Tag Archive for: atm

Getting More than Just Cash from an ATM

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Getting More than Just Cash from an ATM

Are ATMs Going to Become Obsolete?

ATM machines will never grow out of popularity. Cash is always going to be in demand, but the other services an ATM provides might not be necessary any longer. Most banks accept checks through your smart phone now so you do not have to go to an ATM to deposit money into your account. Instead of going to an ATM to withdraw money to pay a friend you can transfer money into their account online. So what are the things an ATM can do that you did not know about? You’d be surprised at what you may find.

  • You can collect gold from an ATM in certain places now. There are already gold dispensing ATMs in places such as Europe. Now gold dispensing ATMs are popping up all over the world. Whenever you decide that you want to invest into gold then you can go to an ATM and withdraw this metal. The machine will literally display an up to date exchange rate so that you can make a wise investment.
  •  Learn about financial opportunities when you visit an ATM. The screens have become highly advanced and now let people look at advertisements. ATM screens now show people ads that target that individual. For instance, if you have recently married, the bank might show you an ad about great home loan rates offered. This type of advertising has helped a lot of people learn about financial opportunities they did not know were present.
  • Did you know you could play the lottery on certain ATMs? As long as the state lottery commission approves it you can purchase a lottery ticket through the machine. A ticket is printed right there on the spot. You can also have your numbers sent to your phone so that you can verify whether or not you are a winner as soon as the numbers are released. Money is taken directly out of your account for the number of tickets you purchase.
  • Pay your taxes at an ATM. You will need to bring some important documents to the machine, but it is possible to pay taxes on certain ATMs. This can take a small amount of time so it is not recommended if there is a line behind you. Once your taxes are filed you can choose to pay any debt right there on the spot. Paperwork is printed and an e-receipt is given to you as proof of paying your taxes.
  • Withdraw money and reload your mobile device if you are on a pre-paid plan. Certain ATMs allow you to add more minutes or data straight from the machine. Every transaction you complete will take money directly out of your account. When you go withdraw cash you may want to add more minutes or additional data to your phone after you have seen your account balance.
  • Limit your spending by setting a limit on yourself. Some banks now allow people to set a budget to follow each week and month. The ATM will notify you of your remaining budget balance on your printed statement balance after every transaction you complete. You are not obligated to follow the budget you set. The purpose of setting a budget is to try and manage your money better so that you do not overspend. This is a good tool to use if you are trying to save money and want to closely monitor your spending habits.

The ATM has evolved to allow people to complete dozens of tasks beyond taking money. One machine that is far from being obsolete is the ATM. ATMs are continuing to expand the range of tasks you may complete at the machines. You can now even apply for loans or make a donation straight from an ATM. Businesses should take note and invest into machines that allow people a range of options to conduct at an ATM to improve the amount of potential customers.

Tweens, Teens, and ATMs

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Should Teens Carry an ATM Card

Should Teens Carry an ATM Card?

The thought of your tween or teen armed with an automatic teller machine card might send shivers up your spine. After all, every place that young people go, there tend to be plenty of ATMs: at sports stadiums, concert venues, at shopping malls, and on so many city streets. You might imagine your child out with his or her friends, continually stopping at ATMs all night long so he or she can spend, spend, spend – and worry about the consequences at another time.

That doesn’t mean you should try to block your kids’ access to ATMs until they’re ready to leave for college. ATMs can provide emergency cash whenever your kids are stranded, or whenever they’ve lost a purse or wallet and need to pay for transportation home. What’s more, ATMs can teach them important lessons about monetary usage and about establishing a monthly budget and then sticking to that budget no matter what.

Setting Boundaries for your Teen’s ATM Card

It’s important to sit down with your kids before you hand them an ATM card to discuss restrictions. Just as you assign them a curfew and establish other rules, set limits as to how often they’re allowed to make ATM withdrawals, so as not to drive the cost of their ATM fees too high. Once a week is probably a good number. Also, instruct your kids to only use the ATMs belonging to their bank, again to avoid unnecessary fees. And make sure you review ATM safety guidelines with them, so they can avoid thieves and skimmers.

