19 July 2006
Cash machines that charge consumers to withdraw money from their current accounts are hitting some of the poorest people in society, according to new research from a charity.
Citizens Advice is now asking banks and ATM providers not to reduce the number of free cash points located in deprived areas.
The charity has identified free ATM "deserts", where no free ATMs are available.
These are often deprived areas, with signage on fee-charging ATMs also found to be poor.
David Harker, chief executive of Citizens Advice, said: "This is becoming a growing problem. People on low incomes need to take out small amounts of money and more frequently, but they should not be penalised as a result.
"Rural communities are amongst the worst affected, where people may have to travel miles to the nearest free cash machine or pay a high charge. We welcome responses from banks such as HSBC to look at placing new free machines in areas we think are free ATM deserts."
Of the 58,000 cash machines now operating, 40% charge a fee regardless of the size of withdrawal.
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