Automated Teller Machine (Atm) Introduction – Advantages Together With Disadvantages

In my childhood I used to mean value that ATM is null but Any Time Money. It took me 22 years to know that its Automated Teller Machine. Now a days everybody knows what an ATM is in addition to how useful it is. But for the sake of formality nosotros shall offset alongside the technical Definition of ATM. The Automated Teller Machine (ATM) is a machine which facilitates basic banking activities viz, withdrawal of money, depositing coin in addition to checking of ones ain balances etc. ATM does most of the functions of cashier inward the bank. ATM is operated yesteryear plastic carte issued yesteryear the banking concern which is called equally ATM Card, alongside it exceptional features. This plastic ATM Card is replacing cheque, personal attendance of the customer, banking hours in addition to banking concern holidays restriction in addition to newspaper based verification.

Electronic banking i.e., computerization of banking operations inward Republic of Republic of India has picked upwards during  the instant one-half of 1990’s. This has helped to innovate ATMs.
ATMs are established inward of import places yesteryear the authorized banking concern inward cities in addition to of import towns. The Indian Railway gave a mandate to 10 leading banks to host ATMs at Railway Stations.
Banks inward Republic of Republic of India realized the bespeak for ATM-interchange deals to proceed their overheads nether banking concern check . Under ATM inter-change, customers of 1 banking concern are offered costless access to the other bank’s ATM network
What is the divergence betwixt Credit Card in addition to ATM Card ?
The essential divergence betwixt the Credit Card in addition to ATM Card is that the one-time offers credit facility equally the mention suggests, whereas the latter inward a networked environs allows the occupant of the cardholder to live straight debited.
Advantages of ATM :
  • Round the Clock Services : ATM provides banking services to its customers circular the clock, 24 hours a day, seven days a calendar week in addition to 365 days a year.
  • Access to banking concern from whatever constituent of the basis : Essential banking services similar deposits, withdrawals transfer of funds, etc tin live accessed yesteryear customers from whatever constituent of the world.
  • Expansion of Services to whatever corner of the basis : Of the Banks tin expand their services to whatever corner of the basis yesteryear providing electronic access to its customers.
  • Reduction inward terms of performance : This reduces human intervention in addition to thereby reduces the terms of operations in addition to increases profitability of banks.
  • For shopping Purpose : Now a days nearly every shopping mall, eatery in addition to other organizations are accepting credit carte payments.
Disadvantages :
  • Cannot live provided inward rural areas : In a province similar India, where banks are having large number of rural in addition to non-computerized branches, ATM services cannot live provided.
  • Presence diverse constraints : Even if banks brand unopen to efforts to innovate ATM services province side, diverse constraints similar illiteracy, safety concern, etc., may non permit that.
  • Limitation of cash withdrawals : Again at that spot is a limitation of cash withdrawals from ATM. For example, many banks create non permit withdrawal of to a greater extent than than 25,000 at a time. 
  • Cash deposit facility is non rubber : Similarly cash deposit facility is restricted in addition to non rubber equally dropping of envelope alongside tin inward ATM is non advisable. 
  • Possibility of misusing ATM carte : ATM card, if misplaced, lost or stolen, may live misused. There are number of such reported incidences directly a days.
  • Loss of personnel impact alongside the Banks : Last but non the least, customers lose personal impact alongside their bankers.
The ATM usage inward Republic of Republic of India is growing real fast, i.e., at 300 percent, equally per the survey conducted inward 2002 the density inward relation to population stands at a mere iv ATMs per meg population, directly its triplicated.   Indian Banking Industry has developed during this xi years of bridge in addition to it also has introduced in addition to thence many novel technologies similar Talking ATMs in addition to White Labeled ATMs.

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