ATM Upgrades on the Horizon: Protecting Your Credit Union’s Budget

Change is constant and reflected across all disciplines. Your ATMs are no exception to this truth. This can be remembered through the EMV migration; ATMs, point-of-sale networks and processors all certifying with one another to ensure utmost compatibility. For the member, this simply translated to a new debit card. Though behind the scenes, it meant investing thousands of dollars to remain compliant with the latest regulations.

Today’s criminals are unceasingly discovering loopholes in older systems, allowing them to capitalize on ATM weaknesses. Hackers maintain focus on outdated equipment with an expectation that the frayed software is vulnerable and easily manipulable. However, to combat this issue, ATMs will soon have two new requirements that will serve as guards against these threats. The changes will enhance security for both the FI and consumers while concurrently limiting and preventing attacks.

The first of these advancements entails a new PIN pad. Effective January 2025, all machines must be upgraded with a new PIN pad to replace older, less effective models. By installing this new device, it yields improved encryption and protection of sensitive member data. Most ATMs do not currently have this latest model, which means replacement hardware is also required to move forward with this initiative. The cost for this upgrade will vary depending on make, model and your current vendor. This includes expenses for specific hardware, software, and service visits to successfully achieve this effort. 

It is also important to recognize that not all credit unions have a budget for this component of the ATM. Furthermore, capturing all ATM costs is difficult. Many vendors have their hands in your ATM operations, and the the vendor contracts may fall under different departments’ purview. Consequently, this leads to notable difficulty in calculating the total cost of your program. 

The second development is the upgrade to the ATM operating systems from Windows 10 to Windows 11 coming in early 2026. It is essential to acknowledge that this component is a larger expense for your credit union. An estimated average of $7k-$15k per ATM machine is predicted for this latest Windows installment. Combined, the PIN pad and Windows upgrades will have significant impact to your ATM & ITM budget. 

Of course, if your fleet is outsourced to Dolphin Debit, you avoid accruing any further costs for these required upgrades and compliance enhancements.  Dolphin doesn’t charge for such items, making it notably easier to budget and plan for your ATM program expenses.  In addition, Dolphin consolidates all the vendors, responsibilities, and places that burden on itself. This relieves your staff of vendor oversight, persistent armor/CIT issues, updates and security patches, etc. 

Before you commit to another ATM life cycle with continuing upgrades, software changes and increasing costs, speak with your association representative about Dolphin. Many of our clients have already reaped the benefits of outsourcing and have avoided these costly upgrades and all the vendor management nuisance that comes with the ATM responsibility.  You can too. With Dolphin it’s always ATMs & ITMs made simple.