Business / Corporate

Japan banking giants MUFG and SMBC to start sharing ATMs in September

JIJI

MUFG Bank and Sumitomo Mitsui Banking Corp. have announced they will make ATMs outside their branches available to each other’s customers from Sept. 22.

Customers of each bank will be able to withdraw cash from either kind of ATM for free during the daytime on weekdays, the banks said Friday.

The ATM transaction fees set by each lender will be applied to transactions via the other’s ATMs.

The first ATM-sharing service between mega-banks is designed to improve customer convenience and cut ATM maintenance costs.

The two banks are poised to call for industry peers to join the service. Mizuho Bank, the third remaining mega-bank, may consider taking part.

A total of 2,818 ATMs will be covered by the service, mainly at stations and commercial facilities in the greater Tokyo area and the Chukyo and Kansai regions.

MUFG and Sumitomo Mitsui plan to close a total of 600 to 700 ATMs located close to each other, saving each bank several billion yen in annual costs.

With online banking services growing, the number of ATM users is on the decline. The number is seen falling further if cashless payment services become more popular.