Nationwide ATM network in South-Eastern Asia

A common ATM service network is to be arranged in Vietnam under the alliance of Banknetvn and Smartlink, the two largest financial networking alliances, joined together yesterday with partner banks Vietcombank, Agribank, BIDV, Vietinbank and Techcombank.

Now cardholders of one bank will be ale to use the ATMs of the other banks.

By now 3,614 ATMs or 64 per cent of existing ATMs on local market were placed into commission by these five banks. 80% of the cards issued in the country also belong to them which corresponds to 8.6 million bank cards.

When a customer uses some bank's ATM for transactions with the card issued by another bank the latter is charged a commission fee. It is up to the policy of each card issuing bank to charge their customers.

Usually card holders are charged nearly VND500-3,000 for each transaction by the card issuer.

"I think consumers should change their mind about costs for their convenience. We should have to pay money to service providers," notes Nguyen Tu Anh, general director of Smartlink.

"Smartlink and Banknetvn were joint stock companies, not State- owned companies; they worked for a profit so they obviously charged a fee," stated a central bank official.

"I think if the big banks connect successfully, other banks will connect to Banknetvn-Smartlink easily," says Bui Quang Tien, Director of the Payment Board of the State Bank of Viet Nam.

All the members mentioned are said to be connected by Banknetvn and Smartlink into one single Banknetvn-Smartlink network by the end of September. Then more than 30 banks which are 90% of the bank card market are to use each other's ATMs across the whole country.

At present most ATMs are not accepting cards issued by other banks which is very inconvenient and problematic? for card holders.