What is the full form of ATM?
The ATM full form is Automated Teller Machine. It is a special type of computer which allows bank account holders to operate manually to control their money flow.
With the help of ATM, you are able to do certain operation such as check account balances, withdraw or deposit money, perform money transactions from one account to another, get a print of account transactions, and even purchase stamps.
Using ATM or debit card in the machine along with the Personal Identification Number (PIN), you can get the services 24*7 hours.
History of ATM
In 1960s, worldwide independently many teams were looking for a device that can be used to withdraw money from a bank account without involving any kind of criminal activities.
The chronological activities of the discovery of ATM is given below:
- Bankograph was invented by an American named Luther George Simjian in 1960 through which one can deposit cash and cheque in it.
- John Shepherd-Barron, a British personality, is considered as the inventor of ATM and it was installed for the first time in June 1967 of the branch of Barclays bank, on a street in Enfield, London. Customers are allowed to withdraw the maximum amount of GBP10 in a one transaction.
- A Dallas-based engineer, Donald Wetzel plays the role of pioneer for the deployment of ATM in U.S. In September 1969, the first ever ATM was set up in U.S with the slogan, “On September 2, our banks will open at 9 am and never close again”, at the Chemical Bank branch, Rockville Center, New York.
- In 1977, with the pledge of Citibank of more than $100 million, huge number of ATM machines was set up in U.S. Due to blizzard force that causes to close all the branches in the city, rose the use of ATM by 20%.
- NCR model 770 was developed by a U.S based software and technology company, named National Cash Register in 1977 which was an easy-to-operate ATM and offer services by 24/7. More reliable, flexible, and customer-friendly model (5070 ATM) was developed and launched in 1980s.
- Approximately, 100,000 ATMs was installed by 1984.
- Worldwide, three millions of ATMs was in operation, according to a survey in 2018. Retail Banking Research, a consulting firm estimated to reach this figure four million by 2021.
- ATM fraud was become a major issue in the first decade of 21st century using sophisticated malware or technologies like skimming devices.
- Most part of the world, still cash transactions are preferred though digital payment services has gain popularity and trust over its major issues.
- In near future, it is expected that ATMs, bank branches, mobile banking, and internet banking will become complement of each other.
Related Post: Full Form of all Banking Terms
Types of ATM
You can see different types of ATMs in India such as:
On-site ATM: Those ATMs are installed within their premises of banks.
Off-site ATM: These ATMs are installed outside the premise of the bank.
Worksite ATM: This types of ATMs are existing within premises of organization and is only for employees of that organization.
Cash Dispenser: This ATMs allows consumers to perform certain operations such as cash withdrawals, balance enquiry and mini statement.
Mobile ATM: This type of ATM is especially designed for emergency services and is movable in nature. Due to pandemic COVID 19, the number of mobile ATMs has been increased drastically.
White Label ATM: Non-Banking financial companies offers this type of ATMs.
Green Label ATM: These ATMs are for Agricultural Transaction.
Orange Label ATM: These ATMs allows share transactions.
Yellow Label ATM: These ATMs are for online purchase.
Pink label ATM: ATMs that is provided for women.
Brown label ATM: Service provider owned hardware and the lease of the ATM are known as Brown level ATM. Here, cash management and connectivity are provided by the sponsor bank itself.
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Steps to Use ATMs
It is very easy to operate/use ATM by just following some simple steps.
Step 1: Find and visit any nearby ATM with your ATM card.
Step 2: Insert your ATM card in the ATM machine that is provided by bank.
Step 3: Select the language you are comfortable to do transactions.
Step 4: Select the option you want to perform such as deposit, transfer, withdrawal of cash, mini statement, balance enquiry, pin change etc.
Step 5: Choose the type of account you have like current, saving and salary accounts.
Step 6: Enter 4-digit ATM PIN following which enter your amount you want to withdraw.
Step 7: Now, collect the cash which will come out of the ATM machine.
Step 8: You can select other option according to your requirement.
You will get an ATM card without paying any charges when you open bank account. But, you have to pay some charge while using your ATM card.
You will be provided some free transactions initially, following which bank will charge for every extra transaction. We have given bank name with their number of free transactions and charges after free transactions.
- SBI: Free Transactions per month – 5 transactions at SBI ATMs and 3 at Other ATMs, Charge after free Transactions – ₹ 25 per transaction.
- ICICI Bank: Free Transactions per month – Free transaction at all ICICI ATMs, Charge after free Transactions – ₹ 25 per transaction at all non-ICICI ATMs.
- HDFC Bank: Free Transactions per month – First 4 transactions, Charge after free Transactions- ₹ 150 per transaction.
Salient Features of ATM
Since ATM has come into existence, it is changing time-to-time to become user-friendly for customers. ATM is also become more safer and trusted. Changes in ATM and its technology are:
- Versatility of ATM: In modern ATMs, it is not bounded to only dispensing cash but also you can get certain facilities such as depositing the cash, fund transfer, payments of bills and generating mini statements and many more services which is provided by a bank.
- User-friendly: It is designed in such a way that anyone can use whether illiterate individuals or specially-abled person. With the introduction of biometric identification scanners, it becomes more easy for the users.
- Less Language barrier: Country like India where many languages are spoken. It is very important for ATM to be a Multilingual to operate it properly. You can use ATM of your own comfort language.
Benefits of ATM
- Most of the ATMs are located at convenient location. You can have all the facilities in all the ATM.
- Physical errors are not involved in ATM transactions as it doesn’t require any kind of documentation.
- You can easily get transaction details, account balance, mini statement.
- In recent ATMs, you can also deposit as well as transferring your funds.
- ATM service can be available 24*7, 365 days.
- You don’t need to carry cash while traveling as you can withdraw money at any ATM.
- Latest improvement has been done in ATMs during the pandemic of COVID. MasterCard and AGS Transact Technologies jointly introduce contactless cash withdrawal service. In this process, a Quick Response Code will be displayed on the ATM machine screen and you have to scan that using mobile application. To proceed further, enter ATM PIN and amount which you want to withdraw. Now, ATM machine will dispense the amount.
We hope this post will help you to know the full form of ATM, History of ATM, Types of ATM, Charges, Features, Benefits of ATM, etc. For get more full form like this visit this website regular basis. Also, you can follow us on Facebook and Twitter to latest post notification immediately.
Full Form of ATM: FAQs
Q1. Is it possible to generate my ATM card PIN?
Ans: Yes, you can generate ATM card PIN by using nearest ATM, sending SMS contacting customer care or through internet banking.
Q2. What is ATM PIN?
Ans: PIN stands for Personal Identification Number, a 4-digit number, with the help of which you can perform certain operations as well as can access your account information.