1. A
PRESENTATION ON
“ATM”
PRESENTED BY:
PATEL JAIMINI (108)
PATEL NEHA (114)
PATEL NIRUPA (116)

2. INTRODUCTION OF ATM
Automated Teller Machines (ATMs) have gained
prominence as a delivery channel for banking
transactions in India. Banks have been deploying ATMs
to increase their reach. As at the end of December 2007,
the number of ATMs deployed in India was 32,342.
According to a survey by Bank net India, 95% people
now prefer this modern channel to traditional mode of
banking. Almost 60% people use an ATM at least once a
week.

3. Cont…
Now Customers will not be levied any fee on cash
withdrawals using ATM and debit cards issued by other
banks. This will in turn increase usage of ATMs in India.
More people are now moving towards using the
automated teller machines (ATM) for their banking
needs.

4. Cont…
The ATM market in India is not yet saturated. Though
the concentration of ATMs is greater in metros, the
demand is increasing for other cities and even rural
areas. ATM's per million people approximately is 33
units is very low. Experts forecast that the growth rate
(CAGR) is expected to grow 18 percent up by 2013.
Banks going into a self service model can have huge
saving potential for banks and may also increase the
convenience for the customers.

5. HISTORY OF ATM
The first Automated Teller Machine (ATM) was
introduced in the year 1967 by Barclays Bank in
Enfield Town in North London. At that time a few
would have anticipated excess in ATMs. The main
objective of introducing the ATM was reducing
customer’s time, lesser bank distribution cost and
enhancing the efficiency of banking institutes.

6. How Do ATMs Work?
An ATM is simply a
data terminal with two
input and four output
devices. Like any other
data terminal, the ATM
has to connect to, and
communicate through, a
host processor

7. Cont…
Leased-line machines connect directly to the host
processor through a four-wire, point-to-point,
dedicated telephone line.
Dial-up ATMs connect to the host processor through
a normal phone line using a modem and a toll-free
number, or through an Internet service provider using
a local access number dialed by modem.

8. Settlement Funds
When a cardholder wants to do an ATM tra-nsaction,
he or she provides the necessary information by
means of the card reader and keypad.
ATM forwards this information to the host processor,
which routes the transaction request to the
cardholder's bank or the institution that issued the
card.
If the cardholder is requesting cash, the host
processor causes an electronic funds transfer to take
place from the customer's bank account to the host
processor's account.

9. Cont…
Once the funds are transferred to the host processor's
bank account, the processor sends an approval code
to the ATM authorizing the machine to dispense the
cash.

10. LOCATION OF ATM
ATMs are placed not only near or inside the premises
of banks, but also in locations such as shopping
centers/malls, airports, grocery stores, petrol/gas
stations, restaurants, or any place large numbers of
people may gather.

11. Parts of ATM
 Card Reader
 Keypad
 Speaker
 Display Screen
 Receipt Printer
 Cash Dispenser

12. Input Device
 Card reader - The card reader captures the account
information stored on the magnetic stripe on the back of
an ATM/debit or credit card. The host processor uses
this information to route the transaction to the
cardholder's bank.
 Keypad - The keypad lets the cardholder tell the bank
what kind of transaction is required (cash withdrawal,
balance inquiry, etc.) and for what amount. Also, the
bank requires the cardholder's personal identification
number (PIN) for verification. Federal law requires that
the PIN block be sent to the host processor in encrypted
form.

13. Output Device
 Speaker - The speaker provides the cardholder with auditory
feedback when a key is pressed.
 Display screen - The display screen prompts the cardholder
through each step of the transaction process. Leased-line machines
commonly use a monochrome or color CRT (cathode ray tube)
display. Dial-up machines commonly use a monochrome or color
LCD.
 Receipt printer - The receipt printer provides the cardholder with
a paper receipt of the transaction.
 Cash dispenser - The heart of an ATM is the safe and cash-
dispensing mechanism. The entire bottom portion of most small
ATMs is a safe that contains the cash.

14. SECURITY
Don't write down your PIN. If you must write it
down, do not store it in your wallet or purse.
Make your PIN a series of letters or numbers that you
can easily remember, but that cannot easily be
associated with you personally.
Avoid using birth dates, initials, house numbers or
your phone number.

15. BENEFITS OF ATM
Cash Withdrawal and Balance Enquiry
Cash /Cheque Deposit
Bill Payments
Change ATM pin

16. ATM for visually impaired
There are ATMs that are
accessible to blind and
visually impaired
people. These machines
are located at kiosks
rather than bank drive-
thrus. And the keypads
at ATMs are equipped
with Braille.

17. Guideline related to fraud prevention
If you do not feel safe at any time, press the ATM
cancel button, remove your card and leave the area
immediately.
Minimize your time at the ATM.
Make smart deposits.
Avoid using ATMs at night.
Be aware of your surroundings.

18. THANK YOU……..