Envelope-free automated teller machines have increased deposits more than JPMorgan Chase & Co. executives expected.

"We received a significant lift," Brad Nolan, JPMorgan Chase senior vice president of ATM and cash operations, said during the ATM Industry Association conference in Miami last week. JPMorgan Chase ATM deposits grew 75% in the first 12 months, following deployment of each intelligent-deposit ATM, he noted, though he would not disclose transaction numbers.

With envelope-free ATMs, customers deposit cash and checks directly into the ATM without putting them into an envelope.

These ATMs appeal to customers who previously used deposit envelopes and those who have preferred not to use ATMs in the past for deposits, Nolan said. The machines print images of deposited checks on receipts.

During a presentation, Nolan said deposits at a teller cost $1.07, compared with 27 cents at a full-service ATM.

JPMorgan Chase is the nation's second-largest bank operator of ATMs. It had 15,406 machines at the end of 2009.

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