On March 20, Wells Fargo & Co made possible cardless ATMs in the US. Now, depositors can withdraw money by only using their smartphone at a branded ATM. US lenders decided to continue to grow and use the advancement of technology to get rid of the traditional way of brick-and-mortar banking. Jonathan Velline, the head of ATM and branch banking at Wells Fargo, argued that this bank uses the new smartphone technology to all of its 13,000 cash machines after they implemented the technology in select places across the country.
Wells Fargo will introduce a smartphone technology for customers to withdraw cash
JPMorgan Chase & Co and Bank of America Corp represent some of the big banks which have lately announced the implementation of some digital updates to their ATM network. Nevertheless, Wells Fargo is known to be the first US bank which will have its ATMs working on the smartphone technology, without the need of a card across its whole network.
Wells Fargo has 20 million customers on its mobile banking app. They will be requested an eight digit password to match them with their personal identification code at any ATM when retrieving the money. Velline stated that this new update offers users the possibility to withdraw money at any time, especially in situations when they do not have their cards on them. Moreover, this new technology will also help prevent data theft, being a safer method of withdrawing money.
The bank was once one of the most valuable ones in the world
Because the technology is implemented with a two-step identification system, this helps prevent and reduce the risk of fraudulent activities, since security is one of the top priorities when it comes to cardless ATMs. Canceling the use of cards will prevent the skimming methods used by criminals to read data of the cards inserted in an ATM.
Wells Fargo, which is now the third-biggest US bank, once represented the envy of Wall Street, being able to sell a wide range of products to their customers for its stock price. The stock price once made it the most valuable bank in the world. However, the revelations from last year over a sales dispute which involved the development of 2.1 million false accounts in the name of some customers without their permission had a disastrous impact on the company.
All in all, the new smartphone technology is only bound to bring benefits and improve clients’ loyalty.
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