The announcement by the Association of Banks in Malaysia (ABM), which is made up of the 26 banks, comes a day after the group defended the charges as necessary to encourage consumers to use the e-banking facility.

It said member banks would cease charging fees for cheque and cash payments for credit card and financing repayments over the counter as well as at cash deposit machines.

Certain customer segments are already waived from these charges, for example disabled persons and senior citizens.

Walk-in customers have free alternatives to conduct banking transactions and to obtain services provided via automated teller machines.

“Our member banks will be communicating with their customers via their respective communication touch points, including the banks’ websites, and are ready to assist their customers to familiarise themselves with these alternative channels or on any queries they may have in relation to this matter,” ABM said in a statement.

Earlier this week, the Consumers Association of Penang (CAP) and National Union of Bank Employees (NUBE) criticised the move to allow banks to impose a 50 sen charge for use of the cheque deposit machines and RM2 for over-the-counter transactions, beginning next month.

Both CAP and NUBE said their complaints to Bank Negara Malaysia had gone ignored.