Joy for some customers of Australia’s Commonwealth Bank recently, as rogue cash machines began dispensing munificent sums, thanks to a software problem. Given the amount of money the western world has flung at its banks over the past three years, it makes a nice change when the banks fling some back.
The cash machine escapade has already led to the conviction of one rather reckless teenager, who reportedly took out AS$1,500 and high-fived a friend while police were watching. It also reminded me of the reverse scenario being discussed at the height of the financial crisis: what would happen if a bank had to shut down its cash machines?
“I don’t think I’d want to be in a society where people couldn’t get their hands on their money,” says Paul Smee, the chief executive of the UK’s Payments Council – and thus one of the people in charge of making sure that doesn’t happen. I recently spoke to Smee and to Edwin Latter, director of the Link cash machine network, to weigh up the risks.