UOB set to unveil contactless ATM machines

All its ATMs will be contactless by December 2018.

UOB highlighted its consistent focus to build trust and relationships with customers in a digital banking world.

At the recently held UOB Engage 2016, the bank announced its plan to develop its own tokenization technology for contactless ATMs and instant issuance of digital cards.

Ng Li Hiang, analyst at MayBank said this can help UOB gain first-mover advantage in the mobile contactless payments space and it will have 6-12 months lead time over peers.

Through this infrastructure, it will be the first bank globally to issue digital cards instantly by next month. Also, it will be the first bank in Southeast Asia to have contactless ATM machines
equipped with Near-Field Communication (NFC) capabilities such that customers can use their smartphones to withdraw cash.

Li Hiang, who attended the event said that they were given a demonstration of these capabilities and were impressed with the convenience it brings to customers.

Contactless ATMs will be first rolled out in Singapore and subsequently phased into other countries in the region that UOB has a presence in.

UOB expects all its ATMs to be contactless by Dec 2018.

"We think this can give UOB an early advantage in retaining or bringing new customers to use its service and products," said Li Hiang.

According to Li Hiang, the total cost of each contactless ATM machine and the device to read the mobile is less than SGD25,000.