Chase ends $5 ATM fee

May 4th, 2011 - 2:18 am ICT by Aishwarya Bhatt  

New York, May 3(THAINDIAN NEWS) JPMorgan Chase has dropped the idea to charge non-customers between $4 and $5 for using their ATM services. The bank announced the decision on Monday. The company previously charged non-customers $3 for the ATM services.

The test was carried out in two states in the United States. Non-customers in Illinois were charged $5 for using ATM’s belonging to the bank. Those in Texas though were charged $4. The bank announced the test at the beginning of the year. The company’s spokesperson announced that the bank wanted to know if the new fees were sustainable and would bring in the required revenue that the bank seeks. Nationwide introduction of the rates were planned based on the success of the tests.

JPMorgan Chase has about 16,000 ATMs throughout the United States. Illinois and Texas has the highest concentration of the ATMs. The two states have a total of 20 percent of the bank’s total ATMs. The cost of running the ATMs every year is $200 million. The bank wanted to test the new fees to see if revenue from the ATMs could be increased.

It was apparent after the test that ATM users were not ready to pay the fee for the service.

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