ANZ Bank has scrapped the fees for using its internet, phone and mobile phone banking services.
Most of the large banks have reduced or removed penalty fees for dishonoured cheques, electronic transactions or credit card payments.
ANZ chief executive Jenny Fagg says the bank has decided to drop 10 fees, mainly on do-it-yourself phone, internet and mobile phone banking services.
The bank will reduce penalty fees from December to between $8 and $15 to match moves by competitors.
Ms Fagg says the fee reductions will cost the bank about $35 million a year, though she says the cost to the bank of providing the services has come down.