Bank ATMs will require 40,000 a month on security: IBA

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Bank ATMs will require 40,000 a month on security: IBA
Banks will incur a monthly outgo of Rs 4,000 crore due to additional security requirements at ATMs following the recent Bangalore incident and the only alternative for making operations viable is raising user charges, Indian Banks Association (IBA) said as per the PTI report.

"Every ATM will need an additional Rs 40,000 a month on security. There are over 1 lakh ATMs which will need the upgrade, so the monthly outgo for the industry will increase by at least Rs 4,000 crore," IBA chief executive M V Tanksale told reporters. Some of the 1.4 lakh ATMs are already manned.

Banks have already resorted to activities like shutting some ATMs in odd-hours, and added IBA has made a representation to RBI for increasing the inter-bank fee from Rs 15 to Rs 18 per transaction and also to scale down the monthly free transactions for a savings bank account holder to five per month, Tanksale added.

Earlier, a woman employee of a Corporation Bank in Bangalore was brutally attacked inside an ATM kiosk by an intruder with a machete.

Read more about: atm
Story first published: Tuesday, January 7, 2014, 9:10 [IST]
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