Commonwealth Bank customers will be able to withdraw cash from an ATM using the CommBank app on their smart phone rather than a transaction card.The new service, which will available this month, will also allow a customer to select a third party to pick up the cash.Use of Cardless Cash is limited to one transaction per day, worth up to A$200.When customers want to make a cardless withdrawal they enter the transaction details in their smart phone and then two unique numbers are generated: an eight-digit cash code that appears on the customer's screen; and a four-digit cash PIN that is sent via SMS from the bank.Commonwealth Bank ATMs will have a Cardless Cash withdrawal option. Customers must enter the cash code and the cash PIN to complete the withdrawal.If someone else is collecting the cash, the customer must enter their name and mobile phone number. The customer must send the cash code and the bank will send the cash PIN to the nominated recipient.In response, Westpac announced yesterday that it would offer a similar facility from July. Customers will be able contact the Westpac call centre to obtain a cash code, which can be used to make three cardless withdrawals up to the value of $1000 a day.CBA has also introduced a "lock and limit" facility that allows credit card customers to apply control setting to their card usage.Customers have the option of blocking card-not-present transactions outside Australia, blocking in-store payments outside Australia, blocking ATM cash advances and setting a dollar limit per transaction.Customers can set timers to control when the settings are switched on and off. Settings are controlled from the CommBank app.Commonwealth Bank's executive general manager of cards, payments, analytics and retail strategy, Angus Sullivan, said both service would enhance customer security. Cardless ATM transactions would reduce the risk of skimming fraud and "lock and limit" would reduce the incidence of fraudulent card-not-present transactions.Commonwealth Bank's executive general manager digital channels, Lisa Frazier, said mobile banking was becoming the norm.Since the bank launched its upgraded CommBank app last October, 2.3 million users have registered. Fifty-seven per cent of the bank's digital log-ins are now via mobile and the bank is handling 1.1 billion mobile transactions a week.