On November 2, 1999, the citizens of San Francisco, CA voted to prohibit banks from levying surcharges on non-customers using their Automated Teller Machines (ATMs), approving the measure, 66 percent to 34 percent. Santa Monica, CA approved a similar measure several weeks earlier. As the case pended in federal court, two of the largest banks in California, Bank of America and Well Fargo, which own 86 percent of the ATMs in the two cities, chose to limit the use of the ATMs to their account-holders only, making it difficult for non-customers to receive cash. On Monday, November 15, US District Judge Vaughn Walker ruled that the ban on ATM fees was unconstitutional. Santa Monica deputy city attorney, Adam Radinksy was confused by the ruling: "There are examples all over the place of regulations by the states of bank fees." Arkansas, Mississippi, and Wyoming all set monetary limits on ATM fees, and Connecticut and Iowa have never allowed banks to charge non-customers for ATM services. This week's In the News looks at the ATM standoff in California, as well as banking throughout the US through the following articles, editorials, Websites, and news briefs.
Comments