Private Banks Plan Atm Sharing To Ramp Up Revenue

Private sector banks are looking to sharing their automated teller machines (ATMs), installed across the country, with others such as foreign banks, peer private banks and cooperative banks.

New private sector banks -- ICICI Bank, UTI Bank and HDFC Bank -- which have over 1,000 ATMs in the country are now seeking to share them with other banks to increase transaction volumes as well as earn more revenue.

These banks have used their ATM channel to supplement their lower branch base compared with nationalised banks. The ATMs have helped these banks lower their transaction costs.

HDFC Bank has tied up with Cosmos Cooperative bank and Dena Bank for sharing ATM network. It has already set up ATMs in Cosmos Bank premises where customers of both the banks can use the HDFC Bank ATM.

UTI Bank is in talks with other banks to share its ATMs. ICICI Bank was planning to have a similar tie up with Corporation Bank.

Banks are going full steam in this direction since the Indian Banks