Private ATMs replace bank machines as fees rise for cash withdrawals

The number of bank-owned ATMs has decreased significantly, from 2,489 in 2011 to 1,440 last year. Many have been replaced by private providers like Next and Allpoint, which charge fees of $2.50 or more for withdrawals. Banks have stopped charging fees for using other banks' ATMs, leading to fewer bank-operated machines. Private providers fill the gap, as they can operate in more locations and charge fees, making it profitable for them. Experts note that the decline in cash usage has reduced banks' need for ATMs. Consumers now face higher fees at private ATMs, which can be burdensome for those relying on cash.