The full form of ATM is Automated Teller Machine. Let us tell you that ATM (Automated Teller Machine) is an electronic machine that is used for the transaction of money. Automated Teller Machine, as the name suggests, is an ‘automated’ banking platform that does not require any banking cashier to perform transactions.
What is Automated Teller Machine
As we have told you that the full form of ATM is an Automated Teller Machine which provides the facility of Self Service Banking. With the help of this machine, you can take advantage of the facility like money transactions, withdrawal, deposit money and check your balance or fund transfer. Nowadays many banks are providing their ATM services by installing cash machines in almost all parts of the country. The biggest advantage of the Automated Teller Machine ie ATM is that you can withdraw money from any bank’s ATM even if you are in any part of the country, your account is in any bank.
Although withdrawing money from ATM is free, sometimes some banks may charge you a nominal fee. The first 3-5 transactions in a month are free in almost all banks, but when you reach the limit of free transactions, you are charged a nominal charge. Many times when your account is in another bank and you withdraw money from the ATM of another bank, even then your nominal charge is deducted.
Types Of ATM
There are 2 types of ATM machines one is simple in which you can do things like withdrawing, checking your balance, changing the PIN, getting a MINI statement, and getting an update of your account. Apart from this, there are also some advanced machines that allow depositing cash or checks and paying bills.
You might not know that some ATM machines are installed inside the bank premises, they are called onsite machines. The same machines which are installed in any corner of the country which provide basic banking facilities and instant cash withdrawal facilities to the people are called offsite machines.
ATMs can be classified variously on the basis of the label.
- Green Label ATMs are used for agricultural purposes.
- Yellow Label ATM It is used for e-commerce transactions.
- Orange Label ATM This is used for share transactions
- Pink Label ATM is used for women
- White Label ATMs Offered by Tata Group
- Brown Label Bank (Brown Level ATM) Issued by a Third Party
Nowadays some machines are also biometrically automated which require fingerprint and eye scanners to run.
What are the uses of the Automated Teller Machine?
Automated teller machines have made banking facilities easier for the account holders and at the same time have revolutionized the banking sector by reducing the burden of the employees working in the bank to a great extent. There are a few uses of ATMs.
• The most common use of an ATM (Automated Teller Machine) is to withdraw money and check balance. Apart from this, account holders can also transfer money or change their PIN.
• Apart from this, you can open an FD account or apply for a loan in the new and advanced ATM machines that are coming.
• You can also book a railway ticket from an ATM machine as well as pay your insurance premium.
• Pay Income Tax and Utility Bills You can also recharge your mobile and deposit money from ATM. You may need to register with your bank branch to use such facilities.
• ATM (Automated Teller Machine) provides a 24×7 facility anywhere.
• There was a time when we had to stand in a long line to withdraw money from the bank, but today due to ATM, we do not have to face such trouble and our time is also saved.
• Customers can withdraw money from ATMs according to their needs. Nowadays almost all banks have put their ATMs at railway stations, on highways, in malls, markets, airports, and hospitals, etc.
How to use ATM?
To take advantage of the facility provided by ATM, you must have an account in any bank and that account should have an ATM card. Nowadays, most banks use an ATM card (called a Debit card) on opening an account, using which not only you can withdraw money from an ATM but also make online payments or pay by swiping the card.