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Spanish News Today
Alicante Today
Andalucia Today
Date Published: 03/02/2023
Almost 200 non-licensed ATMs that make megabucks out of British tourists to be removed in Benidorm
Benidorm Town Hall has orderd the closure of 196 'pirate' cash machines that charge holidaymakers outside the euro zone extortionate commission

The closure of many high street bank branches in recent years and the influx of tourists from countries outside the euro zone, especially from the UK, has led to a proliferation of ATMs all over Benidorm.
In the majority of cases, these street cash machines are built into the facades of other businesses, but others have been installed in the middle of gardens, pavements and even obsolete telephone boxes.
And, according to Benidorm Council, almost all of the ATMs have been operating without having first obtained a licence for installation, without responsible declaration to the local authorities, and more importantly, without paying municipal taxes for the occupation of public roads. That is, until now.
The Town Hall has ordered three finance companies that operate independent ATMs in the resort to "immediately close" more than 196 cash machines and remove them within a month.
The companies ordered to dismantle the machines are: Euronet 360 LTD, which operates at least 137 cash machines in Benidorm; Cardtronics SL, with 37 ATMs identified by the municipal inspection; and Euro Automatic Cash Entidad de Pago SL, with another 22.
A large number of the cashpoints are located in the tourist areas of Levante and Rincón de Loix, hugely popular with British holidaymakers and other travellers.
The firms have been warned that if they fail to comply, the council will "initiate proceedings for urban infraction and fines that may apply until the sites are restored to their original state".
And the threat isn't an idle one. It is clearly stated in two decrees, signed this week by the Department of Commerce and Openings, which point out that "high financial penalties will be imposed on the firms that operate this activity", the total amount of which comes to 392,000 euros.
Or, in other words, 2,000 euros for each of these ATMs, which are charged with a minor infringement of Law 6/2014 of 25 July of the Generalitat Valenciana.
Benidorm Council has spent months building a case against these 'pirate' cash points. In March last year, the local authority opened proceedings against 30 of these ATMs for non-compliance with regulations.
The Town Hall has now taken matters further with the signing of the new decrees.
Apparently these ATMs particularly target tourists from outside the euro zone.
The system by which the companies operate is simple. The firm pays the owner of the premises where they insert the ATM a monthly rent for the space occupied and takes care of the installation, maintenance and management of the machine. Its income comes from the fees paid by users - or their banks - each time they withdraw money. But they can be extortionate.
For example, customers whose bank is part of the Euro 6000 network can withdraw cash for only 55 cents commission, but it can cost as much as 3 euros if they use cards from other banks.
However, the real business is in the withdrawals made by tourists arriving from countries outside the euro zone who encounter commission for currency conversion, which can be around 4.5% of the amount requested. This makes the biggest targets the British, Norwegians and Swedish.
Image: Archive
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