Technological improvements continue to make waves through the ATM industry. Although many machines may offer a check or cash deposit option, they've primarily been two separate operations. But, a Cincinnati bank has begun testing a mixed-media deposit option at its ATM machines.

The Fifth Third Bank, a "super-regional" bank in Cincinnati, Ohio is cooperating with ATM machine manufacturer, NCR Corporation and technology company, Phoenix Interactive, to offer these "mixed-media" options for its customers.

Mixed-media deposits are a new development among the ATM industry. The process allows customers to deposit up to 50 combined checks and bills in one, envelope-free deposit. This also enables customers to make these transactions twice as fast as typical ATM machine deposits which may require them to separate cash and checks, or even insert checks one-at-a-time.

This process is made possible through NCR's Scalable Deposit Module (SDM) as well as Phoenix's VISTAatm Intelligent Deposit software. These two programs allow the machine to recognize different amounts across the medium and even display them on the screen. Customers then have the option to view the checks as thumbnails, zoom in or even pan over a check to ensure the most accurate deposit.

"Across the banking industry, consumers are embracing envelope-free deposit, with ATM deposits at many financial institutions up 100 percent," said Michael O'Laughlin, senior vice president at NCR. "That's why NCR made our SDM technology – to take a great customer experience and make it even faster and easier."

The technology is being pilot tested at Fifth Third's headquarters in downtown Cincinnati.

As consumers begin to demand more access to their accounts, retailers or merchants may want to purchase an ATM machine to not only create an independent revenue stream but also provide a convenience for customers. 

As previously reported by this blog, prepaid cards are rising in consumer demand as an efficient way for unbanked or underbanked customers to manage their finances and access ATM machines when making withdrawals.

But, according to the Dow Jones Newswires, the American Express Company is forcing its attention in this sector away from rural or underdeveloped areas and toward those of thriving college campuses.

As prepaid cards offer a great way for those without access to a bank account to store and manage their funds, they also offer youths a low-risk chance to learn money management and budgeting, making them a popular commodity on university campuses.

"You can't get in trouble with a prepaid card," said Laura Kelly, the senior vice president and general manager of the Americas for global payment options at American Express, to Dow Jones. "Of all the cards out there, it's the one that's the friendliest to someone who's not used to managing their money."

The major credit card company often caters towards more affluent clientele than the typical college student, but it rolled out its first prepaid card program last summer. The company is also distributing the cards through major retailers such as Target, Office Depot, Walmart and Western Union with some banks along the way.

Although the prepaid card sector is still a burgeoning piece of the financial industry, its relevance to retailers and merchants is becoming increasingly important – especially those that may be located near or on a college campus. If these business owners wish to provide a convenience for their customers, while also adding an independent revenue stream, they may want to consider purchasing an ATM machine. 

Diebold, a major ATM machine manufacturer, and Co-op Financial Services, a provider of access and convenience products for credit unions, are partnering to initiate testing of a two-way video member service in Diebold ATM machines, according to an ATM Marketplace report.

The system is designed to connect a customer to a customer service representative for "real time, 'face-to-face'" video conferencing between the two speakers.

This will be done by dispatching customers to a credit union call center or Co-op Member Center where the customer, via a two-way video conference, can ask questions and receive real time help from representatives. Customers can ask and receive assistance with transferring funds or even opening an account.

Co-op Financial plans to provide the terminal driving capabilities and network access while Diebold will develop the hardware and ATM machine video services to facilitate this innovation in banking, according to ATM Marketplace. This development is planned to cut costs while also offering optimized levels of customer service.

"As ATMs continue to provide more capabilities to the user, two-way video support is the next step in ensuring the member can conduct their business quickly and easily," said Stan Hollen, the president and CEO of Co-op Financial Services. "This initiative is an extension of the partnership formed between Co-op Financial Services and Diebold to deliver enhanced self-service capabilities for the member and complete ATM management services for the chared branching and call center services."

This sign of progress toward consumer based convenience while still maintaining cost efficiency with new technologies is one of the many ways the ATM industry is evolving. Merchants and retailers may benefit from joining this industry by purchasing an ATM machine from an ATM reseller.