Workin

g Of
ATM
Introducti
on
An automated teller machine
(ATM) is a computerized device that
provides the customers of a
financial institution with access to
financial transactions in a public space
without the need for a human clerk or
bank teller. On most modern ATMs,
the customer is identified by inserting
a plastic ATM card with a
magnetic stripe or a plastic smartcard
with a chip, that contains a unique
card number and some security
information. Security is provided by
History of
ATM
ØIt was first developed and
built by Luther George Simjian
and installed in 1939 in
New York City by the
City Bank of New York, but
removed after 6 months due
to the lack of customer
acceptance.
ØATMs paused for over 25
years
ØAfter that De La Rue
developed the first electronic
ATM, which was installed first
in Enfield Town in North
London, United Kingdom on
27 June 1967 by Barclays Bank
, invented by
ØThe first ATMs
accepted only a single-
use token or voucher,
which was retained by
the machine.
ØThe idea of a PIN
stored on the card was
developed by the British
engineer James
Goodfellow in 1965.
ØDon Wetzel invented
the first networked ATM
in 1968 in Dallas, Texas.
Worki
ng
ØCPU (to control the user interface
and transaction devices)
ØMagnetic and/or Chip card reader (to
identify the customer)
ØPIN Pad (similar in layout to a
Calculator keypad)
ØDisplay (used by the customer for
performing the transaction)
ØFunction key buttons (usually close
to the display) or a Touchscreen (used
to select the various aspects of the
transaction)
ØRecord Printer (to provide the
customer with a record of their
transaction)
ØVault (to store the parts of the
machinery requiring restricted access)
ØATM will connect to the networks through
processing centre and then to the cardholder’s
bank.
ØIf there are sufficient funds in the ATM
cardholders account for the withdrawal request,
the transaction will be completed.
ØThe ATM receives the authorization and
dispenses the cash requested.
ØATM cards use processors to connect to there
various ATM networks. You can see network logos
(also known as bugs) on the back of an ATM card.
ØHere are 4 examples of network bugs as MAC,
PLUS, CIRUUS, STAR.
Calculation
for number
of notes
 Assumptions

ØThere are Rs 1,000/-,Rs

500/-,Rs 100/-, notes are
available in the ATM
ØWe have to enter the
desired money in the multiple
of 100.
Step 1: Start
Step 2 : Store desired amount in int N
Step 3 : Divide N by 1000 and store in int X
Step 4 : No of Rs 1000 notes = X
Step 5 : N=N-X*1000
Step 6 : Divide N by 500 and store in int X
Step 7 : No of Rs 500 notes = X
Step 8 : N=N-X*500
Step 9 : Divide N by 100 and store in int X
Step 10 : No of Rs 100 notes = X
Step 11 : N=N-X*100
This process goes on until N=0
Step 12 : End
Advanta
ges
ØAn ATM allows you to do the same
things as you would at a bank.
ØIt also allows you to withdrawal
money even if you are not a customer
of that bank at nominal surcharge.
ØIt allows you to withdrawal 24 * 7.
ØATM makes transaction easy and
time saving process.
ØBesides withdrawal we can do a lot
with ATMs as transfer funds, request
for a cheque book, mini statement,
deposits cheque etc.
Disadvant
ages
ØIf something goes wrong with machine
then it may uphold your transaction.
ØATMs are not very safe to withdrawal a
big sum of money.
ØAn ATM can replace 4-5 persons(approx)
for the same job that enhance the problem
of unemployment.
 THANK
YOU
Presented By:
Ritesh Kumar Mishra