Introduction
Whether you want to withdraw cash, deposit cash or undergo any important fund transfers immediately, it is not exactly convenient to always visit the bank branch and wait in long queues to perform such quick and easy transactions. This is where an Automated Teller Machine or an ATM comes into play. You must already be pretty familiar with the term ATM as it has sort of become a necessity to carry out day-to-day transactions in an easy and convenient way. You don't need to go to the bank or wait for your turn to interact with the teller for such minimum transactions. This saves a lot of your precious time and also proves to be of great use in emergencies and time of need. Although we use the Automated Teller Machines or ATMs pretty often in our day-to-day lives, how much do we really know about the service? There is a lot more that goes behind these three easy words, and to make you understand that, here we will go through the details about the Automated Teller Machines or ATMs and see how it proved to be a revolutionary step for the Banking sector.
What is an ATM or Automated Teller Machine?
Automated Teller Machines, which are more popularly known as ATMs, is a way of performing quick and easy transactions on an individual basis. These machines allow you to undergo self-serviced transactions without the help of an actual teller and without having to visit the bank branch. Automated teller machines or ATMs allow many transactions, including cash withdrawals, cash deposits, and fund transfers. Although most people use ATMs as a means of cash withdrawals, these other transactions make the ATMs a more efficient service. ATMs have made life much easier by proving to be a path-breaking and most useful advancement in the banking sector, where people can actually go in time of emergencies and save a lot of their valuable time.
All you need to carry out an Automated Teller Machine (ATM) transaction is a credit or debit card that you have to swipe or insert in the card reader of this machine. The further steps are also pretty simple— the ATM will ask you about the type of transaction, your account type, PIN, and amount, which you can enter using the keypad that is present in the machine's design. All these questions and the details you enter will be displayed on the screen of the ATM. After you have successfully entered these details, your transaction will be completed. The cash is then dispensed through the machine's cash dispenser, which is connected to the safe at the bottom of the machine that stores the cash. The ATM machine also features a printer, which prints out receipts if the customer requests one. This receipt shows your transaction details and account balance. Although many different Automated Teller Machines or ATMs can differ in their design, the basic parts and functioning remain the same. Advanced or full-service Automated Teller Machines or ATMs also feature slots for disposing of cash and paper checks. There are also certain ATM transactions that do not require a credit or a debit card.
By giving such ease of use, Automated Teller Machines (ATMs) have become one of the most convenient ways of availing bank services without actually visiting the bank.
Types of Automated Teller Machines or ATMs
There are basically two main types of Automated Teller Machines or ATMs—Basic units and Advanced units.
Basic units - these are the ATMs that only allow customers to withdraw cash and get updated bank account balance in the form of receipts.
Advanced units - the Advanced ATM units are more complex and allow transactions like cash deposits, facilitating one-line credit payments, and accessing account information. To avail all these services offered by an advanced ATM unit, you must be an account holder at the bank that operates the ATM.
Both these ATMs are highly functional and useful in providing essential banking services in emergencies. Given the popularity and vast use of Automated Teller Machines or ATMs, it is also believed that this service can become even more advanced in the future. There is a chance that ATMs can become full-service terminals instead of just additions to traditional bank tellers. If and when this happens, it might be truly a revolutionary advancement in the banking sector that will benefit both the bank and its customers.
What is the importance of Automated Teller Machines or ATMs?
The launch of the first-ever Automated Teller Machine or ATM in 1967 in London, United Kingdom, proved to be an important milestone in the evolution of the banking sector. Gone were the days when the customers had to wait in long queues at the bank or travel long distances to visit the bank branch for something as basic as cash withdrawals. The invention of the ATM made financial lives easier for the customers who could now handle the basic transactions on their own with the help of an ATM machine which was much more convenient than visiting the bank frequently.
Today, after more than 50 years of the first-ever ATM's set up, you can find this machine in not only every country but also at almost every corner of a street, making it highly convenient and easily accessible. Even in India, you can find an ATM in nearly every colony and neighbourhood of large as well as small cities. Another important benefit of an ATM is that it allows inter-bank customers to transact. This means even if you do not hold an account in the bank that operates the ATM, you can still avail of basic services like cash withdrawals from the ATM. This again saves you time and works wonders in times of emergencies, as you don't have to go looking for your bank's ATM every time you need some quick cash.
All in all, Automated Teller Machines or ATMs are an excellent service that has made our financial lives much easier and convenient. This is why it is also one of the most popular and widely used banking services.
Tips and Tricks to Gain Maximum Benefits
As mentioned earlier, ATMs are existing to simplify the financial lives of banking customers. They save customer's time by allowing them to make banking transactions on the go. If your net banking service is not working for some reason, you have to transfer funds to someone far away, and you don't have enough time to visit a bank branch for the same, then all you need to do is visit the nearest ATM, insert your debit or credit card, and follow the instructions as displayed by the machine to transfer funds.
