ATM (Automated Teller Machine)

ATM full form

ATM full form is an electromechanical machine that is used for making financial transaction from a bank account. These machines are used to withdraw money from personal bank account.

Automated Teller Machine,it allows card holder to draw money from his personal bank account without going to bank. This makes banking process very easy because these Automated teller machine are automatic and their is no need of human power to control the machine and transaction.

The first ATM was introduced by chemical bank at New York in 1969.

Benefits of ATM
Cheque deposit, balance enquiry, new pin generate, mini statement etc.
ATM full form

What are the of Input devices of ATM?

  • Card Reader:
This input device read the data of the card which is stored in the magnetic strip on the back side of the ATM card. When the card is swiped or inserted into the given space the card reader capture the account details, the command received from the user server.


  • Keypad:
It help the user to provide the details asked by the machine like personal identification number, amount of cash , receipt required or not etc, the PIN  number is sent in the encrypted from the to the server.


What are the Output device of ATM?


  • Speaker:
It is provided in the ATM to produce the audio feedback when the key is pressed.

  • Display screen:
It displays the information regarding the transaction on screen. It show the account details and it show the steps to cash withdrawal

  • Receipt printer:
It provides the receipt with details of transaction printed on it.

  • Cash Dispenser:
After complete details given to the machine at the end the cash will comes out.

HOW ATM WORK

To start the functioning of ATM, you have to insert plastic ATM card inside the machine. These ATM card contain your account details and other security information in the form of magnetic strip when you swiped your card the detail of the account holder will be display on the screen of the ATM, the necessary information have to give to the machine to continue , enter the cash required then PIN number , after few seconds later the cash will comes out and if you required receipt then enter the command to provide the receipt. 
ATM full form

Types of ATMs

They are classified on two basis

1. Location 
A. Onsite 
B. Off-site

2. Operation
A. White label
B. Brown label 

Location

 A. ONSITE 
These ATMs are located at the premises of the bank branch, these ATM are connected with the CBS of the branch where it is placed. Generally in the cities and villages.

B. OFFSITE
Off-site ATMs are located at a location away from the branch of bank or premises , they are generally setup at places other than branch. These ATMs connected with the  CBS of the bank separately.

Operation

Brown label ATMs 
Brown label ATMs, service provider own the hardware of ATM  machine, the responsibilities of identifying ATM site, lease agreement with landlord , power supply to ATM with the service provider. Thus, service provider takes the responsibilities of maintenance of the ATM , where as sponsor bank takes the responsibilities of cash management and provide connectivity to ATM to banking network.

White label ATMs
White label ATMs are owned and operated by non-banking financial companies. RBI has given license or permission to non-banking entities to open such ATMs. For apply white label ATM , the non-banking entity with a minimum net worth of 100 crore.
Logo of white label ATM operator like Tata indicate , Muthoot  finance etc.

Total number of  bank in India 

Private sector banks = 22

Public sector banks = 12 

Currently, there is a total of 34 banks functioning in India.

No. 1 Bank in India 





HDFC Bank has been ranked India number 1 bank, world best bank report. It has 88,253 permanent employees, HDFC bank is India's largest private bank in India.

FAQ

Why now a day become important to use an ATM? 

As day by day the technology increase, the people get educates and every government work is done through bank only like scholarship, salary, a transaction between common people and government, etc, and also in the private sector.

 It becomes easy to used even an uneducated person to use, it is easy to transfer the money to 1000 kilometer within sec. If the person required money to set up the business the bank provides. Businesspeople used to compare to others.
ATM full form

What think required to withdraw money from ATM?

Required several think like


  1. Bank account 
  2. ATM card 
  3. Password
Bank account 

To make a bank account, they are so many banks, you can make anyone, the document required to make are like citizen proof document, date of birth, passport size photo, light bill, location proof, etc these are generally documents required but the different bank has different procedure to make an account.

ATM card and password

 Card give after one week of submission of the form (the form is the ATM card requirement form), you have to fulfill the information regarding bank account holder and passport size photo also required, then you will get an ATM card and also password.

Which is the first bank provided ATM machine to the public use?

The world first ATM machine was installed in 1967, the cash machine set up Enfield, north London

They are two-person who invented the automated teller machine.

  1. John shepherd Barron 
  2. Donald Wetzel

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