MEDIA RELEASE

         NICK XENOPHON M.L.C.

27 January 2006

FOLLOWING NEWS THAT BANKS HAVE MADE ALMOST $600 MILLION IN ‘FOREIGN’ ATM FEES – PUSH FOR SA TO LEAD LEGISLATIVE CHANGE:

ATM FEE DISCLOSURE

SHOULD BE AUTOMATIC

No Pokies MLC Nick Xenophon has renewed calls to force banks to disclose ATM fees following news that Australian consumers have been stung almost $600 million in using ‘foreign’ ATMs (ie. those other than the issuing bank’s).

Mr Xenophon is proposing a Bill to be introduced into State Parliament after the election that will force disclosure of all fees prior to the transaction being completed.

Under the proposed Bill, banks would be forced to disclose – within three months of the Bill passing – basic consumer information at ATMs including:

• An indicative range of fees that will be charged at the ATM – before the transaction is commenced;

• The difference in fees between ATM usage by customer of the financial institution the ATM is operated by, as compared

to non-customer, with a clear warning on the differential fee that could be applied to non-customers.

“For too long, for too many Australians, using an ATM has been a bit like an ‘unlucky dip’ when it comes to the fees that banks can slug their users.”

“At a time when the banks are making multi-billion profits in general, with windfall profits from ATMs in particular, this basic consumer information is long overdue.”

Mr Xenophon predicted that if the bill was passed “ South Australia would be a pace-setter state on greater transparency in bank fees and charges, with the inevitable consequence of greater competition and an ultimate reduction on fees charged for customers using ATMs”.

“This proposed legislation will have the effect of stirring up the cosy club-like atmosphere banks seem to have on ATM fees.”

Written and authorised by Nick Xenophon, 653 Lower North East Road, Paradise, SA 5075