What Banks Have No ATM Fees & How to Avoid Charges

ATM fees are charges incurred when accessing cash or conducting other transactions at an Automated Teller Machine (ATM). These charges typically arise when using an ATM that is not operated by your own financial institution or is outside of its designated network.

Banks and Financial Institutions Without ATM Fees

Many financial institutions offer ways to avoid ATM fees, primarily categorized by their operational models. Online-only banks frequently provide extensive fee-free ATM access because they do not maintain a large network of physical branches. These institutions often rely on partnerships with large ATM networks or offer direct reimbursement for fees charged by other ATM operators.

Credit unions, operating as not-for-profit financial cooperatives, also commonly offer widespread fee-free ATM access. Many participate in shared branching networks, such as the CO-OP network, which allows members to conduct transactions at thousands of credit union locations nationwide as if they were at their home branch. Additionally, credit unions often partner with major ATM networks, expanding their members’ access to surcharge-free machines.

Traditional banks, especially larger ones, may also provide fee-free ATM options. While their primary ATM network consists of their own branded machines, some offer specific account types, such as premium checking or student accounts, that include ATM fee waivers or reimbursements. These banks often have extensive proprietary ATM networks, and using these machines is typically free for their account holders.

Mechanisms for Avoiding ATM Fees

Financial institutions employ several mechanisms to provide their customers with fee-free ATM access. A common approach involves affiliations with major ATM networks. Networks like Allpoint and MoneyPass partner with numerous banks and credit unions, allowing cardholders to use thousands of ATMs across the country without incurring a surcharge. When a bank participates in such a network, using an ATM displaying that network’s logo enables a fee-free transaction.

Another mechanism is ATM fee reimbursement, where the financial institution refunds fees charged by out-of-network ATMs. This is particularly prevalent among online-only banks, as they typically do not have their own physical ATMs. Some banks offer unlimited reimbursement, while others may cap the refunded amount, such as $10 or $20 per statement cycle.

Many large traditional banks maintain their own extensive proprietary ATM networks. For customers of these banks, using an ATM within their bank’s specific network is always fee-free. This provides convenient access to cash without additional charges, as long as the customer remains within their bank’s infrastructure. This mechanism is distinct from network affiliations, as it relies solely on the bank’s owned and operated machines.

Locating and Utilizing No-Fee ATMs

Most financial institutions provide ATM locator tools on their websites or within their mobile banking applications. These locators allow users to search for nearby ATMs that are part of their bank’s fee-free network, including proprietary machines or those belonging to partner networks like Allpoint or MoneyPass. Utilizing these digital tools before needing cash can prevent unexpected charges.

When approaching an ATM, it is advisable to look for specific network logos displayed on the machine. These logos, such as Allpoint, MoneyPass, Plus, or Cirrus, indicate that the ATM is part of a larger network that may offer surcharge-free transactions for cardholders of participating banks. Confirming these logos helps ensure the ATM is within a fee-free network for your specific bank.

While cash withdrawals are the primary concern for ATM fees, it is important to understand that some other transaction types, such as balance inquiries at out-of-network ATMs, might still incur a small charge. Always pay close attention to the on-screen prompts displayed by the ATM before completing any transaction. Most ATMs will notify you if a fee is about to be charged, allowing you the opportunity to cancel the transaction if you wish to avoid the cost. An average out-of-network ATM transaction can cost around $4.77, comprising both a fee from your bank and a surcharge from the ATM owner.