Bank of America entering the cardless ATM competition

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Bank of America entering the cardless ATM competition

Bank of America is looking be the next U.S. consumer bank to take the plastic card out of the ATM transaction.

The company is developing automated teller machines that customers will be able to withdraw cash from using their smartphones instead of plastic cards, according to a person familiar with the bank's plans.

"We're going to spend a lot of money on the ATM network this year," the person said.

BofA isn't focusing on cardless transactions alone in its 2016 ATM upgrade.

It includes enabling ATMs to accept payments from BofA's credit card customers and cashing checks from the machines. It also wants to allow customers to get varying denominations of cash from its ATMs.