Waiters and valets will be pleased to hear that would-be tippers and everyone else now can withdraw $1 and $5 bills from some ATMs. And yes, out-of-network still apply.
Over the past 18 months, Chase has rolled out the option at 350 to 400 machines and drive-thrus across the nation. Customers can either type in the withdrawal amount or opt for "custom denominations" that range from $1 to $100, CNN Money reports
. The new machines also dispense coins.
The move comes as Americans are spending less, with a deficit that topples $16 trillion.
"Particularly in difficult financial times when peoples' account balances have been lower, not having to withdraw more money than you really need is helpful," Greg McBride, senior financial analyst at Bankrate.com.
Meanwhile, PNC has been ahead of the curve, upgrading more than half of its 7,200 ATMs to dispense $1 and $5 bills over the past year, and the rest are expected to be upgraded by the end of the summer, CNN reports.
Chase's push to cut staffing costs and make life more convenient for customers also guided the change.
Bill Sheley, head of branch innovation at Chase, told CNN the machines are the "next generation ATMs or new teller platforms."
Paying credit card bills will now be a breeze, and customers can now load their Chase prepaid cards with cash.
The new option is free for PNC customers, but the same $3 out-of-network fees apply to non-customers as they do for any of the banks' ATMs. A customer's own bank also typically charges a fee of around $1.60 when they use an out-of-network ATM.
In many cases, these out-of-network fees overshadow the convenience of getting exact change. But for some non-customers, it may be worth it, McBride told CNN.
Currently, TD Bank (TD) has a small number of ATMs inside businesses that dispense $5 bills, but most of its machines dispense only $20 bills and it doesn't have plans to introduce lower denominations.
A Bank of America spokeswoman declined to comment on future plans but said its ATMs currently dispense $10 bills and that the bank is always looking to innovate.
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