Sometimes it’s better to test your kids’ spending habits before entrusting them with full ATM privileges. One way to do that is by giving them a prepaid card. A prepaid card is similar to a credit card, but it uses funds that you have already deposited into an account. Every time your child makes a purchase, the amount of that purchase is deducted from the account. Once your child has demonstrated to you that he or she can spend in a responsible, thoughtful manner, and isn’t prone to splurges, you can then upgrade him or her to an ATM card. Be aware that some prepaid cards come with an ATM function, but you can usually disable that function if you want. You should realize, too, that a number of prepaid cards charge high fees.

In some ways, issuing a card for an automatic teller machine makes it easier to monitor your tween or teenager’s spending habits. If your child works, and/or you give her an allowance, then she might be spending a lot of cash without your having the slightest idea of where that money’s going. But if your son or daughter uses an ATM card to get cash as needed, you can have a clearer sense of when and where that money is being spent. Make it a requirement, therefore, that your child bring home all his ATM receipts, just as he does all his report cards. From time to time, leaf through those receipts and make sure there aren’t any huge withdrawals or suspicious locations listed.

By the same token, an ATM card can make a child more careful with cash. Think about it this way: if your child were to attend a concert with a big wad of cash that she’d saved up from her afterschool job, she might be inclined to spend the entire sum on unnecessary souvenirs. But if she has to go up to an ATM and type in a number, knowing that her parents are going to see the receipt, she might well end up spending a lot less money that evening.

How To Ensure You Profit From Your ATM

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Ensure You Profit From Your ATM

So you have an ATM, but do you even know if you’re making any real profit? Some ATM operators consider the additional money spent in their location as profit but you may want to know the actual profit from the machine.

Do not become a business owner that buys an ATM and never calculates whether or not profits are being made. That’s no way to run a business. It’s a good idea to figure out how much you make a month and year so that you know the value of your investment.

When you don’t feel like you’re making as much profit as possible then you may want to consider ways to get more people to withdraw cash from your ATM. There are a few things you can do to encourage more customers to use your ATM.

How Much was the ATM?

Using the cost of the machine and how much profit you make from it monthly you can quickly see your ROI (your return on investment). Most business owners simply pay cash or use a credit card to finance the ATM (they aren’t that expensive anymore) so calculating ROI is fairly straight forward. While you can take advantage of depreciation and amortization as a piece of business equipment, you should also calculate how long it actually takes to recoup your investment.  We’ve seen busy ATM’s have an ROI of less than 1 month, while slower machines can take 6 – 12 months, which is still a fantastic ROI.

When you figure out how long it is going to take to pay off what you paid for the machine (your ROI) you’ll get a better understanding of when you will make a real profit. It should not take longer than a year to pay off what you invested to get the machine. Most business owners are able to pay off or recoup the investment in the ATM within a year.

Big factors include how much business you generate and the location of your machine. Make sure that your ATM is in a place people can easily find it. Consider putting your machine near the front of your store so people will be more likely to come in and use it if they need quick cash and don’t forget to load the ATM everyday.

How Much Does It Cost to Operate an ATM?

The factors that add to the operational cost of an ATM include communication (phone, internet or an ATM wireless device), a little electricity, and paper for the receipts.  All this added together is probably less than $0.85 per day.

Are you Keeping Track of the Money Going In and Out of Your ATM?

Most retail business ATM operators load cash daily similar to a cash register. So you should balance daily if you can. Otherwise, you can use the trial cassette close functions and online balance functions to track or count the money in the machine daily if possible. Whenever you or someone else loads the machine make your you have procedures in place to keep track of the funds. If you trust someone to load the ATM for you, be sure they keep a ledger or journal and make sure funds balance. This helps keep track of the money to ensure that you are not losing or missing any cash. Some people are tempted to think you’ll never miss a $20 bill here or there, so the last thing you want to realize is that someone you trust has been stealing a $20 here or there for a few months. Twenty dollars here and there might go unnoticed but it could add up.

