How ITMs Help Banks and Credit Unions Serve Rural and Remote Communities
For financial institutions and their consumers, the branch is a hub. Account holders come to the branch to handle many of their banking tasks at a location that is central for the community. The purpose of a branch is to provide high-quality service in person. However, for consumers in remote areas, physical bank branches may be few and far between, and this lack of access can create barriers to personal banking services and financial inclusion. How can community banks and credit unions tackle this problem and keep distanced account holders served, engaged, and happy?
Interactive Teller Machines (ITMs) offer an innovative solution that bridges the gap, allowing banks and credit unions to extend their reach and connect with remote consumers.
Are ITMs worth it? Yes, they are great for remote areas and many more reasons.
What is an Interactive Teller Machine (ITM)?
ITMs are advanced ATMs equipped with video capabilities and interactive features, allowing account holders to complete transactions with a virtual teller, instead of making the trip to a physical branch location. These machines allow users to speak with a live teller via video in real time. The video capability makes ITMs an ideal hybrid of self-service convenience and personalized assistance.
Community banks and credit unions can place interactive teller machines strategically to reach consumers who do not live near a branch and provide them with service of the same quality offered during in-person teller interactions.
Distance Doesn’t Matter When You Implement an ITM
For consumers in rural or remote areas, the trip to the nearest bank or credit union branch can be time-consuming and costly. Financial institutions can establish ITMs and help these account holders by:
- Enhancing Accessibility: ITMs perform transactions like cash withdrawals, check deposits, account inquiries, loan payments, and more. Consumers can even resolve account issues with the help of a remote teller, reducing the need visits to a branch.
- Reducing Travel Costs: A nearby ITM means rural account holders need not travel long distances for help from a teller, improving their overall experience.
- Promoting Financial Inclusion: By ensuring access to banking services, ITMs empower more individuals to manage their finances effectively, even if they live far away from the nearest financial institution.
Cost-Effective Expansion: Use ITMs to Cover Larger Service Areas with Less Overhead
Building and maintaining a branch in a remote area can be prohibitively expensive, which is why consumers living in remote areas have trouble receiving adequate banking services. ITMs present a more affordable alternative for banks and credit unions to expand their footprint without the overhead costs associated with full-scale branches.
- Expect Lower Operational Costs: ITMs require fewer resources than traditional branches, meaning less staffing, utility, and real estate expenses.
- Maximize ROI: ITMs deliver excellent value because they handle high transaction volumes while taking up minimal space or staffing resources.
- Flexibility: Financial institutions can place an ITM in high-traffic locations, such as convenience stores, shopping centers, or community hubs, ensuring visibility and accessibility.
Deepening Account Holder Relationships and Brand Loyalty
ITMs do more than provide convenience; they also help foster personal connections with account holders living in remote areas away from a branch. Interactive teller machines help banks and credit unions offer necessary consumer experience services.
- Live Teller Assistance: Account holders can interact with live tellers who work remotely but provide personalized service, answer questions, and address concerns just like the tellers in a branch.
- Extended Service Hours: Many institutions use ITMs to provide teller services outside traditional banking hours, opening up more flexibility for the account holders.
- Consistent Branding: Community banks and credit unions can customize ITMs to reflect their branding, maintain a cohesive look and feel, and promote seamless, pleasant consumer experiences.
Interactive Teller Machines and Remote Banking Works!
Many financial institutions are seeing the benefits of ITMs in action. Consumers appreciate access to human assistance when they need it without making the trip to the bank, and the minor overhead costs compared to the number of consumers reached make interactive teller machines impactful on the bottom line.
What’s Next for FIs Looking to Reach Remote Consumers?
As consumer expectations evolve, so must the strategies of banks and credit unions. ITMs represent a forward-thinking approach to serving remote areas with quality and efficiency. For financial institutions looking to expand their reach, improve accessibility, and enhance account holder satisfaction, ITMs are an investment worth considering.
Embrace technology and innovation. Banks and credit unions can use the innovative ITM solution to meet the needs of today’s consumers and build stronger consumer bases.
Ready serve more people and achieve more with the help of an interactive teller machine? Connect with Edge One to get started. Call us today at 800-423-EDGE (3343).
