Bank of America Corp (NYSE:BAC) And Wells Fargo & Co (NYSE:WFC) To Introduce Apple Inc. (NASDAQ:AAPL)’s Apple Pay In Their ATMs
Both Wells Fargo & Co (NYSE:WFC) and Bank of America Corp (NYSE:BAC) are working on incorporating Apple Inc. (NASDAQ:AAPL)’s Apple Pay into their ATMs. Jonathan Velline, Wells Fargo’s head of ATMs said that they have been developing technology to hook to digital wallets, harnessing NFC on mobile phones to replace the traditional cards used at ATMs. He added that the wallet currently supported by Alphabet Inc (NASDAQ:GOOGL)’s Android Pay.
It’s not clear how Apple Pay would work at ATMs. It would allow folks to withdraw money without requiring their credit cards or debit cards. That would be handy if someone forgot or misplaced their wallets or cards. Users would have to tap their respective phones to the ATMs NFC point which would make the pin or thumbprint authentication screen show up on the phone. Once the identity is approved, users can avail certain ATM features as if they had swiped their debit/credit cards and keyed in their pins.
Having Apple Pay could help banks save money by safeguarding against fraud. It’s much simpler to forge a credit card compared to an iPhone. Apple Pay has a fingerprint scan-facility not offered by ATMs. Apple Pay’s pins can be made complex and long which is safer as compared to the basic 4-digit pin codes utilized on debit cards.
Apple Pay can stop the misuse of card skimmers. These gadgets can be put on ATMs and grab data from cards placed on them. Choosing NFC and mobile phones means no card is involved.
As per Wired, Chase is introducing its contactless ATM plan in two phases over 2017. The first phase will tell users to authenticate on their mobile banking app which will supply them a seven digit code. Using the code they can access the ATM without a debit card. Chase says that it will introduce NFC-equipped ATMs later in 2016.
Bank of America appears to be the first bank to introduce the new ATMs. It said that it will begin introducing new ATMs in February end in San Francisco, New York and Boston followed by a wider offering to customers in mid-2016.