees — one to the ATM owner and another to your own bank. Confine cash withdrawals to in-network ATMs or get cash back when using a debit card. See if your bank participates in a nationwide ATM network that can be used free of charge."
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Average ATM fees can vary by city. They exceed $5 in Atlanta, San Diego, Phoenix, Detroit and Cleveland, Bankrate says.
Another common fee banking customers face is overdraft fees. Bankrate says average overdraft fees are slightly higher this year than in 2023. The average overdraft fee in 2024 is $27.08, which is up from $26.61 a year ago.
Fees, however, are lower than in past years. In 2022, overdraft fees averaged $29.80, and in 2021, they averaged $33.58. There have been efforts by the Biden administration to cap overdraft fees.
Earlier this year, the Consumer Financial Protection Bureau proposed new rules to give banks the option to charge a break-even fee or a benchmark fee ranging from $3 to $14. Another option would be to have banks treat overdraft loans like other forms of credit, where banks could charge interest.
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The proposed rule changes come as some banks have already made changes to overdraft fees to appease the Biden administration. In 2022, Bank of America reduced its overdraft fees from $35 to $10.
