Bellco Credit Union is opening up its 64 automated teller machines to all users – free of charge.
“We are the only ones around making our machines completely free to everybody,” said Doug Ferraro, chief executive of metro Denver’s largest credit union.
Ferraro said he hopes others will follow Bellco when it eliminates its fees beginning Monday. But given the $4 billion that foreign ATM fees generate, he isn’t holding his breath.
About 99 percent of U.S. banking institutions charge noncustomers for using their machines. The average fee has gone rom $1.64 to $1.78 in the past year, according to .
Ferraro said Bellco will make up for lost fees by boosting traffic on its ATM network, generating more income from interchange fees.
Bank of America last month raised its fee on nonbank ATM customers from $2 to $3, saying it was encouraging people to become customers. Ferraro said Bellco’s approach is to give consumers a break in the hopes they will switch.
“I would imagine they are trying to build goodwill with noncustomers,” banking consultant Larry Martin said. “They are waiting for the day when their local financial institution hiccups.”
