A collaboration by Genmega, Payment Alliance International and Paytoo Corp. is bringing cardless ATM access to the unbanked, including services such as money transfers and PIN access for family members that allows them to withdraw cash when needed, a news release from Paytoo said.
Additionally, the ATMs will give lenders the ability to offer their customers instant access to cash, and will allow providers of loyalty programs to offer their clients fast reward points redemption for cash.
The companies went live with their first ATM in Florida on July 1. Following a 90-day pilot test, the partners are prepared to roll out a nationwide deployment of several thousands of the machines, according to the release.
Paytoo ATM customers use a one-time PIN generated from the Paytoo mobile wallet on their mobile device to withdraw a predetermined amount of cash. Alternatively, they can perform a standard withdrawal by entering their phone number and security code.
According to the release, the technology provides an extra level of security to each account and account holder, as mobile phone verification is required to make a transaction, and the cardless technology eliminates the threat of data skimming at the ATM.
“As payment technology continues to evolve and the need for convenience becomes paramount, the ATM needs to evolve as well,” said Genmega Vice President of Sales Wes Dunn. “Genmega is excited to introduce Paytoo’s innovative and industry-leading payment technology to the market on both our ATMs and our kiosks. … [W]ith our equipment and their service, the market is sure to be well served in the payment space for many years to come.”
Following the nationwide rollout, the next step for Paytoo will be the launch of a kiosk offering full payment center services, said Gary Gelman, vice president of the ATM and kiosk division at Paytoo.
The cardless ATMs might also find a market in regions where card distribution is difficult but mobile phone availability is high — for example, in emerging economies, said Paytoo Marketing Manager Javier Garcia.