7-Eleven is installing ATM machines in the Philippines, and they might just be the solution to the increased interbank ATM fees to be implemented next month. The owners of the 7-Eleven franchise, Philippine Seven Corp., said that they have started installing their own white automated teller machines (ATM) in select stores in February. These machines are capable of both deposit and withdrawal transactions, unlike typical ATMs that just dispense bills.
There are currently more than 30 operational ATMs out of 320 units that should go live by June. This partnership between Philippine Seven Corp. and the local unit of Seven Bank Ltd. of Japan, Pito AxM Platform Inc. (PAPI) is said to be the largest cash-recycling ATM network in the country.
Cash-recycling ATMs can accept cash deposits that can also be withdrawn from the machine. This potentially saves customers from a trip to the bank. The machine is also secure because there is no need to collect or refill the cash in the machine. These machines are a standard in Japan and are considerably more expensive than withdrawal-only ATMs.
What’s more, is that these 7-Eleven ATMs allow several banks to share them. “Seven Bank’s model allows several banks to share the ATMs so that more customers could use them without fees, and then installing them in a safe and convenient location like our stores made tremendous sense for us, which is why we have been wooing them for several years now,” Jose Victor Paterno, Philippine Seven Corp.’s CEO, said.
So far, only BDO Unibank Inc. has partnered with PAPI. This means BDO Unionbank account holders can withdraw and make balance inquiries for free on 7-Eleven ATM Philippines 7-Eleven ATM in the Philippines. Other bank account holders through BancNet can also do withdrawal and balance inquiry transactions but they are still subject to the ATM fees charged by their issuing banks.
The deposit function on these ATMs is currently limited to 7-Eleven store cash only. This adds a layer of security to 7-Eleven branches since it allows them to deposit their sales directly into the machine instead of hoarding or keeping them in the register which isn’t safe from potential robberies.
“We also have several stores in small towns without bank branches or even ATMs, so this would both reduce our cash handling costs, which have increased as our payments business has grown, and reduce the need for the community to travel to access an ATM at the same time. If the model proves financially viable for both ourselves and Seven Bank, we would like to see these machines in all stores very soon,” Paterno said.