All ATM withdrawals to be free from July 1

KUALA LUMPUR: Banks in Malaysia have announced the waiver of fees for interbank cash withdrawals at Automated Teller Machines (ATMs) and Smart Recycler Machines (SRMs) nationwide, effective July 1, 2026.

Under the new initiative, bank customers will be able to withdraw cash from any ATM or SRM without paying the RM1 interbank withdrawal fee.

The move, which involves all banks in the country, will allow debit cardholders to make unlimited free withdrawals at more than 14,000 machines nationwide.

In a joint statement issued on Wednesday, the Association of Banks in Malaysia, the Association of Islamic Banking and Financial Institutions Malaysia, and the Association of Development Finance Institutions of Malaysia said the fee waiver would apply to ATM and SRM services operated by licensed banks across the country.

“The banking industry recognises that cash remains an important and essential means of payment for many Malaysians in managing their daily lives.

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“In line with this, the removal of the interbank ATM cash withdrawal fee reflects the industry’s commitment to ensuring reliable, convenient and affordable access to cash, while helping ease the everyday financial burden on the rakyat,” the associations said.

They added that the initiative forms part of broader efforts to promote more customer-centric banking services and is aimed at reducing costs for consumers while ensuring reliable and convenient access to cash.

The associations also highlighted the growing adoption of digital and cashless payment systems across Malaysia, noting that banks would continue to enhance secure and seamless electronic payment options as the country moves towards a more digital economy.