STRATEGIC PARTNERS
October 14, 1999
SANTA MONICA -- Santa Monica's city council made history Oct. 12 when it gave its official blessing to ban ATM surcharges by approving an ordinance calling for a halt to the fees. The law takes effect Nov. 12, unless opponents decide to file an injunction against the ordinance. Santa Monica's move has spawned efforts by other California cities' councils to review the possibility of banning surcharges in their areas. Some banks have talked about closing some off-premise ATMs as a result of the ban. Daniel L. Ehrler, executive vice president of the Santa Monica Chamber of Commerce, said, "If the banks can't afford those ATMs, they're going to pull them. So not only will it negatively impact local banks, it will also negatively impact consumers." According to an article in CardFax, the California Bankers Association intends to file a lawsuit citing that the ban as an infringement. On the other hand, consumer groups supporting the decision plan to initiate similar efforts to other cities throughout the state.
