BALTIMORE - Citing sluggish returns, Mid-Atlantic-based Carrollton Bancorp has pulled 55 ATMs out of Target stores in four states, ending a five-year relationship with the retailer.
Carrollton's relationship with Target ended in July because the ATMs were not providing the bank with the transaction volume and profits it was expecting, Carrollton chief financial officer Randall M. Robey told the Baltimore Business Journal.
"We weren't making the return on our investment that we desired," Robey said.
The ATMs were located at stores in Delaware, Maryland, Pennsylvania, and Virginia. Carrollton plans to retain 105 ATMs in Wal-Mart and Sam's Club stores in Maryland, Virginia, and West Virginia because of higher transaction volume, and could expand, using the ATMs pulled out of the Target locations.
Carrollton Bancorp is the parent of Carrollton Bank, which has 11 branch locations in central Maryland along with a three-state network of ATMs. Carrollton Bancorp charges a $2.50 fee for non-bank customers at its branch ATMs and $1.50 for its Wal-Mart and Sam's Club ATMs. A banking analyst told the Baltimore Business Journal that it has been difficult for small banks to develop ATM networks because of high maintenance costs.
