Colombia Limits Fees for ATM Withdrawal to 3,965 Pesos

Colombia will limit the amount banks can charge for cash withdrawals at automated teller machines in a new regulation opposed by the country’s banking association.

Finance Minister Juan Carlos Echeverry said that under a new decree banks will be able to charge a maximum 3,965 pesos ($2.05) per ATM withdrawal outside their networks. ATM costs in Colombia are “excessive” and among the highest in Latin America, Echeverry said.

“This is aimed at more inclusive banking and will attract more people to financial services,” Echeverry told reporters in Bogota.

The fee ceiling may take away incentives for banks to install more ATMs and could reduce “quality of service,” Maria Mercedes Cuellar, head of Colombia’s banking association, told CM& Noticias Dec. 14.

To contact the reporter on this story: Blake Schmidt in Bogota at bschmidt16@bloomberg.net

To contact the editor responsible for this story: Joshua Goodman at jgoodman19@bloomberg.net

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