Check scanning at ATMs
August, 17, 2009
My branch recently installed a check-scanning-envelope-free ATMs. This past week, I had my first experience with this amazing machine and I loved it. To my surprise, this technology has been around since 1998. NCR Corp is one of the leading shippers of envelope-free ATMs to financial institutions. Wells Fargo is first to implement the early models in 2002. The early models had problems with image-processing but from then there has been definite improvements such as handling multiple checks per transaction. For Bank of America, it has been around since 2006. For Chase, the traditional ATMs are gradually converting and the new models will be installed by 2010. A trade publication, Financial Services Technology, estimates costs of $10,000 to $15,000 to convert each ATM. Chase's initiative will likely cost them ~$75 million.
I love this new technology because of the convenience. I no longer need to stock envelopes at home, prepare envelopes, or wait in line to speak to a teller. However, my only concern is what happens when the scanner scans the incorrect amount? I haven't had a problem yet, but I hope that there are ways to correct them quickly at the time of the transaction.
It's convenience that sold me but for the banks it's the cost. Deposits made at envelope-free ATMs save banks $1.50 to $2 per transaction. This brings down the cost of the transaction - reduces reliance on tellers and deter fraud from "empty envelope" deposit scams.
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