Chase Will Let Consumers Go Cardless at ATMs in Favor of Mobile Wallets

Customers can upload their cards to services like Apple Pay, Google Pay and Samsung Pay

At the ATM, cardless customers will open their mobile wallets and select an eligible card before tapping their phones on the cardless ATM symbol.
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Chase is the most recent bank to embrace a cardless society, as the company announced Wednesday that its customers can withdraw cash with their mobile wallets at nearly all of its 16,000 ATMs in the United States.

This means consumers with Chase debit or prepaid Liquid cards won’t need those cards on hand if they upload their cards to an eligible mobile wallet, including Apple Pay, Google Pay and Samsung Pay.

At the ATM, cardless customers will open their mobile wallets and select an eligible card before tapping their phones on the cardless ATM symbol. Chase noted some mobile wallets may prompt users to authenticate the transaction using an additional security feature like a fingerprint, passcode or facial recognition. Once the ATM has identified the eligible card, it will ask the customer to enter the PIN associated with the card, and they can proceed as usual.

Chase customers can still use their plastic cards at ATMs if they don’t have a mobile wallet.

“As more of our customers are using digital wallets to pay, we’re pleased to be able to provide them with the same experience at the ATM,” Sol Gindi, chief administrative officer of consumer banking at Chase, said in a statement.

In March, Wells Fargo announced similar functionality at its 13,000 ATMs with what it calls “one-time access code technology” that enables customers to use an eight-digit token and their PIN instead of a physical card. It also said ATM transactions with mobile wallets would follow later this year.

Peter Wannemacher, principal analyst at Forrester, said cardless ATMs demonstrate the ever-increasing role of mobile tools in banking.

“Mobile banking is now the battleground where brands must differentiate and innovations like cardless ATM options are just another way bank brands are looking to prove their value to customers,” he added. “I think the takeaway for banks—and for other companies frankly—is that banking will become even more enmeshed in the so-called connected world. Banks and non-banks will likely find innovative ways to integrate other services with cardless ATM tools and other mobile banking offerings.

The news from Chase caps off a big week for Apple Pay in particular. On Apple’s Q3 earnings call, CEO Tim Cook said CVS and 7-Eleven will roll out Apple Pay acceptance nationwide this fall.