THE Sarawak United People’s Party (SUPP) said the RM1 interbank ATM withdrawal fee should be abolished if it is burdening the ordinary rakyat already struggling with increasing costs.
Its information chief, Adam Yii said overall, banks were already making a decent profit.
"The RM1 fee affects a big section of the population as there are many who need to use the ATM daily for personal transactions.
"Even an RM 1 fee can accumulate to a lot if you have to pay it daily,” he said.
He noted that such fees should be reasonable when using ATMs between different banks, adding that customers should not incur any charges when using their own bank’s ATMs.
“Bank Negara Malaysia (BNM) should engage with a wider segment of society to gather more feedback on how the rakyat feels about the RM1 fee," he said, adding that ATM services are an essential part of daily life for many, and decisions should not be made hastily without considering their potential negative impact on the public.
Yii, who is also the Pujut state assemblyman and Miri Mayor, also called for BNM and financial institutions to hold dialogues with consumer groups and community organisations on such policies.
SUPP is a component party of the ruling state government, Gabungan Parti Sarawak.
Meanwhile, the MCA Youth Wing welcomed the call to abolish the ATM RM1 interbank withdrawal fee.
"Doing away with the fee offers potential relief of financial pressure on consumers who are currently affected by the rising cost of living.
"Previously, MCA President Datuk Seri Ir. Dr Wee Ka Siong also voiced the same opinion regarding transaction fees through the DuitNow QR application, which began on November 1 (last year), as it also impacts consumers, especially small traders, said its Youth information chief Neow Choo Seong.
Neow, who is also Barisan Nasional Youth communications director, said the RM1 fee imposed on depositors using ATMs might not seem significant to some, but as it's used frequently, the accumulated fee can become quite substantial.
He said this effect will be more pronounced for those who make high-volume transactions on a daily or monthly basis.
“MCA Youth also believes that the RM1 fee will have a greater impact on low-income users or those without large savings.
"This group will be more sensitive to the additional charge as it affects their cash flow,” he said.
Neow said not all ATMs belong to the depositors' bank in their area, so users are forced to use ATMs of other banks to withdraw money.
On a positive note, he said the fee will encourage users to be more frugal—using another bank's ATM only when necessary. However, if the situation is urgent, they will still have to use another bank's ATM, thus incurring the RM1 fee.
“In the long term, the RM1 fee will become an additional source of income for the banks, and their income flow will become more stable and higher, but will the users benefit from it?
“The implementation of this fee will continue to be disputed if it is not accompanied by satisfactory services from the banks.
"Banks need to ensure that the depositors receive fair value with the charges imposed so that they are satisfied with the services offered,” Neow added. - January 13, 2025
