Diebold is “reimagining the ATM experience” for the “millennial generation” by developing a cashpoint machine that can work with mobile devices through the cloud, carrying out secure cardless transactions with a user's mobile device.
The company has not yet fully detailed the capabilities of its platform, but it hopes that the service will provide the convenience that it believes the “millennials” want, helping to enhance the relationship between customers and banks. The ATM features a large touchscreen, which simply looks like a tablet mounted on the front panel. The touchscreen UI is very similar to the flavors found in mobile operating systems. It presents the user with a QR code to scan, before a single-use PIN number is generated on the phone and entered by the user on the ATM to withdraw cash.
The unique QR code conveys ATM information to the phone, which then verifies the information with the cloud-based application. The phone then presents the withdrawal options to the consumer, who can choose what service they would like. The app then verifies that the action is permissible and returns a one-time-use PIN number that the user must enter on the ATM before the withdrawal is dispensed. The cloud service coordinates both the ATM and the customer's phone.
The system looks capable of significantly improving payment security. As the smartphone acts as an authentication device, the threat of skimming credit card details from ATMs or lost and stolen cards can be greatly reduced. On images of the machine, a camera looks likely to use facial recognition as another security implementation.
The system will also let users make person-to-person payments, in both physical cash and as a digital deposit. Within the white label personal banking app, Diebold said that a user would simply select an option to withdraw money from their chosen account and then to transfer it to one of his or her phone contacts. The contact would be sent a six-digit number via SMS, which would be entered into a Diebold ATM to withdraw the money. The ATM would contact the cloud service first to confirm the transfer of money from the first account. Cashless person-to-person payments could also be made direct to the required account.