Banking Industry Reports Smooth Rollout of RM1 Interbank ATM Withdrawal Fee Waiver
KUALA LUMPUR, July 3 — Malaysia’s banking industry has reported a smooth nationwide implementation of the RM1 interbank ATM cash withdrawal fee waiver, describing the initiative as a step towards reducing daily banking costs and making financial services more accessible for consumers.
The exemption, which came into effect on July 1, eliminates the RM1 charge previously imposed on customers making cash withdrawals from automated teller machines (ATMs) operated by banks other than their own.
In a joint statement, the Association of Banks in Malaysia (ABM), the Association of Islamic Banking and Financial Institutions Malaysia (AIBIM) and the Association of Development Finance Institutions of Malaysia (ADFIM) said the implementation had proceeded as planned following close coordination across the banking industry.
According to the associations, the fee waiver applies to all ATMs owned and operated by banking institutions throughout the country.
They also reminded customers that the exemption does not extend to ATMs operated by independent, non-bank service providers, where the standard withdrawal charges may still be imposed.
The organisations said the initiative was introduced to support ongoing efforts to ease the cost of living by lowering routine banking expenses while improving convenience for Malaysians who regularly perform interbank cash withdrawals.
They added that the banking sector worked closely with Payments Network Malaysia Sdn Bhd (PayNet) to ensure the waiver could be introduced efficiently and that customers would begin benefiting from the initiative immediately after its implementation.
According to the joint statement, the successful rollout demonstrates the industry’s collective commitment to delivering practical improvements that directly benefit consumers through a more convenient banking experience.
Beyond removing a commonly incurred transaction fee, the associations said the initiative reflects the industry’s broader objective of promoting a financial ecosystem that is more inclusive, accessible and responsive to the everyday needs of the public.
They noted that improving access to affordable banking services remains an important component of strengthening financial inclusion while enhancing customer experience across the country’s banking network.
The banking associations also encouraged customers seeking clarification on the implementation of the fee waiver to obtain information directly from their respective financial institutions.
Official communication channels, including bank websites, mobile banking applications and customer contact centres, remain the primary sources for updates regarding the waiver and other related banking services.
The RM1 interbank ATM withdrawal fee waiver marks one of the latest collaborative initiatives undertaken by Malaysia’s banking industry to improve the affordability and accessibility of essential banking transactions while ensuring the transition to the new policy is carried out smoothly across participating bank-operated ATM networks.
