Kota Kinabalu: The National Union of Bank Employees (Nube) has launched a signature campaign urging the government to abolish the RM1 interbank Automated Teller Machines (ATM) withdrawal fee, arguing that it unfairly burdens low-income earners and rural communities.
The campaign aims to collect one million signatures to be submitted to the Finance Ministry, highlighting the fee’s impact on low-income groups.
Nube General Secretary J. Solomon said that while RM1 might seem insignificant to some, frequent withdrawals mean the cost adds up over time, putting additional strain on those already struggling financially.
“For many lower-income individuals, every ringgit counts. This fee may look small, but when multiplied over weeks and months, it becomes a serious burden,” he said.
Meanwhile, Suara Mahasiswa Universiti Malaysia Sabah President Muhammad Fashil Muhammad Kasim said, it is important for the government to recognise that the majority of those using ATM are villagers or people who are not well versed with other types of transactions.
“It is ironic as the government promotes the move to a cashless society but still ensures there are fees for transactions involving the use of ATMs,” he said.
Fashil pointed out the RM1 charge is an added burden to the low-income groups who prefer to use cash withdrawals when carrying out their daily transactions.
“Many people in rural areas prefer cash transactions therefore they tend to use ATM machines, and they are these people who are being ‘penalised’ for using ATMs.
“People prefer to use the nearest ATMs instead of looking for their bank’s ATMs and for this, they are being forced to pay the RM1 charge,” he said.
He also said that RM1 charge is high and even 50 sen is still too high for the lower income group. Therefore the government should look at easing the burden of the lower income group who are facing economic hardship.
“Removing the charge would provide much-needed relief to those struggling financially. “Some may feel that the RM1 charge is immaterial, but they fail to calculate the total cost of making such withdrawals over a long period. “The economic impact on their wallets is high but many people do not realise it,” he said.
