What Is an ATM Withdrawal Fee? (And How to Avoid It)

Getting cash should not cost money, but out-of-network ATMs often charge fees that add up quickly. An ATM withdrawal fee is the charge you pay to take cash from an ATM, usually one that does not belong to your bank. In many cases you pay two fees at once. This guide explains what ATM withdrawal fees are, how much they cost and simple ways to avoid them.

What is an ATM withdrawal fee?

An ATM withdrawal fee is a charge for withdrawing cash from an ATM. There are two main types:

Fee	Who charges it	Typical amount (US)
ATM operator fee (surcharge)	The owner of the ATM	About $2.50 to $5
Out-of-network fee	Your own bank	About $2.50 to $3.50
Total for one withdrawal	Both combined	Often $5 to $8
International ATM fee	Your bank, plus the operator	Fixed fee plus percentage, often 1 to 3%

On your statement, these may appear as ATM FEE, NON-NETWORK ATM FEE, ATM SURCHARGE or FOREIGN ATM FEE.

Why ATM fees exist

ATM operators charge fees to cover machine costs, cash restocking, security and profit. Banks charge out-of-network fees because they pay network costs when you use another bank’s machine and want to encourage you to use their own ATMs.

How much ATM fees cost over time

Withdrawals per month	Fee per withdrawal	Annual cost
2	$6	$144
4	$6	$288
8	$6	$576

How to avoid ATM withdrawal fees

1. Use your bank’s ATMs. Check the bank’s app or website for an ATM locator.
2. Use surcharge-free networks. Many banks and credit unions belong to networks like Allpoint or MoneyPass, and credit unions often share CO-OP ATMs.
3. Get cash back at stores. Grocery stores, pharmacies and big retailers often let you get cash back with a debit card purchase for free.
4. Choose a bank that refunds ATM fees. Some online banks and premium accounts reimburse operator fees.
5. Withdraw larger amounts less often to reduce the number of fees.
6. Plan ahead when traveling. Find in-network ATMs before you leave.
7. Avoid credit card cash advances. These carry fees and immediate interest. See what a cash advance fee on a credit card is.
8. Use digital payments. Pay with cards or apps when possible.
9. Ask for a fee refund. Some banks refund occasional out-of-network fees on request.

Frequently asked questions

Do I pay ATM fees at my own bank?

Usually not.

Why was I charged twice?

You likely paid both the ATM owner’s surcharge and your bank’s out-of-network fee.

ATM fees when traveling abroad

Using ATMs in other countries can involve several charges:

Fee	Typical cost
Your bank’s international ATM fee	$3 to $5 per withdrawal
Foreign transaction fee	1 to 3 percent of the amount
Local ATM operator fee	Varies by country
Dynamic currency conversion markup	Often 3 to 8 percent if you accept conversion

Tip: If an ATM abroad offers to charge you in your home currency, decline and choose the local currency. The ATM’s conversion rate is often much worse than your bank’s. Read what a foreign transaction fee on a debit card is for more.

Travel-friendly accounts and some online banks waive foreign transaction fees and refund ATM fees worldwide, which can save a lot on longer trips.

How ATM networks work

Many banks join shared networks so their customers can use more machines without surcharges:

Network	Who uses it
Allpoint	Many online banks and credit unions, ATMs in pharmacies and retail stores
MoneyPass	Many community banks and credit unions
CO-OP	Credit unions
Bank-owned networks	Large banks with their own branded ATMs

Look for network logos on the ATM screen or sticker, and use your bank’s ATM locator to find fee-free options nearby.

Reading ATM fees on your statement

Statement entry	Meaning
ATM WITHDRAWAL	Cash taken from an ATM
ATM SURCHARGE or OPERATOR FEE	Fee from the ATM owner, often combined into the withdrawal amount
NON-NETWORK ATM FEE	Fee from your bank for using another bank’s ATM
INTL ATM FEE	Fee for foreign ATM use
ATM FEE REBATE or REFUND	Your bank reimbursed ATM fees

The operator surcharge is often included in the withdrawal total. For example, withdrawing $100 with a $3.50 surcharge may show as a single $103.50 withdrawal.

