MP vows to push for abolition of 'exploitative' RM1 ATM fee

Perikatan Nasional MP Ahmad Fadhli Shaari has backed calls on the government to abolish the RM1 fee for inter-bank ATM withdrawals, describing it as a form of exploitation of the poor.

"Imagine, the RM1 fee is charged for every inter-bank ATM withdrawal and the profit accumulated by the banking system every day from such a capitalist system," he said.

"We will push the government to abolish the fee and not allow this capitalist system to continue exploiting Malaysians."

He said although the fee may seem small, it generated huge profits for banks at the expense of the poor.

"It's a system that disproportionately benefits the rich at the expense of the struggling masses and it's time for a change."

Fadhli said Payments Network Malaysia Sdn Bhd (PayNet), which levies the fee, had made RM544 million in revenues and a net profit of RM271 million in 2023 alone.

"Since its inception, this fee has contributed to a cumulative profit of RM1.43 billion. While PayNet boasts processing trillions of ringgit in transactions, the fact remains that these profits are made on the backs of ordinary Malaysians, especially those in the B40 and M40 income groups," he added.

In 2020, the government under then prime minister Muhyiddin Yassin waived the fee at the height of the Covid-19 crisis, as part of efforts to cushion the financial impact of the pandemic.

Fadhli said the reinstatement of the fee in 2022 was a "step
backwards".