More bank-brand ATMs help lower processing costs for consumers
When an individual withdraws from an ATM outside of his or her bank network, there is a small processing fee. This is added to the typical $3 processing fee required by the bank itself. In total, consumers on average spend about $4.52 per average out-of-network withdrawal, according to Bank Rate. Because of this, banks and credit unions should invest in large-scale purchases of ATMs to convenience their customers and help them save money. Banks should also purchase well-secured ATMs as a means of additionally protecting and servicing their customers. Lastly, installing multiple local-branch ATMs helps to keep patrons loyal to a bank in a particular region.
The price of ATM processing
An ATM can only charge processing fees if it is compliant with ATM regulations. However, protection can only go so far - it is the processing fees that target consumers and make them less likely to use banks outside of the network. On average, American customers spend up to $500 per year on out-of-network ATM withdrawals. Because of these high costs, many consumers are willing to drive or travel a bit further to find their brand of ATM and save a few dollars. This is why installing multiple ATMs for a bank in an area is important from a profit perspective.
Some patrons fear that their data can be easily stolen from ATMs. For example, a patron may grow suspicious if their debit card numbers are seen being punched or if they are charged more than expected for a card payment processing fee. Thankfully, many ATMs available for drive-through and walk-up service are EMV-compliant and can reduce processing costs for your consumer. It also saves your bank costs in total ownership, as machines that are regularly serviced and compliant with new technology standards face lower risks.
The benefits of purchasing multiple ATMs
Customers will feel satisfied above all else knowing that their bank is providing multiple ATMs as a convenience to save a few dollars per transaction when they can. Secondly, a secure and reliable ATM machine is something to boast to consumers. This shows your consumer that their data is safe and will not fall target to breaches. For example, a bank branch can include a "data security" sticker on machines to ensure their customers that their information is safe.
April 28, 2016