What Is A Cardless ATM?

04/10/2025 Publisher

Cardless ATMs allow the consumer to get cash with a mobile app or digital wallet on their phone rather than a physical debit card. Let’s dive into how cardless ATMs work, how to use one and whether they keep the banking information safe.

Cardless ATMs use the debit card information stored in the consumers digital wallet to allow the consumer to access their cash.
ATMs use technology such as mobile apps, near-field communication (NFC), QR codes or biometric verification to verify your identity.
Cardless ATMs are more secure than traditional ones as they are less prone to fraud and have extra layers of digital security.

How Do Cardless ATMs Work?

Each financial institution or independent ATM operator uses a slightly different method to give you access to its cardless ATMs. You would either go through the bank’s app, or a digital wallet such as Google Pay, Apple Pay or Samsung Pay. Any of these options store your debit card information on your smartphone so you do not need to have access to your physical card.

From there, you would proceed with your ATM transaction as you normally would. To ensure safety and security, these are some of the technologies your bank might employ:

Near-Field Communication (NFC): This is the same technology you use when you tap to pay with your credit card or phone. NFC allows the ATM to talk to the card stored in your mobile wallet.
Codes: Some banks have you conduct the entire transaction on your mobile app, then scan a QR code on the ATM terminal with your phone’s camera to confirm. You might also be sent a verification code.
Biometrics: This technology usually requires you to scan your fingerprint on a reader to verify your identity. Other biometric ATMs may use face or voice recognition, though these are less common.

Although a cardless ATM uses different technology to verify your credentials than a regular ATM, the process of getting your cash is essentially the same. Once the machine verifies your identity and locates your bank account information, the transaction is routed through your bank’s host processor, which requests the transaction on your behalf and debits the correct amount from your account. The ATM then dispenses the correct amount of cash along with a receipt.