Using automated teller machines (ATMs) makes it easy for people to access cash from a checking or savings account, and most of us have the experience to withdraw cash from an ATM. But, have you wondered how much you can withdraw from an ATM?
Most banks place a limit on the amount of cash that you can withdraw from an ATM every day. There may also be withdrawal limits for each transaction. The limits represent the amount of cash that you can withdraw per visit to the ATM or per day. Therefore, it is important to know if there is a limit when you want to withdraw cash from a bank.
Why Do Banks Have ATM Withdrawal Limits?
The reason for setting ATM withdrawal limit is for practical and security purposes.
In the first place, an ATM can only store a certain amount of cash, and banks have a limited amount of cash that they can distribute at any given time. By setting a limit on how much money can be withdrawn from an ATM, the banks can control the flow of available cash easily.
Another reason is to protect customer accounts and ensure their security.
Let’s say someone stole your debit card and PIN number one day. Imagine if there is no ATM withdrawal limit, the one who stole your card and PIN might be able to withdraw all the money from your checking account or savings account. That doesn’t sound good, right?
Therefore, despite the inconvenience of limits on withdraws from ATMs, setting a limit is actually essential to keep your money safe.
How Much Can You Withdraw From An ATM?
Generally speaking, a cash withdrawal limit at an ATM can range from $300 to $5,000 per day, and it depends on the bank and the account. Make sure to check with your bank what exactly your limit is and how much you can withdraw per day or per time.
In most cases, banks and credit unions normally set their own limits. You may also have a personal ATM withdrawal limit, which depends on the type of account you have, your banking history, and your relationship with your bank.
For instance, If you are new to a bank and have just opened a basic checking account, you might be eligible for a lower withdrawal limit than someone who has had a premium checking account for 10 years.
Moreover, some ATMs can also have limitations on how much cash they will dispense for each withdrawal. And it is worth mentioning that the daily cash withdrawal limit at an ATM may differ from the daily purchase limit.
For example, it is possible that your bank may restrict your withdrawals from the ATM for $400 per day, but you may be able to make purchases from your debit card of up to $4,000 per day.
The banks may make withdrawal limits and purchase limits separate or they may set a third limit for how much cash can be taken out of the account via withdrawals and purchases each day.
Daily ATM Withdrawal Limits
When it comes to the amount of cash you can withdraw each day and the limitations from an ATM, banks vary. The chart below shows how daily ATM withdrawal limits compare among the most popular banks, both online and offline. Also, based on the type of account and your relationship with your bank, the limits shown here may change.
It is important to know how much is your bank’s limit, so you won’t go over it. Overdrawals more than the maximum amount can result in a high fee per withdrawal.
In general, banks reset withdrawal limits every 24 hours, so knowing this can be valuable. Suppose that your bank resets its limit at midnight, you can actually withdraw the maximum amount just before midnight, and just after midnight, you can withdraw cash again, using two consecutive banks’ access to the maximum within a short period.
How to Increase ATM Withdrawal Limits?
Once you know you might need extra cash, you can call your bank and request a temporary increase in your ATM limit. Your bank might ask you for certain information (such as your driver’s license) to prove your identity, but if you do so, you can probably only increase your limit by several hundred dollars.
Requesting an increase will not always work, but you can always try. The increase in your ATM limit is usually temporary. However, if you frequently require more than the maximum, you might be able to get it permanently.
If you are interested in increasing your daily ATM withdrawal limits permanently, you may try to make a request for a higher withdrawal limit from your bank. And the bank will decide based on some factors:
- Whether you have been a customer for a long time/ your relationship with your bank.
- Types of bank accounts you have.
- History of your account.
- Whether you have asked for a temporary or permanent increase.
On the other hand, if you are going on vacation or making a large purchase, your bank may be willing to raise your ATM withdrawal limits for a few days or a few weeks.
Just Keep in mind that banks set these limits for security reasons, so if you do get a higher limit, you need to keep an eye on your debit card. Otherwise, if your card is lost or stolen, someone can get access to your account and there is a higher possibility that you will lose more money.
To Wrap Up
There is no doubt that ATMs have provided us with much easier and faster means of withdrawing cash. You can probably withdraw cash within a few minutes since ATMs are everywhere.
And as we all know by now most banks set a limit to the amount of cash that can be withdrawn from an ATM every day or every transaction just to protect you as a security reason.
It is always a good idea to double-check with your bank what your limit is since the limitations can vary from person to person and from bank to bank. In case you need some extra cash from time to time, contact your bank and they will raise the limit for you depending on your situation.
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