The Commonwealth Bank (CBA) has paused plans to charge some customers $3 to withdraw money at its branches.
On Tuesday, CBA announced it would move around a million customers to its ‘Smart Access’ account, which charges $3 for non-ATM withdrawals.
Following widespread criticism, the bank will pause these plans for some of its customers.
Plan
On Tuesday, CBA announced it would move customers who have ‘Complete Access’ accounts to ‘Smart Access’ accounts next year. It said around 10% of its 10 million customers use the Complete Access account.
The ‘Smart Access’ accounts include a $3 fee when you take out money at a branch, post office or by phone.
The $3 fee doesn’t apply to under-18s, people on aged and disability pensions, and ATM withdrawals.
Backlash
On Wednesday morning, Treasurer Jim Chalmers said he had spoken to CBA CEO Matt Comyn about the “unacceptable” changes.
“People are doing it tough enough as it is. They didn’t need this at Christmas or at any other time,” Chalmers said.
Opposition leader Peter Dutton also called for CBA to “reconsider”.
“A lot of older Australians or people with disabilities, they want to go into a branch… particularly with the amount of scams that are around at the moment,” Dutton said.
Announcement
In a press conference on Wednesday afternoon, CBA executive Angus Sullivan said the bank had “done a poor job communicating” the changes.
He added: “We are particularly conscious of the impact any change to planned fees and charges can have at this time of year, especially given the cost of living pressures our customers face.”
He said that for those customers who will be “the same or better off”, the move will still happen.
However, for the remaining customers, the migration will be “pausing”.
Sullivan said CBA will “contact these customers…to communicate about suitable product options”.
