Would you believe the ATM was invented because a Scottish man, who was taking a bath, began to wonder why, if vending machines could spew candies and chocolates, then why couldn’t it be modified to spew money, too? The year was 1967.
John Shepherd Barron
John Shepherd Barron approached Barclays, where the idea was very well received and before long, the first ATM was installed in England at Barclays’ home bank. Here’s where it gets interesting, though. Did you know it initially didn’t accept plastic cards, but instead, it required paper that used radioactive ink.
The ink was to ensure the machine could read the information. What we now know as PIN was once called a code. There were tighter restrictions on how much money could be withdrawn than we are now accustomed to. The idea as a whole, after all, was still in its infancy.
Here in the U.S., a Dallas engineer, Donald Wetzel, further advanced the concept by modifying it to use the traditional credit card templates. Soon, banks were lining up for their own ATM machines. To draw consumers, those banks incorporated interesting advertising schemes. One way included using Hollywood legend Paul Newman.
To get the attention of female customers, a bank in Columbus, Ohio, sponsored a six-hour movie marathon starring the handsome actor on a local television channel. Every 25 minutes during the movies, commercials for the bank touted the advantages of its new cash-dispensing machine.
Citi and Winter
It wasn’t until a very cold and brutal winter that ATMs were finally appreciated for the benefits they offered. During the winter months in 1977, the chairman of Citibank took a huge risk and invested more than than $100 million to install ATMs all over New York City. It was a smart move. A massive blizzard dropped 17 inches of snow all over the region, forcing banks to close for several days. ATM usage jumped by 20% during this timeframe.
Modern ATM
You might be surprised to learn there are more than 2 million ATMs located around the world. While many wonder what the long term fate will be, considering folks are swiping their debit and credit cards to pay for purchases versus withdrawing cash, there’s no denying the massive role they played for the past several decades.
Many consumers use prepaid debit cards as their payment choice. These debit cards allow consumers to do everything a traditional credit card can do, including withdrawing cash at millions of ATMs. If you’re thinking a debit card might be a beneficial tool for your finances, here are a few great recommendations.
AccountNow
This guaranteed approval debit card is a popular choice, and it’s largely due to the lack of activation fees. It’s one of the first cards to offer cash back options, too. Customers can direct deposit their payroll or other paychecks and it doesn’t cost anything extra. Of course, you can withdraw cash from ATMs.
There’s no annual fee, either, but you should know there are monthly maintenance fees. Another popular feature this prepaid debit card offers is online billing and statement management options of having statements emailed or sent via traditional postal mail. If you opt for electronic delivery, you’ll save $5 each month.
Green Dot
This prepaid MasterCard offers today’s consumers many benefits. No interest rates, annual fees or other common charges that can bring your balance down are a few of the attractive features. You can also manage your Green Dot card easily online and at your convenience. Withdrawing cash via ATM is easy, too. Have your employer deposit your payroll quickly and safely onto your MasterCard. You can even use CoinStar kiosks to cash in your change and have it moved to your debit card.
Keep in mind, though, there are fees associated with this offer, including a $9.95 application fee that’s deducted from the card account after it’s activated. Any time you load funds onto the card, you’re looking at a 4.95 fee as well as a $4.95 maintenance fee.
ATM balance inquiries will cost you $1.50 and if your transaction is declined, you’re hit with a .50 fee each time. Cash advances cost $4 and if your card is lost or stolen, your cost is $10 to replace it. Card members receive weekly balance updates via email while the convenient online account management provides for easy account monitoring.
When it comes right down to it, no matter what kind of technological advances we see evolve, there’s no denying the role the classic ATM has made in the entire global financial sector. There’ll come a time when today’s children grow up and stumble across these machines and then,
Wow, that thing is huge!
With everything going smaller, from computers to smartphones, it’s just a matter of time.
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