Suryoday Bank decides to shut down its own ATMs
- ByManjeet Singh | September 29, 2021
SURYODAY Small Finance Bank has decided to close its 26 automated teller machines, giving customers the option to use their debit cards at ATMs of other banks. It is the first domestic lender to completely phase out automated teller machines. Currently, the small finance bank is formulating a strategy that would allow its customers to withdraw cash from ATMs belonging to other banks for free for 5-7 transactions each month.
“Due to operational reasons, Suryoday Bank ATMs will be discontinued with effect from 1st Oct 2021. However, you can continue to use your Suryoday Bank ATM/debit card at any other bank’s ATM for your cash withdrawal requirements,” the bank said in its message to customers.
This decision was made due to viability issues since people were not using their ATMs. Other services can also be accessed through internet banking and mobile banking, according to the bank.
“We realized that far too many customers were not using our ATMs, we could not make it a profit center, hence we decided that we give customers free transactions on other bank ATMs rather than continuing to keep these machines,” said MD of Suryoday R Baskar Babu, as mentioned in Times of India.
There are very few cash transactions as no one walks to an ATM to withdraw cash these days because UPI and wallets have proliferated. Suryoday Small Finance Bank has 26 ATMs and 550 branches.
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