Central bank says no to charging ATM transactions

The State Bank of Vietnam rejected for the second time in five months a proposal by commercial banks to charge customers for using automated teller machines (ATMs).

The governor Nguyen Van Giau said in a statement posted on the central bank’s website that he rejected it considering the low quality of the country’s ATM networks.

The 20-member Vietnam Bank Card Association (VBCA) earlier this month sought the central bank’s approval to charge customers for using ATMs from December 1.

The banks wanted to charge VND1,000 per transaction, chairwoman Nguyen Thu Ha said. She called it a reasonable demand since banks spend a lot of money on setting up and maintaining their ATM networks, adding an ATM costs around US$30,000 not counting maintenance costs.

The VBCA had first sought to introduce the charge last June but the central bank wanted it deferred because of the economic slowdown, she said.

Reported by Hoang Uy