Retail ATM owner/operator Cardtronics Inc. today launched FeeAlert, a new product that enables financial institutions to steer their customers toward in-network ATMs — and away from ATM fees.
With FeeAlert, banks and credit unions can actively support their customers' efforts to avoid ATM fees. By analyzing an individual's real-world ATM use, FeeAlert enables financial institutions to deliver a list of nearby surcharge-free ATMs.
"Surcharge-free ATM accessibility is largely driven by awareness — a cardholder can't use an in-network, surcharge-free cash machine if they don't know it's there," said Rick Updyke, president of the U.S. business group at Cardtronics. "With FeeAlert, when a cardholder uses an out-of-network ATM and pays the fee, their financial institution can send a personalized text or email alert to the cardholder's mobile phone—steering them to nearby in-network, surcharge-free options."
In effect, FeeAlert remembers to check for nearby in-network ATMs even when a customer forgets to use their financial institution's ATM locator.
How FeeAlert works from the consumer's perspective:
Cardholders enroll in their participating FI's FeeAlert program, and indicate whether they prefer to receive notifications via SMS or email. The customer will receive a personalized alert from their bank or credit union any time they use an out-of-network, fee-charging ATM. The alert will point them to the nearest surcharge-free ATM, which they can use for their next transaction.
How FeeAlert works from the FI's perspective:
The FI deploys FeeAlert and the customer enrolls. If the customer subsequently uses an out-of-network ATM, FeeAlert generates a list (via geo-location technology) of nearby surcharge-free ATMs. The FI then "pushes" results to cardholder, using their preferred means of communication.
"Avoiding ATM fees is hardcoded into cardholder DNA, so if a financial institution puts itself in the position of using FeeAlert to actively help its cardholders save money, the loyalty-building opportunity is obvious," Updyke said.
For more on this topic, visit the distributor/ISO/IAD research center.
User Comments