The Social Democrats are concerned about older people, who should not be “discriminated against by digitization.” There is therefore a need for a “right to a bank appointment,” which can also be provided by mobile advisors, as well as a “ban on fees for banking transactions at the counter.” The long-standing demand for an ATM in every community is also reiterated. From the SPÖ’s point of view, older people in particular are discriminated against by banks because, for example, many banks only offer special bonuses for concluding building savings contracts if the contract is concluded online. Online savings accounts usually bring higher interest rates than conventional ones. If digital transformation leads to disadvantages, politicians must intervene, says Babler.
Fewer branches, costs at the counter, missing ATMs
Banking transactions that used to be carried out at the counter are now often carried out by customers themselves via an app on their smartphone or computer. What seems perfectly normal for younger people is often difficult for older people. With fewer branches, possible costs at the counter or a lack of ATMs in rural villages, banking and cash supply become more difficult.
In Austria, there was recently about one bank branch for every 3,000 inhabitants, according to data from the relevant authorities. In Vienna, for example, a third of the branches have been closed in the last eight years, ORF Vienna recently reported. In the big city, however, it is still easier to avoid a bank branch if your “own” branch closes than in the countryside.
“It’s really not too much to ask”
“Everyone has the right to the same benefits,” said Babler. There should be no exclusion, and banks must accept their “social responsibility.” “I also demand this respect and fairness from banks.” It is time “for banks to give something back to their customers and show special consideration for our older fellow human beings,” said the opposition politician, referring to the banks’ “record profits” of 14 billion euros last year. “An ATM in every community and a personal bank appointment is really not too much to ask.”
Most recently, Austria’s banks and the Association of Municipalities agreed that existing ATMs would be secured until 2029. In addition, “promising” talks were underway with the National Bank about a further agreement on underserved areas in rural areas.
With 8600 ATMs in the top league
According to the banking association, the Alpine republic is currently one of the top European ATMs with around 8,600 ATMs. In addition, there are around 5,500 so-called cashback points in local shops where you can also withdraw cash when shopping – but with a maximum of 200 euros less at a time than with the “real” cash machine.
Babler wants an “ATM guarantee” in his “banking fairness package”. This should be financed from the banks’ profits, not through higher fees. With regard to the “right to a bank appointment”, all commercial banks in Austria that are not purely online banks should “provide at least one bank advisor appointment per month. This can also be done via mobile bank advisors.” With regard to the “fee discrimination ban”, the Consumer Protection Act should stipulate that banks may not charge higher fees for offline transactions than for online transactions.
Cash as an election issue
Cash, or rather its preservation, upper limits on cash payments and the provision of ATMs and bank branches have always been election issues in Austria. The ÖVP and the FPÖ are also working on the issue; the Freedom Party repeatedly warns of an alleged impending abolition of cash, which the EU is pushing forward. Cash is protected in the EU treaties, and the fear of its abolition is unfounded, critics counter. The ÖVP wanted to enshrine cash in the constitution last year, and the FPÖ wanted to go along with it. However, it has not yet come to that.
