Diebold is hoping to bridge the gap between its 20th century ATM technology and the modern era’s mobile obsession with a new “millennial-inspired” machine that lets users make cardless transactions with their handsets. At this week’s Consumer Electronics Show (CES) in Las Vegas the firm is showing off its new “conceptual ATM interface”, which borrows the touchscreen, navigation and controls familiar to smartphone owners.
To complete a cardless withdrawal, pre-registered bank customers scan a QR code on the ATM using their phones. When the devices sync via the cloud, a transaction screen appears on the handset where the customer selects the withdrawal amount. The cloud server then sends a one-time code to the phone, which the customer enters on the ATM screen to authenticate the transaction and receive cash. Diebold argues that the system reduces consumer security risks related to lost or stolen cards, as well as the opportunity for skimming, while privacy is boosted because details are entered on the phone rather than ATM screen. The one-time authentication code expires immediately after completing a transaction.
The firm is also demoing a P2P payments feature at CES which lets customers set up pre-staged transactions that authorise access to cash to a third party. The sender enters the payment amount and recipient’s contact information, which can be selected directly from his or her contact list, through their phone. The recipient then receives a one-time code he or she can use at an ATM or branch to receive money. By using cloud-based services, the features do not require an on-board computer, which means reduced power requirements while hardware costs are cut because no card readers or receipt printers are needed. Transaction receipts are delivered via text or e-mail.
Diebold says it plans to launch pilot testing of the millennial-inspired ATM with unnamed financial institutions later in the year. Frank Natoli, chief innovation officer, Diebold, says: Mobile devices are driving user experience expectations in all facets of commerce. It was only a matter of time before the familiar multi-touch interface style made its way to the ATM. With the burgeoning buying power of the Millennial generation, Diebold envisions this technology will further influence user experiences at the ATM.”
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