As a business owner, you should make sure that your business supports cashless transactions to avoid losing potential customers. Although it is hard to see and feel the effects today, in the next 5 years, paying with cash will be as cumbersome as writing a check is today.
A cashless ATM, also known as a Point of Banking machine, allows customers to buy products with their debit or credit card. The process to withdraw from a cashless ATM is the same process as a traditional ATM transaction. However, a cashless ATM gives the customer a receipt that acts as a voucher and the funds then get transferred directly from the customer’s bank account to the merchant’s bank account.
Yes, cashless ATMs are secure and widely accepted, just like traditional ATMs. Initially cashless ATMs, were only used for high risk businesses. Some of those businesses include, medical marijuana clinics, dispensaries, CBD companies, and credit repair companies to name a few. Today, cashless ATMs are commonly seen in all types of businesses. Including hair salons, donut shops, bars, restaurants, coffee shops, gas stations, lunch trucks, barber shops, nail salons, ice creams shops and more.
Again a cashless ATM works just like a traditional ATM. Here are four simple steps of using a cashless ATM:
The merchant rings up the sale of goods or services.
The customer swipes their card, follows a series of on-screen prompts and then enters the 4-digit pin number associated with the card to complete their ATM withdrawal. All transactions are encrypted through the EFT Network, which makes the exchange process just as safe and secure as if the consumer had walked into a bank.
A voucher/receipt is printed to confirm payment was successfully completed.
The merchant keeps the payment voucher for accounting purposes and will complete the transaction as if it was a cash purchase providing change if necessary.
A cashless ATM provides a safer and more secure business model since there is no need to retain a large amount of cash on hand at the business. This helps you to reduce the risk of robbery and also eliminates the theft of ATM machines as well as the hassle of filling the ATM with cash. In addition, cashless ATMs are also less susceptible to fraud.
Cashless ATMs are three times faster than traditional cash transactions. According to Visa, cash payments take between 6 to 7 seconds to process, while cashless payments take one or two seconds. With a cashless ATM you can process transactions much faster and serve more customers.
A cashless ATM helps you avoid the high fees and rates that may accrue with traditional credit card merchant accounts. Better yet, the transaction fees are paid by the customer.
The actual set up and use of a cashless ATM is much easier than installing a traditional ATM. You also save yourself from the hassle of having to run to the bank to get cash to fill up your ATM machine.
Going cashless eliminates the need for shoppers having to find an ATM and withdraw cash. Which makes it easier for them to spend more money with your business, without having to worry about running to an ATM.
When you signup for a cashless ATM you can minimize fraud and chargebacks. Most fraud is committed when a customer does not use a 4-digit code. However with the cashless ATM, customers must enter a 4-digit pin code to complete their purchase.
Once the customer has authorized the transaction by entering their card’s 4-digit pin code, the money is transferred to the owner’s bank account, negating any batch timelines. In addition, our cashless ATMs record all transactions and offers real-time reporting.
Now that you know everything there is to know about cashless ATMs, if you are thinking about getting one contact the merchant processing experts at My Payments Solutions USA. With over 20 years of experience, we can help you with all you payment processing needs. Don’t hesitate to give us a call today at 1-800-734-3424.
