Chase ATMs to offer mobile-based withdrawals; BofA throws hat in ring

JPMorgan Chase is revamping its ATM fleet, enabling customers to make cash withdrawals with their mobile phones, rather than cards.

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Chase ATMs to offer mobile-based withdrawals; BofA throws hat in ring

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In a move first reported by the New York Post, from later this year new Chase cash machines will allow users to ditch their cards and access money by entering a code sent to their mobile app. A further upgrade will eventually use NFC technology to enable withdrawals with a tap of a handset.

The nationwide revamp will also see withdrawal limits upped to $3000 at ATMs inside branches and during branch hours. Meanwhile, customers will be able to cash cheques and make credit card and mortgage payments at the machines.

By increasing the functionality of its ATMs, Chase is banking on making major savings through a reduction in the number of transactions carried out by tellers. Last year, the firm revealed that it costs it 65 cents to make a deposit with a teller, compared to eight cents at an ATM and three cents through a mobile app.

Chase is not alone among US banks in moving to cardless transactions at the ATM. Bank of America has also announced plans to introduce cardless ATMs in  Sunnyvale, California; Charlotte, North Carolina; Boston; and New York from next month, with a nationwide roll-out slated for later this year.

Wells Fargo is also understood to be well advanced in developing technology to hook up its cash machines to mobile wallets.

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