The ATM maker Diebold has deployed a machine at Diebold Federal Credit Union that operates without a card reader or PIN pad.

The ATM relies solely on mobile authentication, the vendor says in a March 20 press release.

When a pre-registered customer scans a QR code at the ATM using a smartphone, the machine will authenticate the user via the cloud by sending a one-time password to the user's smartphone. (The user types the code into the ATM using a virtual keyboard on the machine's touchscreen.) This technology is designed to eliminate fraud schemes that rely on skimming card data and observing PINs as they are typed.

The ATM will also integrate the Mobile Cash Access wallet application, which allows consumers to pre-stage cash withdrawals on their smartphones. Diebold developed Mobile Cash Access with mobile wallet provider Paydiant. Users receive their ATM receipts through a mobile app rather than on paper.

Wintrust Financial Corporation and City National Bank are also testing the Mobile Cash Access software.