ATM (Automated Teller Machine)

How to Use an ATM Step-by-Step

Using an ATM is simple and convenient. Follow these steps to complete your transaction:

• Insert your ATM card into the card slot.
• Select your preferred language.
• Enter your 4-digit PIN (Personal Identification Number).
• Choose the type of transaction – withdrawal, balance enquiry, mini statement, etc.
• Enter the amount you wish to withdraw.
• Collect your cash and wait for the machine to process your receipt.
• Take your card back once the transaction is complete.

Functions of ATMs

Given below are the functions of ATMs:

1. Cash withdrawal
2. Mini account statement
3. Cash transfer
4. Account balance details
5. Deposit of money

Advantages of ATMs

The following are the advantages of ATMs:

1. Banks provide ATM services 24*7.
2. It helps in reducing the workload on bank staff.
3. ATMs provide seamless services without any error.
4. ATMs are a better resource for travellers.

Types of ATM Classifications

1. Orange Label ATMs: Share transactions
2. Yellow Label ATMs: e-commerce transactions
3. Green Label ATMs: Agricultural transactions
4. White Label ATMs: Owned by TATA Group
5. Pink Label ATMs: For female customers
6. Brown Label ATMs: Operated by a third-party service provider

Difference Between On-site and Off-site ATMs

1. On-site ATMs are usually more secure, often with bank staff nearby.
2. Off-site ATMs provide convenience, especially in urban and rural outreach.

Common ATM Issues and How to Resolve Them

Some common ATM-related issues include:

1. Card Not Ejected: Wait a few seconds. If it doesn’t eject, contact your bank immediately.
2. Cash Not Dispensed But Amount Deducted: File a complaint with your bank. The amount is usually reversed within 7 working days.
3. Invalid PIN Message: Double-check your PIN. If locked out, visit your bank branch.
4. ATM Out of Service: Try another nearby ATM or contact customer care.

Daily Withdrawal Limits Across Major Banks

Here’s a quick look at ATM withdrawal limits across top Indian banks:

Basic Parts of an ATM

Given below are the basic parts of an ATM: 

How Input Devices Work in ATMs

1. Keypad: Keypad is used to insert numbers, clear them or cancel a transaction. The customers use keypads to enter their ATM PIN and the cash amount that they want to withdraw
2. Card Reader: An ATM consists of a space where you can insert your ATM card. The ATM card contains a magnetic card on its back that has the account details. The card reader gathers the account information and sends it to the server.

Role of Output Devices in ATM Operations

1. Cash Dispenser: Cash is stocked in the ATM by the bank officials. The cash dispenser helps you to collect cash after withdrawing a specific amount from the ATM.
2. Display Screen: The display screen guides the user about the steps related to cash withdrawal, checking account balance, or changing ATM PIN.
3. Speaker: There is a speaker in every ATM which provides audio instructions to carry out transactions and access the machine.
4. Receipt Printer: Once the ATM transaction is completed, the receipt printer records the transaction type, remaining account balance, and amount withdrawn.

ATMs have increased the convenience and accessibility of the people. You can withdraw money at any time, including on holidays and after business hours.