Mastercard is set to start trial mobile cash disbursement service in the US that converts an ATM into an emergency cash hub.
The new service, dubbed Mastercard Cash Pick-Up, provides cash for pickup even when the recipient has no bank account or debit card.
Leveraging the new service, a bank can assist an individual or a firm to send money to anyone with a valid mobile phone number.
Once cash is dispatched, an SMS is sent to a recipient’s mobile number that informs the receiver about an order number, four-digit PIN and directions to the nearest branded ATM.
Once the receiver correctly enters the code into the ATMs, the cash dispenser pays the cash instantly.
The Mastercard vision for Cash Pick-Up includes replacement of lost or stolen wallets with instant cash, provision of 24/7 emergency relief to the needy, remittance of funds to the un- or under-banked, as well as delivery of faster payments on rebates and rewards.
Mastercard in collaboration with the ATMs provider Payment Alliance International will launch the trial of its Cash Pick-Up service in the US during the fourth quarter of 2017.
Additionally, Mastercard is also working to make Cash Pick-Up available at additional retail ATMs across the country starting in 2018. At the outset, the service is certified to run on ATMs made by Hyosung and Genmega.
Moreover, Mastercard has collaborated with Pin4 to manage the deployment of new service. Pin4 operates a similar cardless disbursement system in Spain and Poland under the HalCash brand.
Pin4 CEO Richard Witkowski said: “Mobile devices are commonplace and ATMs are everywhere so it made sense to leverage these technologies to create a truly open, cash network.
“Now, with Mastercard’s Cash Pick-Up taking that concept to their vast network, we will see a new era emerge where cash is available to everyone via their mobile devices.”