ATM integration system expanded for customer benefit
ATM integration system expanded for customer benefit
Two major banks in Laos, Banque pour le Commerce Exterieur Lao Public (BCEL) and ST Bank (STB), launched an ATM pool system on Thursday allowing customers of each bank to use the other's machines.
The two banks aim at upgradin g their systems and providing more convenience to their customers, many of whom are now ATM card users.
BCEL Deputy Managing Director, Mr Nanthalath Keopaseuth, said that STB was the sixth bank that now has an ATM pool system.
Now ATM card users of BCEL, Lao Viet Bank (LVB), Agricultural Promotion Bank (APB), Lao Development Bank (LDB), Joint Development Bank (JDB) and STB can use the services of any of their respective ATMs as the systems of all six banks are integrated, a handout stated.
“The integration will also help customers to use the CUP international card,” Nanthalath said at the grand opening ceremony of the ‘Pool Switching Project' of the two banks held on Thursday in Vientiane, attended by Bank of the Lao PDR (BOL) Deputy Governor, Ms Vathana Dalaloy, and officials from other banks and the Ministry of Finance.
ATM integration certifies that STB has upgraded its core banking system and electronic card services. The move will provide clients with more convenient services, allow the banks to retain more cash and allow customers to access it when needed, attracting more card use.
STB Deputy Managing Director, Mr Bounphone Phouthavong, said the pool system will effectively create a centralised ATM network, cutting unnecessary costs and saving customers time as they will no longer have to seek out the ATM of a particular bank.
The system will also help maintain an appropriate level of cash flow in keeping with real needs. It reflects the strong ties between the banks that are together trying to make their services simpler for customers, thereby increasing satisfaction with domestic banks.
This integration marks another significant stage in the development of commercial banks in Laos. The network integration project is a service preparation readying the Lao banking sector for the Asean Economic Community (AEC) which comes into being this year.
BCEL signed a memorandum of understanding with seven domestic banks regarding the development of an ATM pool system on November 23, 2012.
The ultimate aim is to provide convenience to ATM card users and engender pride in Lao banks.
Many bank customers use ATM cards but the number of ATMs is inadequate to meet demand. The banks see that in some significant business areas and communities clients have to queue up to access ATMs.
ATM integration should be able to remove the delays and customers may be prepared to pay a small fee to get quick service. “Customers just pay a fee of 2,000 kip a time,” a BCEL official said.
The banks believe the system will not only provide more options for clients but also provide incentives to participating banks.
Currently the BOL is urging banks to speed up the progress on the ATM integration project, which was agreed to by a number of financial institutions in 2012.
Under the 2012 memorandum, major bank customers would be able to use other banks' ATMs for a variety of services.
Banks to be part of the ATM network include BCEL, LDB, APB, LVB, JDB, ST Bank Co. Ltd, Indochina Bank Ltd and Banque Franco-L ao Ltd.
The wider the system the higher customer satisfaction would be. This will also boost the banking business and increase the competitiveness of domestic banks.
