House to probe looming increase in ATM fees

MANILA, Philippines — The committee on banks and financial intermediaries of the House of Representatives is set to look into the looming increase in fees for bank transactions done through automated teller machines (ATMs).

Makati City Rep. Luis Campos Jr. has filed Resolution 210 enabling the inquiry, which he said “is consistent with the state’s duty under a 1992 law to protect the interests and general welfare of consumers and to establish standards of conduct for business.” 

“We are worried that the forthcoming increases in ATM charges might harm consumers – the nation’s more than 58 million ATM cardholders. Even more vulnerable are our estimated 4.1 million minimum wage earners. Many of them receive and withdraw their salaries twice a month through their ATM cards at the machine nearest them,” he pointed out.

Campos believes that the ATM transaction charges are likely to go up after the Bangko Sentral ng Pilipinas lifted last month the moratorium it imposed in 2013 on any adjustment in fees.

He said banks have been planning to increase fees by as much as 50 percent. Currently, banks charge P10-P15 per interbank withdrawal and P2 for interbank balance inquiry. A customer making a withdrawal or inquiry in an ATM of his own bank does not incur any cost.

“These charges could jump to as much as P15 to P30 per single interbank withdrawal, possibly even higher, with the removal of the moratorium,” Campos warned.