Chase ATMs Replace Cards with Smartphones

chase bank atmIf you head to the cash machine only to realise youve left the house without your wallet, youll soon be spared a journey home thanks to a new model of ATM being rolled out by JPMorgan Chase which will use smartphones instead.

According to the New York Post, rather than inserting their card and typing in a PIN, users with the Chase app on their smartphone will instead be able to input a code generated by the app to gain access to their account, and all the usual features offered by the ATM.

Michael Fusco, a spokesperson for Chase, also revealed these new cash machines will enable users to withdraw more money, up to $3,000 (£2,100) during branch hours, and in different denominations, while subsequent eATM models will use NFC technology to enable users to access their account.

The ATMs, which will also accept regular bank cards, will be rolled out across the US over the next year, following a testing period last year which saw the machines installed in the banks 156 branches in New York.

As well as enabling the bank to stay competitive with disruptive mobile services like PayPal and Square, the eATMs will save the bank money. According to a presentation made last February, it costs the bank $0.65 for every deposit made with a human teller, but only $0.08 through an ATM, and $0.03 through the banks mobile app.

“We analysed withdrawals occurring at our tellers lines and found that 90 to 95 per cent of withdrawals are under $3,000, so setting the limit there would allow the devices to serve the vast majority of our customers,” said Fusco.