The PesaPoint ATM network has launched a new service which allows account holders from partner banks to make transactions at a reduced and uniform fee.

This is despite an account holder transacting through own bank’s ATM or when using a partner bank’s ATM.

The service, called PesaPoint Interconnect, is meant to allow account holders of small banks within the PesaPoint to access financial services from a wider ATM network cost-effectively.

Richard Coate, PesaPoint managing director, said that the service is already attracting partner banks within the PesaPoint network, with Imperial; Fina; NIC Bank; DTB; CFC-Stanbic and KCB already signed onto the PesaPoint Interconnect platform, enabling clients of the banks to access their funds through over 600 ATMs.

“It enables clients to access funds where their banks do not have a presence while larger banks with a wider ATM network are able to increase their own revenue by allowing customers from other partner banks to use their infrastructure,” said Coate.

For NIC Bank, which has a total of about 25 ATMs, PesaPoint Inerconnect enables the bank’s account holders to access various services, including ATM withdrawal, mini statement and balance enquiry, from either a PesaPoint, DTB, CfC Stanbic or KCB ATM at standard PesaPoint rates.

This reduces transaction costs for clients while also expanding the number of ATMs through which they can access services.

Prior to the introduction of the service, account holders at PesaPoint partner banks were able to access services via other ATMs (mainly VISA branded outlets) but the transaction costs were higher, ranging from Sh 150 ($ 1.8) to Sh 200 ($ 2.3).

The other objective of the service, which was launched in December 2009 with CfC Stanbic being the first institution to come onboard, is to enable banks make savings on their infrastructure costs through sharing of such facilities and equipment.

“Joining up with the PesaPoint Interconnect ultimately leads to savings for banks as deployment of individual ATMs by each bank in every location is expensive.