Image: Youngoldman
In some instances, merchants at non-traditional businesses require customers to transfer money directly from their digital wallet to the merchant. Think of amusem*nt parks, bars, bowling alleys, farmers’ markets, and other vendors who operate purely on a cash basis.
For these merchants, a point-of-banking (POB) technology makes the most sense. Like a POS device, a cashless ATM allows customers to swipe their bank cards and enter a PIN. Unlike a POS device, however, a cashless ATM asks customers to transfer a given amount to the merchant, who then dispenses either a redeemable receipt/voucher or QR codes in return.
Benefits of a cashless ATM are straightforward: the system offers easy setup, greater security (less cash on hand), and flexibility for businesses that don’t use a traditional account for debit/credit payments.
But the cashless ATM does come with a few downsides. For one, transactions must be done in fixed cash increments. And because transactions are out of network, customers may pay an out-of-network fee.
