atm group project

7/31/2019 ATM Group Project

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Introduction

Automated Teller Machine (ATM) enables the

clients of bank to have access to their account with

out going to bank.

An ATM allows the customers to perform bankingtransactions any where and any time with the need of

human teller.

By using a Debit card or ATM card at the ATMcenter individuals can with draw cash from their

accounts or make a deposits or transfer money from

one account to another account or perform another

functions.


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Working of ATM

First the client will insert he is card in the ATM and then ATM

will ask for a Personal Identification Number (PIN), Once the

correct pin is given the ATM will ask for the money to be with

drawn. If the amount is available and the client has enough

money on his credit then the money will paid.

Once the money is offered to be client, a count down isstarted , if this time out is over the money will be collected back

by the ATM and the transaction will be rolled back.

The ATM will communicate each transaction to the data base

and obtain verification that it was allowed by the database.

If the database determines that the PIN is invalid, the

customer will be required to reenter the PIN before the

transaction can proceed.


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If the transaction fails for any reason other than in

valid PIN, the ATM will display an explanation of the

problem and will ask the customer whether he want to

do another transaction.

The ATM will provide the customer with printed

receipt for each successful transaction showing the date,

time, machine location, type of transaction, amount and

available balance of the affected account


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History of ATMThe idea of self service in retail banking developed

through independent and simultaneous efforts in

Japan, UK and US.

In the case of ATM Don Weizel invented the first

successful and modern ATM in the USA, However he

was not first inventor to create an ATM. In 1939 LotherSimjian started patenting an earlier and not so

successful version of ATM.

Don Weizel is the chief conceptualist of ATM an idea

he thought while he was waiting in the long Queue line

at the Dall as Bank. It took 5 million Dollars to develop

an ATM. The concept of modern ATM began in 1968.


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Objectives of Study

To present the extent of usage of ATM services by

the customers.

To identify the problems faced by the customersusing the ATM.

To know the satisfaction level of customers aboutATM services.


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METHODOLOGYSources of Data

Primary data : Questionnaires

Secondary data :

Articles in the journal

MagazinesRBI

Websites

Sample size: 65 Respondents

Analysis of Data

Statistical tools like Averages, Percentages are used to

analyze the data.


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Limitations of Study

The study is confined to few select

Customers of Various banks.

As study is based on information given by

respondents the accuracy of results

depends on their promptness and ability to

recollect.

The study is restricted to usage of ATMs.The study not covered entire city.


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ATM HardwareAn ATM is typically made up of the following devices:

CPU (to control the user interface and transaction devices)

Magnetic and/or Chip card reader (to identify the customer)

PIN Pad (similar in layout to a Touch tone or Calculator

keypad), often manufactured as part of a secure enclosure.

Secure cryptoprocessor, generally within a secure enclosure.

Display (used by the customer for performing the transaction)

Function key buttons (usually close to the display) or aTouchscreen (used to select the various aspects of the

transaction)

Record Printer (to provide the customer with a record of their

transaction)

Vault (to store the parts of the machinery requiring restrictedaccess)

Housing (for aesthetics and to attach signage to)
http://en.wikipedia.org/wiki/CPUhttp://en.wikipedia.org/wiki/Magnetic_stripe_cardhttp://en.wikipedia.org/wiki/Chip_cardhttp://en.wikipedia.org/wiki/Personal_identification_numberhttp://en.wikipedia.org/wiki/Touch_tonehttp://en.wikipedia.org/wiki/Calculatorhttp://en.wikipedia.org/wiki/Secure_cryptoprocessorhttp://en.wikipedia.org/wiki/Function_keyhttp://en.wikipedia.org/wiki/Touchscreenhttp://en.wikipedia.org/wiki/Bank_vaulthttp://en.wikipedia.org/wiki/Bank_vaulthttp://en.wikipedia.org/wiki/Touchscreenhttp://en.wikipedia.org/wiki/Function_keyhttp://en.wikipedia.org/wiki/Secure_cryptoprocessorhttp://en.wikipedia.org/wiki/Secure_cryptoprocessorhttp://en.wikipedia.org/wiki/Calculatorhttp://en.wikipedia.org/wiki/Touch_tonehttp://en.wikipedia.org/wiki/Personal_identification_numberhttp://en.wikipedia.org/wiki/Chip_cardhttp://en.wikipedia.org/wiki/Magnetic_stripe_cardhttp://en.wikipedia.org/wiki/CPU


