Have a smartphone? Get cash at an ATM.
Or put another way: no debit card? No problem. Use a smartphone to extract cash.
That's the promise of a new cardless Mobile Cash Access toolset now offered from a collaboration between ATM maker Diebold and digital wallet company Paydiant. FIS' processing rails also figure into this picture.
That processing end may seem complex and it has been slippery to put the pieces together, which is why only now is this long-dreamed-about service rolling out. For the end user, the process is designed to be simple. Devon Watson, a Diebold executive, said it would take “seconds.”
A consumer opens up the participating financial institution's digital wallet, clicks Mobile Cash Access, picks an ATM and an amount, then goes to the ATM, presses the MCA button, and a QR code appears on screen. The consumer scans that QR code with a smartphone and, poof, the machine disgorges money.
“The processing all moves to the cloud. There's a big security advantage with this system,” said Chris Gardner, a Paydiant executive. “You completely eliminate the possibility of skimming.”
He noted that no sensitive data resides on the phone so lost or stolen devices are not a factor.
Watson also noted that, in Diebold's view, this service will especially appeal to younger so-called “Digital Natives,” a demographic that may leave home without a plastic card but which is loath to do so without a smartphone.
“Our customers are looking for ways to appeal to that demographic and we believe this is a way,” said Watson.
A pilot of Mobile Cash Access launches next week at Wintrust, a regional bank based in Illinois.
More institutions already are in a queue to be launched, said Gardner, who indicated it is possible 10 to 20 more will be live by early 2014.
“There is so much interest in this,” said Gardner.
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