ELECTRONIC BANKING

ELECTRONIC BANKING. What was considered standard practice in 2024, electronic banking first came Dubuque in 1979. The concept was explained to readers of the Telegraph Herald in June of that year. Debit cards, mentioned in the article, were described as small plastic cards that permitted bank customers to deposit or withdraw money at electronic banking machines. Iowa was a leader in the concept. In 1975 the Iowa Bankers Association helped establish one of the first electronic funds networks. Originally known as the Iowa Transfer Systems, the system later was called SHAZAM. This was a state-authorized, central routing unit for both ATM and point-of-sale debit transactions. Cashless payments, banking apps, and other innovations came later.

DUBUQUE BANK AND TRUST COMPANY led the financial institutions in Dubuque with its "Instant Access" card opened in 1977. FIRST NATIONAL BANK OF DUBUQUE accepted applications for its "Banc-Tronic" debit cards in 1979. These allowed customers to deposit or withdraw funds in their checking or savings accounts, transfer money from one account to another, or make inquires about bank balances at electronic banking machines across Iowa. AMERICAN TRUST AND SAVINGS BANK introduced its "7-24" cards that could only be used at the bank, but by 1979 had issued cards similar to those at First National. KEY CITY BANK AND TRUST COMPANY, the city's smallest commercial bank, announced its own "Instant Access Card" in the fall of 1978. Plans to open electronic banking machines throughout the community were expected to occur quickly. In June, 1979 there were two electronic banking machines in Dubuque retail stores--YOUNKERS and Theisen's. The latter was installed by American Trust before it even had a card that could use it.

---

Source:

Hogstrom, Erik, "ATM Installed at Theisen's as Electronic Banking Emerges in Dubuque 45 Years Ago," Telegraph Herald, June 7, 2004, p. 5A