"I hesitate to say that it is automatically going to be safer, because any new technology that you introduce in the marketplace, somebody’s going to find a way to hack it," he said. The cardless feature should mitigate some risk, protecting a card's magnetic strip from potential thieves, Dix said, though it's no silver bullet. That technology may roll out as early as next year, Dix said. Patrick Dix, spokesman for Johnston-based Shazam, a member-owned payments processor and ATM network provider, said the company is working on a similar solution for its member banks. The answer: "They don’t want to be tracked by their parents, so therefore they’d rather use cash." 'Somebody's going to find a way to hack it' What difference does it make?'" she said. "I said, 'Why? You’ve got your debit card. In meeting with a group of Drake University students a few weeks ago, Codina said she couldn't believe the stronghold cash still wields over millennials' financial lives.Įven with continued innovations in mobile payments systems and the growth of peer-to-peer money transfer apps such as Venmo and PayPal, the students told her they still wanted easy access to ATMs. "Overall in the population, we’re still seeing a demand for cash and a demand for getting that cash where I need it." "We’re certainly not seeing any kind of decline yet in ATM usage," Codina said. While experts debate the technological significance of Wells Fargo's innovation, they agree that it underscores the relevance of cash and ATMs in the marketplace, even as mobile banking technology matures. Wells Fargo plans to take their ATMs a step further later this year, rolling out a Near Field Communication (NFC) option that will "read" NFC-enabled smartphones to complete transactions, along with a PIN. Plus, the new feature also allows customers to ditch their wallets and still have access to cash. Making the terminals more secure is a priority, given that ATM fraud rose more than 500 percent from 2014 to 2015, according to analytics firm FICO.īy removing the card from the transaction, the risk of skimmers on an ATM stealing a customer's information also drops, Codina said. To use an ATM without a card, customers use their smartphone to log into the bank's mobile app and request a one-time, eight-digit authentication code. They enter that code, along with their PIN, to make withdrawals or deposits the same way they would by inserting a card. "People carry their cellphones everywhere. They don’t carry purses." "I have a 16-year-old son who loses his debit card about every three weeks," said Marta Codina, Well's Fargo's Des Moines area president. The move is seen as one of both convenience and security - as well as a recognition that cash is still king in an increasingly digital society. But experts predict small and big banks alike will explore similar moves as mobile technology continues disrupting traditional banking behavior. Wells Fargo says it is the first large bank to offer a cardless feature, rolling it out last week to its 13,000 ATMs across the nation. Watch Video: Wells Fargo: All ATMs will take phone codes, not just cardsįor decades, using an ATM has required two basics: a four-digit PIN and a credit or debit card.īut a new generation of ATMs, which Wells Fargo has upgraded around Des Moines, is taking the card out of the equation, allowing customers to use their smartphone instead.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |