Automatic teller machine
Automatic teller machine the introduction of ATM’s has given the customers the facility of round the clock banking. The ATM’s are used by banks for making the customers dealing easier. ATM card is a device that allows customer who has an ATM card to perform routine banking transaction at any time without interacting with human Teller.
It provides exchange services. This service helps the customer to withdraw money even when the banks are closed. This can be done by inserting the card in the ATM and entering the personal identification number and secret password.
ATM’s are currently becoming popular in India that enables the customer to withdraw their money 24 hours a day and 365 days. It provides the customers with the ability to withdraw or deposit funds, check account balances, transfer funds and check statement information. The advantages of ATM’s are many. It increases existing business and generates new business. It allows the customers:
- To transfer money to and from accounts.
- to view account information.
- to order cash.
- to receive cash.
Advantages of ATM’s :
To the customers:
- ATMs provide 24 hours,7 days and 365 days a year service.
- Service is quick and efficient
- privacy in transaction
- Wider flexibility in place and the time of withdrawals.
- The transaction is completely secure – you need to key in personal identification number (unique number for every customer).
To banks:
- Alternative to extend banking hours.
- crowding at bank counters considerably reduced.
- Alternative to new branches and to reduce operating expenses.
- Relieves bank employees to focus an more analytical and innovative work.
- Increased market penetration.
ATM’s can be installed anywhere like Airports, Railway stations, Petrol pumps, big business arcades, markets etc hence, it gives easy access to the customers, for obtaining cash.
The ATM services provided first by the foreign banks like Citibank, Grind lays bank and now by many private and public sector banks in India like ICICI Bank, HDFC Bank, SBI, UTI bank etc.
The ICICI bank has launched the ATM services to its customers in all the metropolitan cities in India. By the end of the 1990s Indian private banks and public sector banks have come up with their own ATM network in the form of “SWADHAN”. Over the past year up to 44 banks in Mumbai, Vashi and Thane, have became a part of “SWADHAN”. a system of shared payments network, introduced by the Indian bank Association(IBA).
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