Question

Explain the functioning of an Automated Teller Machine (ATM) and how it makes the banking services more convenient to both the service provider and the customer.

Answer 1

Apart from cash withdrawal and checking account balance, ATMs today offer multiple facilities for the convenience of bank customers.

Open or withdraw a fixed deposit. ...

Recharge your mobile. ...

Pay income tax. ...

Deposit cash. ...

Pay insurance premium. ...

Apply for personal loan. ...

Transfer cash. ...

Pay your bills.

thx

Answer 2

Automated teller machine:

• The automated teller machine is completely a data monitor with a couple inputs and four output devices.
• These machines are interfaced with the processor which is the heart of the ATM. All the ATMs operating throughout the world are based on a centralized database mode. The ATM has to connect and communicate with the host processor (server). The host processor will communicate with the internet service provider (ISP).
• It is the gateway for all the ATM networks accessible to the card holder. When a card holder performs an A transaction, user produces essential information into card reader and keypad. The ATM sends this features to the host . The host processor accesses the transaction call to the cardholder bank. If the card holder claims the cash, the host processor receives the cash from the card holder's account.
• Once the amount is transferred from the customer account to host processor account, the processor transmits permission code to the ATM and the commissioned machine to dispense the cash. This is the process to get the amount on ATMs. The ATM network is completely based on centralized database background. This will secure life easer and secured the cash.

The ATM contributes 24 hours service .

The ATM gives privacy in banking communications .

The ATMs lessen the workload banks staff .

The ATM may deliver customer new currency notes.

The ATMs are accessible for banks customers .

The ATM is very advantageous for travelers .

The ATM produces services without any fault.