NCR has introduced a card-less and PIN-less ATM withdrawal system that sees customers initiate transactions through their mobile phones and then scan 2D barcodes on the machines’ screens.
Customers authenticate through their existing mobile banking application and ‘pre-stage’ the transaction via an embedded NCR cash withdrawal function. Once at their bank’s ATM, they scan the 2D barcode on the home screen and the money is dispensed.
NCR says that by removing cards and PINs from the process, its new system offers a more secure approach to traditional ATM transactions. No consumer data is stored on the device or contained within the on-screen 2D barcode while the threat of card skimming is killed off.
NCR’s announcement is the latest in a series of statements around the prestaging of transactions and multi-channel interoperability. The concept of prestaging, particularly in the case of melding mobile banking and ATM capabilities, is gaining attention in the industry.
Likewise, the use of 2D barcodes, or QR codes, may fill a void prior to, or in conjunction with, the eventual availability of Near Field Communication in the U.S.
In addition to the security benefits of removing cards and PINs from the process, the use of 2D barcodes offer the advantages of only needing software updates, as opposed to hardware changes that will be needed with NFC. Both of these capabilities place greater control, more choices, and increased engagement in the hands of customers.
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