ATM Full Form: Definition of ATM, Full Form, History, Types, Benefits, Operation

ATM Full Form

Do you want to know the full form of  the ATM?  If yes, you should read this article from beginning to end. In this article, we will tell you the full form of ATM, as well as give you more information related to ATM. We will inform you about the definition of ATM, its history, types of ATMs, how ATMs operate, etc. So, to know in detail about ATM, keep reading today’s post ATM full form.

ATM Full Form

 The full form of ATM is Automated Teller Machine. It is an electronic machine powered banking platform that enables its bank customers to seamlessly conduct financial transactions, such as withdrawing money, without the help of a bank branch representative. An ATM card is provided by the designated bank to its customers for making final transactions through the ATM.

Definition of ATM

The ATM is define as an electronic telecommunication device or device that allows customers of financial institutions, such as banks, to conduct financial transactions at any time, without any direct need.

These financial transactions include depositing money, withdrawing money, and getting your bank account information. You can withdraw money or deposit money from an ATM at any time. The full form of ATM is less used.

ATM full form

History of ATM

On 27 June 1967, the world’s first ATM, designed by a British inventor John Shepherd and his team, was installed in a branch of Barclays Bank in Enfield area of ​​London.  At that time plastic ATM cards were not used like today.

Two years later, on December 2, 1969, the Chemical Bank of America opened the first US ATM at its branch on Long Island in Newark. The ATM was initially knows as Docuteller. The reason for this was that the ATM  manufactured by the firm Docuteller. Initially, most of the ATM usage limited to financial transactions of the bank’s customers only.

A decade later, in the 1970s, shared ATMs were introduces, in which consumers could use another bank’s ATM to withdraw money from their bank accounts. Later, in a few years the popularity of ATMs started increasing, and ATMs started spreading all over the world.  ATMs started operating in the branches of various banks in every major country.

Then ATMs started operating in small towns of the country as well.  ATM in India was starts in 1987 in Mumbai.  HSBC (Hong Kong and Shanghai Banking Corporation) bank had set up the country’s first ATM in Mumbai.  An ATM is an operating cash machine.

Benefits of ATM

ATMs are very beneficial. In this, customers can deposit, withdraw their money from any ATM at any time according to their time. And without the help of a representative of a bank branch, you can also get complete information about your bank account.

ATMs are very convenient in today’s era.  Because in order to do financial transactions in the bank, it is necessary to reach the bank during working hours. It doesn’t allow customers to do financial transactions after the work hours.

Sometimes there is so much crowd in the bank that customers have to face a lot of problems to get their work done.  Due to overcrowding, sometimes the entire day was spent withdrawing or depositing the money of the customers.

ATM full form

After the invention of the ATM, the customers got a lot of relief. In today’s busy life, no one has time to queue up in the bank to withdraw money and deposit it. In such a situation, an ATM is a blessing for the users. Consumers can now withdraw money as per their requirement and time.

Generally, the services we get from ATM given below:

• Cash withdrawal facility
• Cash deposit facility
• Access to your bank account information
• Regular bill payment facility

Types of ATMs

Names and uses of 4 types of ATMs

1. Brown Label ATMs

Brown Label ATMs owned by a dedicated bank providing service, and the responsibility of maintaining them also falls on them. A sponsor bank whose brand used on the ATM has the responsibility of taking care of cash management and network connectivity.

2. White Label ATM

White Label ATM is an ATM that is establishes by non-bank entities. It is own by non-bank institutions, and they also operate it. In order to enhance ATM services across the country, and to assist in financial inclusion, Reserve Bank of India has set up and operates its own brand ATMs in the country to set up and operate White Label ATMs (WLAs) i.e.

Private Non-Level ATMs.  Bank companies have been allowed to launch ATMs. These White Label ATMs cannot display the logo of a specified bank. Tata is the first non-bank company to launch White Label ATM in India.  He founded the first WLAs under the name Brad of Indicash.

3. Onsite ATMs

Onsite ATMs are installed in the premises where the bank branch located so that both the physical branch and the ATM can be used. This ATM can be used for many purposes. Generally many people use these onsite ATMs to avoid the long lines present in the bank.  People can do their financial transactions at this ATM to save their precious time. This ATM is known as being on site.

4. Offsite ATMs

Offsite ATMs are known as ATMs that are set up on a standalone basis. That is, a bank has a place where there is only one ATM. Hence, it becomes an offsite ATM. This is done to ensure that the bank can reach a more geographical area, and people can avail ATM services even if there is no bank branch available in the area.

ATM Operation

A plastic ATM card is mandatory for the operation of AMT. With the help of this ATM card, you can deposit or withdraw money at an ATM. In ATM operation, first you have to insert the ATM card inside the ATM. Your ATM card must be insert on some machines and some machines require card swapping.

The ATM card holds your bank account details and other security information on a magnetic stripe. When you drop or swap an ATM card on AMT, the computer receives your account details. Then requests for your ATM PIN. Once the authentication is validate, the ATM will allow you to do money transactions.