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#128471 - 11/04/03 10:11 PM ATM fee reimbursement
Anonymous
Unregistered

Is anyone offering to reimburse ATM fees when your customers use other bank's ATMs? If so, what are the procedures? Do you have the customer bring receipts to the bank? I've noticed many of the internet banks and brokerage firms do this. We feel this may help us compete aginst the mega banks. Would appreciate any input. Thanks!

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General Discussion
#128472 - 11/04/03 10:25 PM Re: ATM fee reimbursement
Anonymous
Unregistered

On certain of our deposit accounts we reimburse up to 5 foreign ATM fees for withdrawals per month. I believe our system automatically strips the fee off the transaction, in other words, if a customer withdraws $50 and is charged a $2 fee, only the $50 transaction shows up on the customer's statement. The $2 fee is paid by the bank.

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#128473 - 11/05/03 05:54 PM Re: ATM fee reimbursement
Anonymous
Unregistered

Check with your processor - most can set up a reimbursable system which is automated, usually coded by account type, etc.

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#128474 - 05/18/05 04:06 PM Re: ATM fee reimbursement
Jan94 Offline
Platinum Poster
Joined: Mar 2001
Posts: 828
USA
I'm just tagging on to this thread even though it is fairly old since this is a question coming up for us. If the bank decided to do this "reimbursement" manually, is there any concern about the fee being considered interest to the customer? Can you limit this to certain locations, etc. or is it better to do it for all branches, customers, etc.? Thanks for your thoughts.

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#128475 - 05/18/05 04:08 PM Re: ATM fee reimbursement
Anonymous
Unregistered

Reimbursement of fees charged is not considered interest. You can do this for any branches or set of customers you want.

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#128476 - 05/18/05 04:44 PM Re: ATM fee reimbursement
8675309 Offline
Diamond Poster
Joined: Jun 2004
Posts: 1,115
Where the wind comes sweeping ...
I have seen it limited to certain locations, but our bank does all locations which may make it easier for those who process the reimbursements (the tellers in our case.) We do allow a certain number per account though. Unlimited reimbursements for club accounts, 4 for free accounts, etc. We do manual reimbursement which saves a lot of money b/c not everyone participates.

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#128477 - 05/18/05 09:25 PM Re: ATM fee reimbursement
Anonymous
Unregistered

Quote:

We do manual reimbursement which saves a lot of money b/c not everyone participates.




Could you clarify "not everyone participates"? Are you referring to the other bank?

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#128478 - 05/18/05 10:35 PM Re: ATM fee reimbursement
8675309 Offline
Diamond Poster
Joined: Jun 2004
Posts: 1,115
Where the wind comes sweeping ...
Sure, what I meant was that if you do the program manually instead of automatically, not all customers will request to have the fees rebated. We have been doing this for 10 months and we currently have 40% of all foreign transactions submitted for rebates.

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#128479 - 05/20/05 03:00 PM Re: ATM fee reimbursement
Anonymous
Unregistered

Isn't there something in the regulations that says if you don't charge a fee for one person in a class of accounts you mast waive it for all account in that class? For instances - if you off no foreign fees on product A because its a relationship account you must apply it all personnels who have a relationship account w/ product A - not just those who request it?

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#128480 - 05/20/05 03:05 PM Re: ATM fee reimbursement
Anonymous
Unregistered

No, there is no such regulation requiring uniform charges. It is up to the bank.

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#128481 - 05/21/05 05:33 PM Re: ATM fee reimbursement
BrendaC Offline
Power Poster
BrendaC
Joined: Sep 2001
Posts: 6,029
Sweet Home AL
Although we do have flexibility in how and when we refund charges, we should be careful that our policies and practices are consistent and do not unfairly impact any protected group or class. We should be able to explain to our regulators exactly how we make our decisions.
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