Choosing a bank for low ATM costs

Bank type	ATM approach
Large national banks	Huge branded ATM networks, fees elsewhere
Regional banks	Local ATMs, fees elsewhere
Credit unions	Shared CO-OP networks, sometimes refunds
Online banks	Partner networks and often monthly fee refunds
Premium checking	Unlimited fee refunds in some cases

If you use cash often and travel a lot, an account with ATM fee reimbursements can easily pay for itself.

ATM safety tips

• Use ATMs inside banks, stores or well-lit areas
• Cover the keypad when entering your PIN
• Check for card skimmers, such as loose parts or unusual devices on the card slot
• Avoid standalone ATMs in isolated places
• Keep receipts or use your app to confirm withdrawals
• Report lost or stolen cards immediately

If an ATM takes your card or does not dispense cash but charges you, contact your bank right away with the time and location.

Real examples

The festival fee. At a music festival, Liam paid a $5 ATM surcharge plus a $3 bank fee to withdraw $40. That was 20 percent of his cash. Next time, he withdrew cash at his bank before leaving.

The online bank refund. Mia’s online bank refunds up to $15 in ATM fees each month. She uses any ATM and sees ATM FEE REBATE credits on her statement.

The cash back trick. Sam gets $40 cash back when buying groceries, avoiding ATM fees completely.

The travel lesson. On a trip abroad, Priya accepted the ATM’s offer to charge her in her home currency and paid a much worse exchange rate. Later, she always chose local currency.

What to do if an ATM did not dispense cash

1. Note the date, time, location and amount.
2. Keep the receipt if one printed.
3. Contact your bank as soon as possible.
4. Ask the bank to investigate and provisionally credit your account.
5. The bank checks the ATM’s balancing records, which usually resolves the issue within days to a few weeks.

Under federal rules, these are electronic fund transfer errors, and banks must investigate.

Frequently asked questions

Are ATM fees tax deductible?

Not for personal use. Business ATM fees may be deductible business expenses.

Why do casinos and airports have high ATM fees?

Operators charge more in places where people need cash and have few alternatives.

Can I avoid ATM fees completely?

Yes, by using in-network ATMs, cash back, digital payments or accounts with ATM fee refunds.

Daily ATM withdrawal limits

Banks set daily limits on ATM withdrawals for security, often between $300 and $1,000 for standard accounts. ATMs may also limit how much they dispense per transaction. If you need more cash, you can:

• Ask your bank for a temporary limit increase
• Withdraw at a branch teller, where limits are usually higher
• Use a cashier’s check or electronic payment for large purchases

Making several smaller withdrawals at out-of-network ATMs to get around limits multiplies fees, so plan ahead.

Cash vs card: which costs less?

Payment method	Typical cost to you
Debit card purchase	Usually free
Credit card paid in full	Free, may earn rewards
Cash from your bank’s ATM	Free
Cash from out-of-network ATM	About $5 to $8 per withdrawal
Credit card cash advance	Fee plus immediate interest
Payment apps	Usually free from bank balance

For many everyday purchases, cards or apps cost less than paying ATM fees for cash. Cash is still useful for small vendors, tips and budgeting, so plan withdrawals to avoid fees.

Using cash envelopes without paying ATM fees

Some people prefer cash budgeting, also called the envelope method, where you withdraw spending money for groceries, entertainment and other categories at the start of each pay period. To do this without ATM fees:

1. Withdraw once per pay period from an in-network ATM or branch.
2. Divide the cash into labeled envelopes.
3. Use cash back at the grocery store if your bank’s ATMs are not nearby.
4. Track what you withdraw so it fits your budget.

One planned withdrawal per pay period means zero or one fee, compared with frequent small withdrawals that can cost hundreds of dollars a year.

Quick checklist

• Know which ATMs are free for your bank
• Use cash back at checkout when possible
• Consider an account with ATM fee refunds
• Decline currency conversion abroad
• Withdraw larger amounts less often
• Report ATM errors immediately

ATM fees are small individually, but they add up fast. With a little planning, you can get the cash you need without paying for the privilege.

Start by downloading your bank’s ATM locator app today.

The bottom line

ATM withdrawal fees come from the ATM operator, your bank or both. Use in-network ATMs, cash back at stores or banks that refund fees to avoid them. Also read what an ATM fee rebate means.

Related guides

• What is a minimum balance fee
• What is a pre authorization on a debit card
• What is a monthly maintenance fee