Banking Category Banking: the easy, simple banking guide

How to transfer funds through your ATM card

Automated Teller Machines, or ATMs, have become an expected convenience for many banking customers.

ATMs originally really were useful only for getting cash from a bank account.

However, ATMs have become more sophisticated and ATM networks have made more functionality available in more places than ever before. With the right bank accounts and ATM cards, customers can transfer funds through their ATM cards.

Ensure that fund transfers via ATM card are allowed by your banking institution. There is no requirement that a bank allow fund transfers through an ATM card. However, many financial institutions will allow fund transfers between all accounts owned by the ATM cardholder.

Understand the ATM agreement that applies to your account. While transactions that are prohibited are likely to be blocked by the machine, transactions that carry an additional fee or surcharge may not be blocked. Not all such transactions will generate a notice on the ATM screen, so it is important to know before using the ATM card.

Verify that funds are available. Some banks will hold certain deposits for a period of time before allowing funds to be transferred or withdrawn. Ensuring that funds are available for transfer can save frustration because the error messages displayed by ATMs may be confusing.

Determine if the ATM is sufficiently affiliated with the bank to process the transaction. Some financial institutions allow transfers to be completed at any ATM within the proper ATM network. Other banks require that transactions such as transfers be completed at bank-owned ATMs only.

Insert the ATM card into the ATM. Enter the card PIN number and any other requested security information. Select "Transfer Funds" or similar entry from the transaction menu. If the function is not displayed, then it cannot be performed at that machine.

Select the account to transfer funds from and the account to transfer funds into. Enter the dollar amount to be transferred. Collect the printed receipt and retain for your records.


If an ATM transfer cannot be performed, but the ATM will accept deposits, consider withdrawing the amount to be transferred in cash and then redepositing the cash into the target account. However, beware that such a withdrawal may be subject to ATM surcharges, even if the funds are immediately redeposited.