How Do Cardless ATMs Work? Pros and Cons Bankrate Caret RightMain Menu Mortgage Mortgages Financing a home purchase Refinancing your existing loan Finding the right lender Additional Resources Elevate your Bankrate experience Get insider access to our best financial tools and content Caret RightMain Menu Bank Banking Compare Accounts Use calculators Get advice Bank reviews Elevate your Bankrate experience Get insider access to our best financial tools and content Caret RightMain Menu Credit Card Credit cards Compare by category Compare by credit needed Compare by issuer Get advice Looking for the perfect credit card? Narrow your search with CardMatch Caret RightMain Menu Loan Loans Personal Loans Student Loans Auto Loans Loan calculators Elevate your Bankrate experience Get insider access to our best financial tools and content Caret RightMain Menu Invest Investing Best of Brokerages and robo-advisors Learn the basics Additional resources Elevate your Bankrate experience Get insider access to our best financial tools and content Caret RightMain Menu Home Equity Home equity Get the best rates Lender reviews Use calculators Knowledge base Elevate your Bankrate experience Get insider access to our best financial tools and content Caret RightMain Menu Loan Home Improvement Real estate Selling a home Buying a home Finding the right agent Additional resources Elevate your Bankrate experience Get insider access to our best financial tools and content Caret RightMain Menu Insurance Insurance Car insurance Homeowners insurance Other insurance Company reviews Elevate your Bankrate experience Get insider access to our best financial tools and content Caret RightMain Menu Retirement Retirement Retirement plans & accounts Learn the basics Retirement calculators Additional resources Elevate your Bankrate experience Get insider access to our best financial tools and content Advertiser Disclosure
Advertiser Disclosure
We are an independent, advertising-supported comparison service. Our goal is to help you make smarter financial decisions by providing you with interactive tools and financial calculators, publishing original and objective content, by enabling you to conduct research and compare information for free - so that you can make financial decisions with confidence.
Bankrate has partnerships with issuers including, but not limited to, American Express, Bank of America, Capital One, Chase, Citi and Discover. How We Make Money
The offers that appear on this site are from companies that compensate us. This compensation may impact how and where products appear on this site, including, for example, the order in which they may appear within the listing categories. But this compensation does not influence the information we publish, or the reviews that you see on this site. We do not include the universe of companies or financial offers that may be available to you. SHARE: On This Page
ImYanis/Shutterstock June 08, 2022 Brandon Renfro, CFP, is a contributing writer for Bankrate. Brandon writes about banking and personal finance advice. David Schepp is a wealth editor for Bankrate, focusing on deposits and consumer banking content. Bankrate logo The Bankrate promise
At Bankrate we strive to help you make smarter financial decisions. While we adhere to strict editorial integrity, this post may contain references to products from our partners. Here's an explanation for how we make money. Bankrate logo The Bankrate promise
Founded in 1976, Bankrate has a long track record of helping people make smart financial choices. We’ve maintained this reputation for over four decades by demystifying the financial decision-making process and giving people confidence in which actions to take next. Bankrate follows a strict , so you can trust that we’re putting your interests first. All of our content is authored by and edited by , who ensure everything we publish is objective, accurate and trustworthy. Our banking reporters and editors focus on the points consumers care about most — the best banks, latest rates, different types of accounts, money-saving tips and more — so you can feel confident as you’re managing your money. Bankrate logo Editorial integrity
Bankrate follows a strict , so you can trust that we’re putting your interests first. Our award-winning editors and reporters create honest and accurate content to help you make the right financial decisions. Here is a list of our . Key Principles
We value your trust. Our mission is to provide readers with accurate and unbiased information, and we have editorial standards in place to ensure that happens. Our editors and reporters thoroughly fact-check editorial content to ensure the information you’re reading is accurate. We maintain a firewall between our advertisers and our editorial team. Our editorial team does not receive direct compensation from our advertisers. Editorial Independence
Bankrate’s editorial team writes on behalf of YOU – the reader. Our goal is to give you the best advice to help you make smart personal finance decisions. We follow strict guidelines to ensure that our editorial content is not influenced by advertisers. Our editorial team receives no direct compensation from advertisers, and our content is thoroughly fact-checked to ensure accuracy. So, whether you’re reading an article or a review, you can trust that you’re getting credible and dependable information. Bankrate logo How we make money
You have money questions. Bankrate has answers. Our experts have been helping you master your money for over four decades. We continually strive to provide consumers with the expert advice and tools needed to succeed throughout life’s financial journey. Bankrate follows a strict , so you can trust that our content is honest and accurate. Our award-winning editors and reporters create honest and accurate content to help you make the right financial decisions. The content created by our editorial staff is objective, factual, and not influenced by our advertisers. We’re transparent about how we are able to bring quality content, competitive rates, and useful tools to you by explaining how we make money. Bankrate.com is an independent, advertising-supported publisher and comparison service. We are compensated in exchange for placement of sponsored products and, services, or by you clicking on certain links posted on our site. Therefore, this compensation may impact how, where and in what order products appear within listing categories. Other factors, such as our own proprietary website rules and whether a product is offered in your area or at your self-selected credit score range can also impact how and where products appear on this site. While we strive to provide a wide range offers, Bankrate does not include information about every financial or credit product or service. Cash transactions are on the decline in the digital age, so quick and convenient access to cash may not be something that’s often on your mind. But when you need it, it’s nice to have. Cardless ATMs allow you to transact ATM business on your smartphone’s bank app. They’re a convenient way to get money from your bank account if you forget your debit card or if you prefer to minimize the number of times you need to touch an ATM’s screen. What are cardless ATMs and how do they work
