You are probably aware of ATM Skimming and PIN compromise. After all, they have been the most common ATM frauds in recent times.

So, to tackle it, there has been a slew of measures such as geo-blocking and anti-skimming devices. However, in spite of these, fraudsters find one way or the other to get your card details.

But what if there was a way to make it impossible for fraudsters to get card details? What if we removed the card altogether from the equation? This is possible by using cardless transactions and trusted devices that account holders carry with them all the time – their smartphones.

This even makes sense as it can act ​​as a second factor of authentication since most people always have their phones with them.

A. How do cardless ATM transactions work?

According to Chicago-based Wintrust Financial, a cardless transaction takes only 8 seconds compared to a card transaction that takes an average of 47 seconds. This is how the process works:

  • When you are at the ATM, open your bank’s app on your smartphone (most require you to enter a four-digit code)
  • Open the QR Code scanner feature in the app
  • Choose the Cashless Withdrawal option on the ATM screen
  • Scan the QR Code that the ATM will display on its screen for verification (the QR Code changes for every transaction just like how the WhatsApp Web QR Code works)
  • Once done, your identity would be verified 
  • You can now go ahead and withdraw the money

That’s it. That’s how simple it is. So instead of using a magnetic-tape card and a PIN, you simply use your smartphone app to authenticate yourself.

A. QR API and its benefits

As mentioned above, QR Codes can help you prevent ATM skimming altogether. And to generate them, you need an automated QR Code generator.

This is where QR Code API can help you out. It allows you to auto-generate QR Codes programmatically.

But before proceeding ahead, you should be familiar with its benefits. Yeah, that’s right. QR Code API offers various benefits while helping you auto-generate QR Codes programmatically in real-time. Here are some of them:

1. Provides a seamless automated process

Want to auto-generate QR Codes without even sweating a single drop? Here, QR Code API helps you auto-generate as many QR Codes as required. You simply need to integrate the API with your information system and that’s it. No manual intervention is required anymore.

2. Offers a personalized look

Since you are using QR Codes for your business, you may want them to look brandy too. You know the significance of branding after all.

This will serve two purposes. First, it will build brand recognition among your users. Second, it will fetch you more scans. How? Customized QR Codes act as a point of engagement to attract 50%-200% more scans than the black-and-white ones.

With QR API, you can customize the QR Codes as per your wish. How? By adding a logo and colors or even a background image to the QR Codes. 

In addition to this, you can even change the pattern of the QR Code’s eyes and data modules.

3. Offers an economical choice

Since you will need QR Codes in large quantities and on a need basis, you’d want an economically viable service.

Here, QR Code API can help you reduce costs. Once integrated, it will allow you to auto-generate as many QR Codes as required at low costs.

4. Delivers a quick and simple process

QR Codes make the user journey simpler. That’s because end-users only have to open their phone’s camera or a QR Code scanning app and hold it in front of the QR Code to see the encoded content.

This is a very simple and quick process. No hassle of waiting for long periods of time to get the job done.

C. How to set it up?

To set up cardless transactions via QR Codes, you will need the following:

1. A QR Code API service provider 

For ensuring secure transactions, you will need to update your ATM software. And to do that, you need a tool that allows you to automatically generate a QR Code for every transaction. That means QR Codes get changed for every transaction whenever the account holder chooses the option of cardless transactions. 

And QR Code API can help you out. It will allow you to generate QR Codes programmatically in real-life. And this QR Code can only be decoded using the scanner feature of the bank’s app.

Generate QR Codes

Using QR Code API for demo purposes, here’s how you can proceed:

1. Go to QR API and sign-up for the free trial

Note that for signing up, you do not need to enter your card details. Once done, you will get the first 50 API requests for free. 

2. On the page that loads, you’ll see your cycle usage with various details. These include total allowed API requests, requests used, and days remaining

Here, you’ll see a section called Get API Key. Under this section, click on Create

QR Code API Basic details

Note that if you sign-up via Google, you’ll receive a 6-digit code on your email after clicking Create. You just need to copy it and paste it into the dialog box to see your API Key.

3. Once you can see your API key, copy it followed by clicking on Documentation on the dashboard

4. Now you need to scroll down a bit to see the Authorize button on the right

QR Code categories

5. After seeing it, click on this Authorize button. Now, a window will open where you need to paste the API key. Once you’ve pasted it, click Authorize 


6. Here, you need to select the relevant QR Code category

For example, you can a Website URL QR Code and encode an authentication link into it. 

7. Once selected, click on the Test button and add the content you want to encode in the QR Code


8. Next, you will see customization options. 

In addition to this, you can also specify the level of error correction and other design parameters 

9. Once the QR Code content and other parameters are finalized, click on Execute



10. Now, you’ll see a bunch of responses such as Curl, Response URL, and Response Body

11. Here, you can scroll down a little to see QR Code’s image having encoded content


12. Now copy the Response URL and integrate it into your information system or mobile application

That’s it. QR Codes will be auto-generated as the number of response URLs are sent to the API system. It is always advisable to test scan the QR Code before integrating it with your system.

2. QR Code scanning feature in App

Once you have integrated the QR Codes, you will have to update your mobile banking app to include the scanning feature. This scanner will detect and decode your QR Codes to authenticate the transaction.

The best part about this implementation is that no additional hardware is required. Only software patches. This is one of the most cost-effective ways to eliminate the threat of ATM skimming and decrease transaction time.

That is all you need to know about how QR Codes can prevent ATM skimming. You can now go ahead and auto-generate your own secure QR Codes integrated with your system.

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