THE Australian Greens want to ban major banks from charging $2 fees for non-customers to withdraw cash from their ATMs.

The party will propose amendments to the trade practice laws to stop major banks charging for ATM use.

But it won't advocate the fee ban for credit unions, building societies or independent ATM operators, such as corner shops and clubs.

Greens leader Bob Brown said the multi-billion dollar major banks didn't need the extra annual $680 million generated from inflated ATM fees.

"Australians spend around $1000 on bank fees, 20 per cent more than in the United Kingdom where ATM fees don't exist," he said.

The $2 fee doesn't reflect the real cost of processing an ATM transactions, he said.

"The Reserve Bank of Australia estimated it was about 50 cents in 2000, which is likely to be even lower now."

Originally published as Greens move to ban 'inflated' $2 ATM fees