Money matters

The ATM revolutionized the way we think about money. The cash-filled curiosities at the local bank or credit union found their way – and a line full of card-carrying cash seekers – into malls, gas stations, stadiums and some unexpected places. Money didn’t grow on trees, but it sure could be found most anywhere.

This made for some interesting developments. People wanted 24-hour access to their cash and they wanted it in no time flat. This translated into more ATMs in more locations, and it also meant more drive-ups, not just at the bank. People were willing to pay a little bit extra for the convenience of getting cash on the spot, and they were willing to spend money they had in hand.

It didn’t take long for financial institutions, retailers and others to see the revenue-generating potential of ATMs. If you build it, they will come, right? And it appeared that many people were motivated more by proximity and convenience than they were concerned about user fees. According to Bankrate.com, it was estimated in 2005 that American consumers would pay more than US$4.3 billion in withdrawal fees for using ATMs not owned by their own bank.

“Convenience has been the driving factor in growing modern business,” says Russell Pandina, President and founder of Bancard Systems, a leading provider of comprehensive ATM solutions. “The speed of life has increased and people are willing to pay for convenience. In essence, people are buying a little extra time. Fast-food drive-thrus, lawncare companies, drycleaners that deliver... they’ve all mastered the art of delivering time-saving solutions to their customers. We saw a way to make that same convenience possible in terms of accessing cash.”

In 1989, Pandina founded Bancard Systems in his hometown of Columbia Falls, Montana. The family owned and operated business began by establishing a partnership with Triton, a global leader and pioneer in the banking industry.
Triton developed the world’s first completely portable ATM-orientation device for bank customers. Its innovation revolutionized the banking industry for more than 1800 banking institutions around the world. As an exclusive Triton distributor, Pandina was assured his clients would receive the finest quality ATM hardware available. He also worked closely with Triton on the future of ATMs and the way customers used them.

Banking on you Pandina began to hear the same thing from large and small banks and credit unions: having the ATMs was a must in meeting the demands of customers, but purchasing the machines was just the tip of the iceberg. There was signage, lighting, networking, DES and ADA compliance issues. You had to keep the ATM full and in good working condition, whether it was 20-feet from the building or 20 miles or more from the nearest bank. There was more to an ATM than meets the eye and no one company seemed to handle it all. Pandina saw an opportunity.

First, his team began designing customized kiosks to house free-standing Triton ATMs as well as a variety of other equipment on the market. The kiosks were not simply glorified awnings. They were sophisticated, climate-controlled, weather resistant, fully customizable profit centers.

“We were offering banks and credit unions the through-the-wall units, and interior towers with a variety of options, but now we could offer them kiosks in a variety of finishes and colors with customized signage and lighting,” says Pandina. “The kiosk materials were weather-resistant and long-lasting, so there wasn’t the hassle or expense of frequent repair and replacement. The lighting improved the customer experience, making things easier to see, yes, but also safer.”

As an added option, banks and credit unions could purchase equipment, with full compliance, networking and service support from Bancard Systems, or they could take advantage of the exclusive Placement Plan. Under the terms of the Bancard Systems Placement Plan, financial institutions paid nothing for equipment, installation, maintenance, or service. The sole responsibility of the bank or credit union was to provide the cash load.

Pandina offered up the plan as a solution for the small credit union that may not have the resources to add to its ATM count or the large bank that has the resources but would like to allocate them elsewhere. “We wanted to give people a choice. The bottom line is always a factor. We wanted to offer solutions that had the potential to save banks and credit unions money. We also wanted to be a partner in their growth. The relationship is always very important to us.”

Have it your way Financial institutions weren’t the only ones interested in the revenue potential of the ATM. Retailers also took notice. Why not make it possible for shoppers to access their cash with an array of available goods and services at their fingertips? Even the tiniest, rural retailer could offer customers a currency oasis, and financial institutions were prepared to play a role in making that possible.

The rub? Who was going to service the machines? It was a question Pandina had already considered. The Montana headquarters soon grew to include two regional offices and more than 20 satellite offices spread across the country. And by offering a full menu of reliable cash management services, Bancard Systems ensured customers total peace of mind. Customers had access to armored services, ATM cash forecasting and ordering, terminal balancing and reconciliation, and claims processing. Of course, service was always included, no questions asked. Bancard Systems was the total ATM solution and serving customers had never been more important.

The goal was to help retailers increase traffic and overall revenue. By owning one or more machines, financial institutions had the potential reward of surcharge income and the advantage of providing their customers yet another convenience. This turned out to be a rather inexpensive way for banks and credit unions to build customer loyalty. Bancard Systems offered flexible, affordable financing and lease-to-own plans as well as full factory warranties, delivery and installation, ATM monitoring and reporting, on-screen marketing programs and service and support. Installation was fast and worry-free and the Bancard Systems service provided access to Cirrus and Plus National Networks.

Today, Bancard Systems serves more than 100 financial institutions and over 2000 retailers around the country. Every sale, without exception, is supported by Bancard Systems associates.

“We really do believe in the sanctity of the customer relationship,” adds Pandina. “As a family owned and operated business, we know our customers and we feel a responsibility to assist them. We want to help. We want them to be happy…and profitable. The two often seem to go hand-in-hand,” Pandina says smiling.