Technology CU Adds P2P to ATM
The $1.5 billion Technology Credit Union in San Jose, Calif., has announced it will be the nation’s first financial institution to enable real-time, person-to-person payments from its ATMs to almost anyone in the world with a mobile phone or e-mail address (more than 60 countries worldwide), using a new payments service from NCR and PayPal.
In a statement, Dan Schatt, general manager of financial innovations for PayPal, said, "We're thrilled that Technology Credit Union is extending our peer-to-peer payment expertise to the ATM machine. With just a mobile phone number and a few taps on a Tech CU NCR SelfServ ATM, Tech CU customers will be able to make P2P money transfers quickly, easily and securely to anyone's PayPal account."
"ATMs, mobile phones and online banking are increasingly becoming the main channels our members use for their banking," said Tech CU President/CEO Barbara Kamm in that same statement. "We believe this innovative payment solution will spur more financial interactions through those channels. We plan to have this capability on all of our electronic platforms by early next year so that our members can choose the payment or transfer option that's most convenient for them."
In an e-mail response to questions asked by Credit Union Times, Technology Credit Union said that it anticipated the service would be available at around 50 ATMS in the San Francisco Bay Area in 2012.
In response to a question that asked if in fact the announced offering enabled members to do anything they could not already do with PayPal on a smartphone, the credit union wrote: “Yes, in some cases individuals can do this same transaction from their mobile device (smart phone), but not everyone has a smart phone. Again, we are focused on offering our members as many options as possible through which to do their banking.
“Our members are diverse – from different economic and cultural backgrounds – and some feel more secure in doing their transactions through an ATM while others prefer a mobile phone or online banking. To give all of our members the best service possible, we endeavor to provide different platforms and allow them to choose what they are most comfortable with.”
PayPal and NCR had announced their own partnership linking P2P to ATMs last month.
In early October, the 730,000-member Technology CU made news with reports that it was investigating converting to a bank charter. The credit union declined to comment on the relationship, if any, between the PayPal announcement and the possible charter conversion.