ATM cards are designed to be used for emergencies. They make withdrawal of money very easy, extremely fast and provide convenience for the customers. But when the card is needed the most we often face the problem of misplacement of card, lost or stolen card or there arises some sort of extreme emergency where the ATM card is not accessible at all . Well taking all these scenarios into consideration, one of the most innovative bank of Nepal Laxmi bank has recently introduced cardless cash withdrawal from its ATMs throughout the nation.
Due to the global covid-19 pandemic many people avoided using ATM cards as there’s a high risk of transfer of viruses through the constant input and output of cards in ATM. Using the cardless ATM features banks believe that the user will be in least contact with the ATM machine and card itself helping in the prevention and spread of the virus. At international level there are certain banks providing cardless ATM withdrawal even before the covid-19 pandemic started but that number grew exponentially during the pandemic. Although laxmi bank is the first bank in Nepal to provide such a facility, other banks are keeping tabs on it and are likely to implement this feature in the near future. Users can directly withdraw cash from the nearby laxmi bank ATM through “Laxmi mobile money” app.
Although cardless withdrawal through ATMs sounds cool and have been implemented for the safety and accessibility reasons, experts believe that there are certain drawbacks of this system. Online scammers who are very far from the victim can easily use this system to withdraw cash from the Bank’s ATMs just getting the pin number. It decreases one layer of security over the card withdrawal as ATM card is must in the ATM withdrawal through card. Not only this there arises a compatibility issue with the phone, limitation in transection and availability of the cardless ATMs nearby