Can you draw money from ATM without using ATM card? Sounds innovative?. Our conventional thinking says thats not possible!. And thats where lies the potential for innovation. Business case - In US, there are 106 million people who do not have bank accounts. If there is no bank account, there is no card. But how do they transact?. Can banks ignore that customer segment?. In fact, the banks have to help them to transact.
And here is the solution - A new vendor - Privier has comeup with an innovative solution where an existing account holder can transfer funds to another person, who is in immediate need of cash and does not have a bank account. The fund transfer can happen from ATM to ATM, Web to ATM or Mobile to ATM. Note, the fund transfer doesnot happen from one account holder to another. Instead, it happens from one person to the bank. Along with the transfer, a 10 digit code is sent to the recipient. The recipient can then walk-in to an ATM, key-in the 10 digit code and withdraw the money.
Are we seeing the beginning of the end of Cards in Banking?