You should be able to trust your employees but caution is always good to practice. Use the printer balance functions and put the receipts in envelopes and balance to the online system whenever you load or do your closeouts.

Are You Advertising that You Have an ATM?

A few signs, one for inside the store and a couple to put outside can make a big difference. Make your ATM very easy to find once people get inside. Post a big sign outside that reads “ATM Inside” so that people will know if they need cash all they have to do is walk into your store. Place another sign in close proximity to your store that notifies people there is an ATM within walking distance. A small investment into signs can go a long way and help you generate a lot of more profits on a weekly basis.

Another way to generate more ATM usage is to offer specials or coupons on the ATM receipt.  Most of the late model ATM machines make it easy to offer your customers extra value for using the ATM. If you have coupons in other publications, advertise those. You can also make deals with neighboring stores to advertise their store on your ATM if they advertise your store. You can also offer a coupon good for a special during their next visit.  There are lots of other ways to make your ATM more profitable. Want more tips on how to profit from your ATM, give us a call.

Smart ATMs

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How Smart is An ATM?

How Smart is An ATM

Thanks to digital technology, automatic teller machines, like so many gadgets we use in our daily lives, are getting smarter all the time. A few years ago, the only relationship between ATMs and smartphones was the fact that you could use a phone app to locate the nearest ATM. Now, however, smartphone apps in many instances are replacing ATM cards altogether.

Consider, for example, the ATM program that the self-service software company NCR has introduced recently. ATM users who have smartphones with cameras can approach an ATM and complete the following process:

  • Activate their NCR app
  • Enter their PIN number on their phone
  • Choose the account from which they want to withdraw money and the dollar amount of that withdrawal
  • Scan the QR code that the ATM screen displays

After doing these things, the money comes out and a receipt is sent directly to the smartphone. NCR says that this withdrawal should take a customer about ten seconds. It helps people avoid the threat of skimming, and takes away the fear that they might lose their ATM card or have it stolen.

Diebold, an Ohio-based company that also specializes in self-service systems, has likewise found a way to combine smartphones and ATMs to eliminate the need for an ATM card. Their program works in a way similar to NCR’s:

  • An ATM user scans the QR card on a smartphone.
  • An ATM screen appears on the phone, allowing that person to choose a dollar amount to withdraw.
  • A code appears, which the customer types on the screen of the ATM.

The cash is dispensed, and transactions are complete when customers receive the electronic receipt on their phones. Note that customers receive different codes every time they use this system; as soon as a transaction has gone through, that code is voided. This system not only makes ATM transactions more convenient for customers, but it benefits banks as well, in that it uses a cloud server rather than a bank’s computer. As a result, banks don’t need to use as much power on any given day. Further, banks do not have to pay for paper and printer ink to print out receipts.

The Diebold system also allows people to use their smartphones to “wire” money to others. Let’s say your son is on a spring break trip and loses his wallet and all his cash, and he has no bank account from which to withdraw money. All you have to do under such circumstances is use your ATM app to select an amount of money to withdraw. You will receive a code which you can send to your son’s smartphone. He can then go to an ATM, enter that code and withdraw the amount of cash you selected. Again, this code is a one-time-only code.

It may surprise you to learn that banks generally do not have to do much work in order to make their ATMs compatible with smartphones. In most cases, all a bank must do is update its ATM software and add a barcode scanner to each machine.

In the future, automatic teller machines might become even more interactive. The aforementioned company NCR is teaming up with a company headquartered in Utah called uGenius Technology to develop ATMs with video screens. These screens allow customers  interact with bank tellers; the tellers are on hand to guide ATM customers through complicated transactions – transactions which, in the past, usually required speaking with a real live teller at a bank. If this technology catches on, it might mean that bank branches will not need to hire as many tellers, as a smaller number of tellers will work in central locations and help customers remotely.