1. Contactless enhances customer convenience. Customer convenience, use of smart devices and preferences for contactless in other industries and environments mean consumers expect a similar experience at the ATM. For banking customers, the convenience of having access to their cash if they’ve forgotten, lost or had their debit card stolen is huge. They are also able to send cash to other people and even get paid in cash from their clients (particularly freelancers in the a growing “gig economy”).
2. Faster transactions. Contactless transactions are approximately 25 percent faster than traditional withdrawals. And, as reported by Forbes, that can take the time they spend at the ATM from an average of 40 seconds down to 10 to 15, meeting an increasing demand for fast, easy transactions.
3. Greater security. Card-skimming, a type of credit and debit card fraud that’s been on the rise, is greatly reduced when customers don’t have to insert their card into the ATM. Also, by not having to enter their PIN number in the ATM PIN theft through “shoulder surfing” is also reduced. That’s a big savings for the financial industry considering that, by 2027, global losses from credit card fraud are predicted to reach $40 billion.
4. Access to all your accounts. Even if they have accounts at multiple banks, cardless ATMs gives consumers the ability to access all of their accounts without needing to carry all of their separate cards. That also helps consumers save money by reducing ATM fees when they can choose an account with an in-network ATM nearby.