Banks to waive ATM withdrawal fee - What debit card users need to know
Malaysian banks have announced that the RM1 fee for interbank cash withdrawals will be removed from July 1. The change will apply to automated teller machines (ATMs) and smart recycler machines (SRMs) across the country.
Under the new initiative, debit card users will be able to make unlimited interbank cash withdrawals without paying additional fees. Customers can use ATMs and SRMs operated by participating banks regardless of which bank issued their debit card.
The move is expected to make banking services more convenient for millions of people. It will also reduce the cost of accessing cash for everyday expenses.
The announcement was made jointly by the Association of Banks in Malaysia, the Association of Islamic Banking and Financial Institutions Malaysia, and the Association of Development Finance Institutions of Malaysia.
The banking groups said the initiative was introduced in collaboration with Payments Network Malaysia Sdn Bhd, commonly known as PayNet. Officials said the partnership aims to improve access to financial services across the country.
Banking associations said cash continues to play an important role in daily transactions despite the growth of digital payments. Removing the interbank withdrawal fee is expected to help consumers save money.
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The initiative is also designed to make financial services more inclusive. Officials believe easier access to cash will benefit people living in both urban and rural areas.
The banking sector said the fee waiver reflects its commitment to affordable and accessible banking services. The move is part of broader efforts to ease the cost of living for consumers.
“In line with this, the removal of interbank ATM cash withdrawal fee reflects the industry’s commitment in ensuring reliable, convenient and affordable access, while helping to ease the everyday financial burden of the rakyat,” said the associations in the statement.
From July 1, customers will no longer pay the RM1 fee when withdrawing cash from another bank’s ATM or SRM. The waiver will apply to participating banks nationwide.
Customers will be able to access their money more freely without worrying about extra charges. Industry experts say the change could encourage wider use of shared banking infrastructure.
