Ending Soon! Save 33% on All Access

Chase Announces Plans to Allow ATM Withdrawals With Smartphones Initially, transactions will be conducted using a one-time pin number sent to a user's device.

By Lindsay Friedman

Opinions expressed by Entrepreneur contributors are their own.

Shutterstock

People rely on their smartphones for countless tasks these days -- and Chase wants to add cash withdrawals to the list.

According to USA Today, JPMogran Chase plans to upgrade its ATMs later this year. In addition to several updates, the change will enable customers to withdraw money using their smartphones.

Related: Big Banks Make Online Payments Easier for Business Owners

Initially, ATM withdrawals will be conducted using a one-time pin number sent to a user's phone. The option could prove useful if someone lost or wanted to avoid carrying their debit card, since the app wouldn't replace the need for one. Eventually, the plan is to allow withdrawals by simply tapping a phone to the ATM.

"[It's] just giving customers another convenient option if they do not have their debit card with them," JPMorgan Spokesman, Michael Fusco, says in the article.

The technology, Fusco says, is the same used in Apple Pay or similar apps.

But as banking becomes more digital, concerns continue to surface regarding network security and privacy. For example, according to a Macworld article, prior to Apple Pay's launch in July, techies questioned the possibility of hackers gaining access to card information and personal data. To address these concerns, the company says it invested in multiple safeguards ranging from longer passcodes and fingerprint authorization to approve purchases, as well as encrypted programing. Thus far, the efforts seem to be effective in keeping user information safe.

Chase's impending rollout will permit withdrawals up to $3,000, allow more custom withdrawal amounts, check cashing and credit card and mortgage payments.

With the upgrade, Chase is aiming to escalate the number of transactions processed by ATMs as it continues to outpace teller transactions throughout its 1,500 branches.

Related: How to Practice Safe Online Banking

Lindsay Friedman

Staff writer. Frequently covers franchise news and food trends.

Lindsay Friedman is a staff writer at Entrepreneur.com.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Devices

Keep Business Private with a Second Phone Number for $20

Hushed offers users a virtual number that can take calls and messages privately from their personal number.

Business News

A University Awarded a Student $10,000 for His AI Tool — Then Suspended Him for Using It, According to a New Lawsuit

Emory University awarded the AI study aid the $10,000 grand prize in an entrepreneurial pitch competition last year.

Travel

Save on Business Travel for Life This Memorial Day with an $80 Deal

OneAir Elite uses AI to search the web around the clock for flight deals.

Business News

Apple iPhone 7 Users May Be Owed a Slice of a $35 Million Settlement — Here's How to Claim Your Share

Previous (and current, no judgment) iPhone 7 users may be entitled to up to $349. The deadline to file a claim is June 3.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.