Cardless ATMs: What to consider before investing

Member experience and security are real benefits of cardless ATMs.

Cardless ATMs may seem like the latest fad in the ATM business – out there with terminals that feature holograms, cryptocurrency, facial recognition, targeted marketing and other newfangled ideas. But experts said cardless ATMs are more than just talk. They’re going mainstream, they warned, and credit unions that don’t keep up with the times could soon find themselves struggling in an already tough ATM environment. Here’s why experts believe cardless ATMs will soon be everywhere and what credit unions should think about before investing in them.

A New Era: Mobile-Operated ATMs

Many credit unions may be too tired from dealing with Windows 10 and EMV upgrades to even think about also making their ATMs cardless. But in a year or two, cardless ATMs could be commonplace, Doug Falcone, CEO of the Jupiter, Fla.-based ATM Consultants, said.

The surge in mobile banking adoption is likely fueling much of the momentum that is gathering behind cardless ATMs. According to a recent survey by Harris Poll and fintech software development company Entersekt, 59% of people now use banking apps at least once a week, and 20% use them daily. Many appear to be in the app exploration phase, with more than two-thirds (68%) saying they had more than one app for banking and payments; 37% had three or more.

 

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