ATM Exodus: Banks Ditch Physical Infrastructure Amid Declining Cash Use
New Zealand's bank-owned ATMs have been disappearing at an alarming rate. According to ANZ, it has reduced its ATM numbers by 85 in the past two years, with only a few cases where the contract for the site was not given to another provider.
Westpac said its number had dropped by 54 over the same period, leading Consumer NZ to express concern that people are being left without access to free cash withdrawals. While cash use is declining, it still accounts for 40.3% of transactions according to Reserve Bank data from September 2022.
Banks claim they're responding to customer demand, with New Zealand Banking Association CEO Roger Beaumont stating that around 1.5% of all customer transactions are made at an ATM and this figure is slowly reducing every year.
However, experts warn that the removal of ATMs can exacerbate financial hardship, particularly for those living in rural areas where accessing cash can be a significant burden. Fincap, the financial mentor network, has reported concerns from mentors about clients struggling to access cash due to travel constraints or disabilities.