A FORMER PKR deputy secretary-general has voiced support for the National Union of Bank Employees (NUBE) in urging Bank Negara to stop the re-imposition of the RM1 interbank ATM cash withdrawal fee.
S. Raveentharan said that the interbank cash operator Payments Network Malaysia Sdn Bhd (PayNet) should restrain itself as the country is grappling with rising living costs.
To make RM1 from every consumer seeking to withdraw cash from an ATM interbank service facility is both callous and bordering on profiteering, he said.
Instead, Raveentharan said that PayNet should focus on improving its safety and security standards to prevent any abuse of the fintech system.
PayNet should also help the authorities fight online scams, which have ruined Malaysians to the tune of over a billion, he added.
This fee is charged to customers who withdraw cash from ATMs not affiliated with their respective banks, a practice that has been particularly burdensome for low-income families recovering from the economic and healthcare fallout of the pandemic.
During the pandemic, PayNet announced a waiver of this RM1.00 fee on April 3, 2020, recognising the financial strain faced by many Malaysians.
However, in February 2022, this fee was reinstated, placing more financial pressure on those who rely on ATMs for their cash needs, said NUBE general - secretary J. Solomon.
“NUBE believes that the majority of customers impacted by this fee are from lower-income groups who already struggle to make ends meet."
Imposing this fee on individuals who frequently use ATMs outside of their banking network is not only unfair but also exacerbates the financial challenges they face, he added.
He said many of these customers need to make withdrawals while on the go, and the added cost of RM1.00 per transaction can accumulate quickly, further straining their limited resources.
In early October this year, he said NUBE wrote to the shareholders of PayNet, namely Bank Negara and the commercial banks asking them to advise PayNet to remove or exempt NUBE members from this payment.
“It is NUBE's position that it is the corporate social responsibility of PayNet and its shareholders to waive this RM1.00 fee for all its customers who are in the lower-earning income group.
“While there were responses to these letters, from Bank Negara and the commercial banks, none of the responses gave a firm commitment that the RM1.00 fee would be waived.
“We urge PayNet and the banks to prioritise empathy and social responsibility in their operations.
“As we strive for economic recovery, we should not impose additional burdens on our most vulnerable communities.”
NUBE therefore called on PayNet and commercial banks to consider reinstating the fee waiver or exploring alternative solutions that would ease the financial burden on lower-income families. - December 23, 2024.
