The Basics of ATM Outsourcing
Things have started to chance in the world of ATM’s. In the past, a majority of the machines were found at banks. These days not only can they be found in bank, but more and more gas stations, shopping centers, and restaurants have set up the cash machines in their establishments. Additionally, there is also an increasing demand to establish and ATM network in other countries, particularly India, where it’s estimated more than 75,000 different ATMs will be located in the next three years. China has also started to experience an increased demand for cash machines. The result of this continually growing network is that ATM outsourcing programs like the Brown Label ATM program have become increasingly popular. Without this type of program, it wouldn’t be possible for banks to create the network of hundreds of different ATMs. Both large banks and small banks have started to take advantage of this program.
In the past most banks owned their own ATM’s, but now that a single bank could easily have several thousand different machines to keep track of, many banks have found taking advantage of ATM outsourcing to be the easiest and most economical option available to them. Banks simply can’t afford the expense of trying to maintain the cost of their own machines. ATM outsourcing programs allow the bank to continue to benefit from having the cash machines, while reducing the overall expense. The way that the lease works, the bank leases the machine from a company. The company gets a rental fee, and the bank gets a portion of the service fees. Most banks have found that they prefer to rent machines involved in ATM outsourcing that don’t charge a flat fee, but which actually splits the cost of the service fees with the machine’s owner.
The idea of outsourcing isn’t new to banks. They’ve always been big fans of outsourcing. Prior to becoming involved with the outsourcing of the ATM machines, most banks outsourced their call centers and their tech programs. The fact that banks have gotten involved with outsourcing ATMs isn’t surprising. The surprise is that it’s taken the banks so long to buy into the idea.
Many financial experts feel that one so the reasons it has taken so long for banks to relax and look into the idea of outsourced ATM’s has to do with the fact that banks didn’t like the idea of getting another party involved in something that related so closely to the banks’ cash flow.
Some banks worried about the possibility of customers getting nervous about the idea of outsourced ATMs. When it comes to their finances, customers are nervous and suspicious. A great deal of information about the customers banking records has been programmed into the ATM. By taking a little longer to looking in ATM outsourcing, the banks allowed their customers become relaxed about dealing with the machines for things like getting fast cash and checking their account balances.
AGS Transact Technologies has created ATM outsourcing programs, as well as other programs, that help business owners streamline their daily transactions, making their business run more smoothly
