Beware of Higher Fees at the ATM

Using the ATM is a common way for small businesses to get cash for employees who may need to make purchases. However, this may soon get more expensive. As of last year, banks can’t make as much money on overdraft charges and are looking to make up this shortfall elsewhere.

Chase is leading the way with a new $5 charge to non-customers using Chase ATMs. Event TD Bank will now charge non-customers $2 per transaction, whereas in the past it has been free. PNC used to refund fees incurred when customers used ATMs at other banks and recently announced this will no longer be the case. If you have a branch of your bank conveniently around the corner, this might not have that big of an impact, but these per-transaction fees can add up quickly if you're ever in a situation where the ATM you’re using doesn’t belong to your bank. For this reason, employees traveling might be better off with a prepaid card instead of an ATM card that could rack up higher fees.

Toffer Grant is PEX's Founder and CEO. He founded PEX in 2006 as a prepaid card solution for small businesses. His background in the prepaid industry began at Clarity Payment Solutions, where he initiated 65 prepaid card programs in consumer, corporate, and emerging verticals of the prepaid card industry.