What Should You Do Before You Withdraw Money From the ATM?
Ensure a smooth ATM transaction by checking funds, limits, fees, and card status before withdrawing money.
Withdrawing money from an ATM is a routine task, but it requires careful consideration to avoid fees, complications, and security risks. Being prepared can help you protect your finances and streamline the process.
Confirm Funds to Avoid Overdraft
Before using an ATM, check your account balance to prevent overdrafts, which often come with fees averaging $35 per occurrence. Use online banking or mobile apps for real-time updates. Keep in mind pending transactions, such as bill payments or checks that haven’t cleared. For example, if you have a pending utility bill of $100 and your balance is $150, withdrawing $100 could trigger an overdraft. Some banks provide overdraft protection by linking your accounts or offering a line of credit, though these services may involve additional fees.
Check Daily Withdrawal Limits
Familiarize yourself with your bank’s daily withdrawal limits, which typically range from $300 to $1,000 depending on account type and bank policies. Premium accounts may allow higher limits. If you need more cash than your limit permits, consider visiting a branch or requesting a temporary increase through your bank’s website or customer service.
Evaluate Possible ATM Fees
ATM fees, particularly when using machines outside your bank’s network, can range from $2.50 to $5.00 per transaction. Some banks refund these fees up to a certain amount each month, especially for premium accounts or customers maintaining a minimum balance. Additionally, banks may partner with networks like Allpoint or MoneyPass to provide fee-free access to affiliated ATMs.
Confirm Card Validity
Check that your ATM card is valid and in working condition. Confirm the expiration date and inspect for physical damage, such as a scratched magnetic strip, which could render the card unusable. If needed, request a replacement. Many banks also offer digital card options for compatible ATMs, which can serve as a backup if your physical card fails.
Review Account Alerts
Account alerts keep you informed about your finances. Banks often provide customizable notifications for low balances, large transactions, or unusual activity. For example, a low-balance alert can help you avoid declined transactions or overdraft fees. Reviewing alerts before using an ATM can help you address potential issues, such as unauthorized activity or flagged transactions. Some banks also offer withdrawal-specific alerts to monitor spending.
Prepare for Additional Verification
Additional verification methods, like two-factor authentication (2FA), are becoming more common at ATMs. This may involve entering a one-time passcode sent to your mobile device. Ensure your contact information is up-to-date to receive these codes. Some ATMs also support biometric authentication, such as fingerprint or facial recognition, for added security. If you’re traveling, notify your bank to avoid card restrictions due to suspected fraud. Preparing for these measures ensures a smoother withdrawal experience.