BOSTON—The Massachusetts Division of Banks found more than 300 unauthorized ATMs, not owned by banks, as well as 100 more authorized ones, which didn’t meet state regulations, throughout Massachusetts earlier this week.
The 300 ATMs, commonly found in convenience stores or service stations have been shut down until they meet state standards and are authorized by the Division of Banks.
The most common way the ATMs failed to meet state standards was that they failed to provide the owner and operator’s contact information and a 24-hour, toll-free contact phone number for customers. Many also failed to provide the Division of Banks contact information for customers with complaints or inquiries.
“With the number of non-bank ATMs growing rapidly, it is important that these ATMs comply with security requirements, as well as fee, contact information and other disclosure provisions, in order to protect consumers and prevent ATM-related crime like identity theft,” said Barbara Anthony, undersecretary of the Office of Consumer Affairs and Business Regulation, in a press release.
Some ATMs failed to provide the amount of the surcharge people are charged for transactions, and the option to cancel the transaction prior to being assessed a fee.
“It is crucial that consumers are provided fee, contact data, and other information in order to make informed decisions on which ATMs to use,” David J. Cotney, the acting commissioner of the Division of Banks.
Worcester, Springfield, Quincy, New Bedford, Lynn, Framingham, Boston, and Cambridge were among the towns where these violations were most often found.
“Non-bank ATM operators must follow state regulations, register their machines, and make sure consumers are appropriately aware of the fees and ownership of a machine,” said Cotney. “Consumers must have a high level of trust and protection when using an ATM that is not at a bank, and following our registration rules and regulations provides that trust and protection.”
The 300 ATMs, commonly found in convenience stores or service stations have been shut down until they meet state standards and are authorized by the Division of Banks.
The most common way the ATMs failed to meet state standards was that they failed to provide the owner and operator’s contact information and a 24-hour, toll-free contact phone number for customers. Many also failed to provide the Division of Banks contact information for customers with complaints or inquiries.
“With the number of non-bank ATMs growing rapidly, it is important that these ATMs comply with security requirements, as well as fee, contact information and other disclosure provisions, in order to protect consumers and prevent ATM-related crime like identity theft,” said Barbara Anthony, undersecretary of the Office of Consumer Affairs and Business Regulation, in a press release.
Some ATMs failed to provide the amount of the surcharge people are charged for transactions, and the option to cancel the transaction prior to being assessed a fee.
“It is crucial that consumers are provided fee, contact data, and other information in order to make informed decisions on which ATMs to use,” David J. Cotney, the acting commissioner of the Division of Banks.
Worcester, Springfield, Quincy, New Bedford, Lynn, Framingham, Boston, and Cambridge were among the towns where these violations were most often found.
“Non-bank ATM operators must follow state regulations, register their machines, and make sure consumers are appropriately aware of the fees and ownership of a machine,” said Cotney. “Consumers must have a high level of trust and protection when using an ATM that is not at a bank, and following our registration rules and regulations provides that trust and protection.”
