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So Savings & Loans will charge a 50c 'dishonour' fee for not using a rediATM?

Previously, a member was charged $2 for using a non-rediATM to 'offset the charge' of the transaction to Savings & Loans, made by the ATM owner. Now the ATM owners are charging their own direct fees to cover their costs, what is the 50c fee for?

@Sally

We still incur a cost to process all of our members' transactions, whether they're made through a rediATM or another financial institution's machine. The new 'direct charging' system means most of the expense for use of a non rediATM is being incurred (and a fee is collected) by the ATM owner, however there are still some costs passed through to Savings & Loans. We also need to pay for the installation and maintenance of the relevant infrastructure (IT systems, etc) that allow our members easy access to their accounts.

The charges we pass on to our members reflect the cost of operating the relevant channels: Internet Banking and Phone Banking are lower cost options for members, ATMs are more expensive due to the security and infrastructure costs, and branch transactions are more expensive again due to staff time required.

Remember that the non rediATM fee doesn't apply if you choose to use a rediATM.

I think that's ok but there are some areas that don't have Redi-tellers and the agency in my area is only open shop hours. So, there is no option but to use a 'foreign' ATM. There are lots of banks with ATMs in Stirling (in the Adelaide Hills) and I can't work out why there isn't a rediteller there (or in Hahndorf or Aldgate). Mount Barker is our closest and that is totally out of our way. Do you have any plans to locate a redi-teller ATM in any of these places? Is there already a redi-teller that I have (obviously) missed?

Also, what is your comment on the current news that Australian banks etc charge far higher fees compared with financial institutions in other countries.

Jason, you say that there are benefits to the new system. What are they? It appears that the benefits are for the financial institutions, not the customers.

I travel interstate quite a bit & dont want to carry too much cash on me. So yesterday I had to use a "foreign" ATM from a regular bank with a $2 fee & you also slugged me 50c. So I am worse off than under the old system.

And people in the finance industry wonder why most customers are cynical about banks and credit unions who act like banks when it comes to fees. Jason, can you please explain to us the "benefits" for the consumer in the new system?

I have stayed loyal to S&L as I am no fan of banks, and you are a local business. But increasing the total take on my money by 25% makes me wonder whether it is time to move to a bank with a nation wide presence to avoid such fees. Its a pity when a desire to support local industry is "rewarded" with such fee increases.

@Geoff

Remember that we do have a national network of ATMs, known as the rediATM network. By using a rediATM, you're able to avoid all direct charge fees.

At the end of the day it costs us more, so I fail to see how you can put a positive spin on this.

(However, halving the rate to 25 cents was a nice touch...)

On the other hand the number of non-foreign ATMs has gone up and it's easier to find them and know which ones are fee-free - even interstate where you're not so familiar with things (I travel too).

I'm still a happy S&L customer

NAB dumped their 50c disloyalty. As well as another bank with their 25c originally being charged. With S&L continuing to charge this disloyalty fee of 25c, it is only giving Credit Unions a bad name - making them look worse than the banks!

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