Cardless ATMs provide access to your account and allow you to withdraw cash without the need for a card. Instead, they rely on account verification via text message or a banking app on your smartphone. There are several ways that cardless ATMs can function. Types of cardless technology include quick response (QR) codes, near-field communication (NFC), verification codes and biometric verification. QR Codes
To use a cardless ATM with a QR code you first set the mobile withdrawal up on your banking app. The ATM will then display a QR code on the screen for you to scan with your phone before dispensing the money. Near-field Communication NFC
Some services like Apple Pay use NFC, or near field communication, technology. To use NFC at a cardless ATM, open the app on your mobile device, choose the linked bank account you want to withdraw from and tap your phone against the designated reader. To complete the transaction, the ATM will prompt you to type in your PIN (just as if you had inserted your card). Verification codes
Using a verification code involves opening the bank’s app on your phone and selecting the type of ATM transaction you’d like to perform. The app then provides a one-time code you’ll enter at the ATM as well as your PIN. The code usually expires after a set amount of time, such as 30 minutes. Once you enter the verification code, your transaction will take place, which can mean the ATM will dispense the amount of money you indicated you wish to withdraw. Biometric verification
You may use biometric verification to unlock your smartphone by having it recognize your face or fingerprint. Similarly, some banks can store your biometric data so their ATMs can use them to verify your identity for future transactions. This allows you to withdraw cash or perform other functions without having to provide your card. Pros of using cardless ATMs
1 Simplicity
“Our phone is slowly becoming our wallet,” says Drew Cheneler, founder of SimpleMoneyLyfe. Some consumers don’t memorize their account information and rely on facial- or fingerprint recognition to access their accounts, he says. Some cardless ATM software allows you to do the same. 2 Access to all your accounts
You might not carry all your ATM cards with you, especially if you use more than one bank. Cardless ATMs allow you to still have access to all of your accounts, which can be helpful if you are near an in-network ATM, yet don’t have the corresponding card with you, saving you from having to pay nonnetwork . 3 No need to carry a wallet
It isn’t always convenient to carry a wallet, purse or something else containing your cards. Cardless ATMs allow you to perform transactions if you have your smartphone. Another benefit of not carrying your wallet is it can reduce your chances of getting pickpocketed or robbed. 4 Security
Though they aren’t risk-free, a few features of cardless ATM withdrawals make them more secure. For starters, scammers can’t use skimmers to steal your card data because you don’t insert your card into the ATM terminal. Codes generated for cardless withdrawals are one-time use only, so it does a hacker little good to steal one. Cardless withdrawals also often require two-step authentication, so hackers wouldn’t only need to know your PIN, but they would also need to have access to your phone. 5 A more sanitary option
Cardless ATM withdrawals won’t eliminate the need to touch the ATM, yet they do cut down on contact. And the fewer touches the better, considering how many users might touch an ATM and spread germs between cleanings. Cons of using cardless ATMs
1 Availability
Cardless ATMs aren’t available everywhere. Even if your bank provides the service and your phone is compatible with the technology, you might not find an ATM near you that’s capable of handling cardless withdrawals. 2 Compatibility
Cardless ATMs rely on smartphones to operate. If your bank utilizes an app, your phone must be compatible with that app, or you can’t use it. 3 Phone Security
Though cardless ATM transactions are generally more secure, they pose a different set of risks. “Since bank cards are being replaced by phones, criminals will now be more enticed to target and hack your phone to mine your data, information and even change your phone and bank app settings,” says Ricardo Pina, founder of The Modest Wallet. You can minimize risk by keeping your phone secure if you have banking apps installed. Popular accounts with cardless ATM access
Chase, Wells Fargo and Bank of America are all compatible with Google Pay, Apple Pay and Samsung Pay. Since cardless ATM apps from these banks work on each of these three services, they are compatible with both Android and Apple phones. : Chase provides cardless ATM service with consumer debit cards (excluding CPC Privileges card) and business debit cards (excluding Business Associate cards). : Wells Fargo Debit and EasyPay cards can be linked to a digital wallet and used with cardless ATMs. : Contactless transactions can be made using a Bank of America debit card at all the bank’s ATMs. Bottom line
Cardless ATMs are a convenient, secure and more sanitary way to withdraw cash without a card. They’re also handy for emergencies — even if you don’t use them regularly. –Staff writer contributed to this article. SHARE: Brandon Renfro, CFP, is a contributing writer for Bankrate. Brandon writes about banking and personal finance advice. David Schepp is a wealth editor for Bankrate, focusing on deposits and consumer banking content. Related Articles