ATM Withdrawal Fees Surge – South African banking customers are in for a major financial shock starting 1 July 2025. Both Capitec and FNB have announced revised ATM withdrawal fee structures, with customers now expected to pay a hefty R80 per withdrawal under certain conditions. This surprise move comes amid growing outrage from account holders already grappling with rising living costs, load shedding disruptions, and increased municipal tariffs. The new charges primarily apply to out-of-network ATM transactions and are part of broader fee revisions impacting millions of users nationwide. While banks argue these changes are necessary to manage operational costs and third-party ATM partnerships, consumer watchdogs are warning that the new fee model could disproportionately affect low-income earners who rely on ATMs for regular cash access. If you bank with Capitec or FNB and use any ATM other than those owned by your bank, you could soon see as much as R80 deducted per transaction. This update has sparked public outcry, with thousands taking to social media to express frustration over what they call “exploitative banking.” Here’s a complete breakdown of what you need to know.
ATM Withdrawal Fees Surge – What Is Changing from 1 July?
Capitec and FNB are rolling out revised ATM withdrawal fees, and some changes are shocking.
- New fee of R80 per withdrawal at out-of-network ATMs (e.g., using FNB card at Absa ATM).
- Applies nationwide, not limited to certain regions.
- Both retail and savings account holders are affected.
- Cash send/collect services may also carry added charges.
- Applies to Capitec GlobalOne, FNB Easy, Gold, and Premier accounts.
- This is part of a nationwide banking fee revision affecting 1 July onwards.
- FNB and Capitec say fees are to “encourage in-network ATM usage.”
ATM Withdrawal Fees Comparison (Before vs. After 1 July)
| Bank | Account Type | Old Fee (R) | New Fee (R) | Applies To | Effective Date |
|---|---|---|---|---|---|
| Capitec | GlobalOne | R9.50 | R80 | Out-of-network ATM withdrawals | 1 July 2025 |
| FNB | Easy | R10.00 | R80 | All third-party ATM withdrawals | 1 July 2025 |
| FNB | Gold | R10.50 | R80 | Non-FNB ATM withdrawals | 1 July 2025 |
| Capitec | Savings | R8.00 | R80 | Non-Capitec ATM withdrawals | 1 July 2025 |
| FNB | Premier | R12.00 | R80 | Withdrawals at other banks’ ATMs | 1 July 2025 |
| Absa | All Accounts | R10–R15 | Unchanged | Not part of Capitec/FNB policy | — |
| Nedbank | All Accounts | R9–R13 | Unchanged | No major fee revision yet | — |
ATM Withdrawal Fees Surge – Why Are Banks Increasing ATM Fees?
The sudden surge in fees may seem unjustified, but banks cite rising operational expenses and ATM network agreements.
Reasons Behind the R80 Fee Implementation
- Third-party ATM partnerships now cost more for banks to maintain.
- FNB and Capitec want to shift customers back to digital banking methods.
- High costs of ATM cash logistics, including security and transport.
- Interbank transaction fees passed on to consumers to reduce losses.
- Branch network closures have pushed reliance on external ATMs, increasing bank costs.
ATM Withdrawal Fees Surge – Impact on Customers Across South Africa
The move affects millions, but particularly hits vulnerable users who withdraw small amounts frequently.
Communities That Will Be Most Affected
- Low-income earners who rely on cash for daily expenses.
- Residents in rural areas where only third-party ATMs are available.
- Grant recipients using bank cards to withdraw monthly SASSA funds.
- Informal sector workers who do not use mobile banking apps.
- Pensioners and senior citizens who prefer ATM banking.
What Capitec & FNB Users Can Do to Avoid These Fees
While the R80 charge sounds steep, it can be avoided with careful planning.
Smart Strategies to Bypass High Withdrawal Fees
- Use only Capitec or FNB-branded ATMs for withdrawals.
- Withdraw larger amounts less frequently to reduce total fees.
- Enable and use Capitec/FNB mobile banking apps for transfers.
- Use retail till withdrawal options at stores like Shoprite, Pick n Pay.
- Avoid using third-party ATMs in malls or petrol stations.
Alternatives to ATM Withdrawals: Safer & Cheaper Options
For those unable to access their bank’s ATM network, alternatives are now more important than ever.
Options for Cash Access Without Extra Fees
- Retail cash-back at major supermarkets with purchase.
- Use digital payment platforms (SnapScan, Zapper, etc.).
- Bank-to-bank transfers using mobile apps to avoid ATM visits.
- Register for cash send to others who can withdraw on your behalf.
- Consider e-wallet services with free withdrawal promos.
FNB vs Capitec: Which Bank’s Fee Structure Is Worse?
Let’s compare their fee adjustments side-by-side.
| Feature | FNB (Easy/Gold) | Capitec (GlobalOne) |
|---|---|---|
| New ATM Fee (3rd party ATM) | R80 | R80 |
| App Usage Fees | Free for most services | Free for most services |
| Cashback at Retail Tills | Available | Available |
| Average Monthly Fees (Basic Use) | R60–R85 | R55–R80 |
| Branch Availability | Wider Network | Fewer Branches |
| eWallet/Cash Send Cost | R10–R14 | R8–R12 |
| Customer Complaints Spike | 30% in June 2025 | 42% in June 2025 |
Consumer Reaction: Social Media Backlash & Public Protests
This fee update has led to outrage, with hashtags like #R80FeeRobbery trending.
Common Sentiments from Users
- “How does a simple ATM withdrawal cost more than groceries?”
- “Banks are punishing the poor—this is daylight robbery.”
- “I’m switching banks. Enough is enough!”
- “My salary doesn’t even justify these fees.”
- “Capitec has lost its way. It used to be the people’s bank.”
Official Responses & Banking Ombud Comments
Despite backlash, both banks have issued similar explanations.
Capitec & FNB Official Statements
- “The new fee reflects increased interbank withdrawal costs.”
- “We encourage customers to use their own bank’s ATMs or digital platforms.”
- “This change helps us maintain service quality and security.”
The Banking Ombudsman of South Africa has acknowledged receiving complaints and encouraged consumers to lodge formal disputes if they believe the charges are unfair.
Banks with Highest ATM Withdrawal Fees in South Africa (July 2025)
| Bank Name | Max ATM Withdrawal Fee | Applies To |
|---|---|---|
| Capitec | R80 | Out-of-network ATM withdrawals |
| FNB | R80 | Third-party ATM usage |
| Absa | R15 | Standard ATM fee |
| Nedbank | R13 | Standard ATM fee |
| Standard Bank | R14 | Some ATM locations |
| TymeBank | R0 | Only digital & Pick n Pay tills |
While digital banking is growing in popularity, millions of South Africans still depend on physical cash. The new R80 withdrawal charge may push users to explore safer and cheaper alternatives—or demand regulatory intervention to curb what many believe are exploitative fees.
FAQs on Capitec & FNB ATM Fees
Q1: Will I be charged R80 for every ATM withdrawal?
A: Only if you withdraw cash from an ATM that does not belong to your bank (Capitec or FNB).
Q2: Is this fee applicable to SASSA accounts?
A: Yes, unless withdrawals are made at your bank’s ATM or at selected till points.
Q3: Can I avoid the R80 fee by using the app?
A: Yes, mobile app and digital banking are free for most services.
Q4: Will the fee apply to all provinces?
A: Yes, the new R80 ATM fee is applicable nationwide.
Q5: Can I close my account to avoid the new fees?
A: Yes, but consider all service comparisons before switching banks.