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Dispensing mechanism (to provide cash or other items of

value)Deposit mechanism including a Cheque Processing Module

and Bulk Note Acceptor (to allow the customer to make

deposits)

Security sensors (Magnetic, Thermal, Seismic, gas)

Locks: (to ensure controlled access to the contents of the

vault)

Journaling systems; many are electronic (a sealed flash

memory device based on proprietary standards) or a solid-state

device (an actual printer) which accrues all records of activityincluding access timestamps, number of bills dispensed, etc. -

This is considered sensitive data and is secured in similar fashion

to the cash as it is a similar liability.

Mechanisms found inside the vault may include:
http://en.wikipedia.org/wiki/Cashhttp://en.wikipedia.org/wiki/Cash


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ATM Software

A Suncorp Metway ATM running OS/2

With the migration to commodity PC hardware, standard commercial "off-the-

shelf" operating systems and programming environments can be used inside ofATMs. Typical platforms previously used in ATM development include RMX or

OS/2. Today the vast majority of ATMs worldwide use a Microsoft OS, primarily

Windows XP Professional or Windows XP Embedded. A small number of

deployments may still be running older versions such as Windows NT, Windows

CE or Windows 2000. Notably, Vista was not widely adopted in ATMs.A Wincor NixdorfATM running Windows 2000
http://en.wikipedia.org/wiki/Suncorp_Metwayhttp://en.wikipedia.org/wiki/OS/2http://en.wikipedia.org/wiki/RMXhttp://en.wikipedia.org/wiki/OS/2http://en.wikipedia.org/wiki/Microsofthttp://en.wikipedia.org/wiki/Windows_XP_Professionalhttp://en.wikipedia.org/wiki/Windows_XP_Embeddedhttp://en.wikipedia.org/wiki/Windows_NThttp://en.wikipedia.org/wiki/Windows_CEhttp://en.wikipedia.org/wiki/Windows_CEhttp://en.wikipedia.org/wiki/Windows_2000http://en.wikipedia.org/wiki/Windows_Vistahttp://en.wikipedia.org/wiki/Wincor_Nixdorfhttp://en.wikipedia.org/wiki/Windows_2000http://en.wikipedia.org/wiki/File:Postomat-Windows-p1020441.jpghttp://en.wikipedia.org/wiki/File:Atm_os2warp.jpghttp://en.wikipedia.org/wiki/Windows_2000http://en.wikipedia.org/wiki/Wincor_Nixdorfhttp://en.wikipedia.org/wiki/Windows_Vistahttp://en.wikipedia.org/wiki/Windows_2000http://en.wikipedia.org/wiki/Windows_CEhttp://en.wikipedia.org/wiki/Windows_CEhttp://en.wikipedia.org/wiki/Windows_NThttp://en.wikipedia.org/wiki/Windows_XP_Embeddedhttp://en.wikipedia.org/wiki/Windows_XP_Professionalhttp://en.wikipedia.org/wiki/Microsofthttp://en.wikipedia.org/wiki/OS/2http://en.wikipedia.org/wiki/RMXhttp://en.wikipedia.org/wiki/OS/2http://en.wikipedia.org/wiki/Suncorp_Metwayhttp://en.wikipedia.org/wiki/Suncorp_Metwayhttp://en.wikipedia.org/wiki/Suncorp_Metway


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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. The host processor is analogous to an Internet

service provider (ISP) in that it is the gateway through which all the various

ATM networks become available to the cardholder (the person wanting the

cash).

Most host processors can support either leased-line or dial-up machines.

Leased-line machines connect directly to the host processor through a four-

wire, point-to-point, dedicated telephone line. Dial-up ATMs connect to thehost 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.
http://money.howstuffworks.com/personal-finance/banking/internet-infrastructure1.htmhttp://money.howstuffworks.com/personal-finance/banking/internet-infrastructure1.htmhttp://money.howstuffworks.com/personal-finance/banking/telephone.htmhttp://money.howstuffworks.com/personal-finance/banking/modem.htmhttp://money.howstuffworks.com/personal-finance/banking/modem.htmhttp://money.howstuffworks.com/personal-finance/banking/telephone.htmhttp://money.howstuffworks.com/personal-finance/banking/internet-infrastructure1.htmhttp://money.howstuffworks.com/personal-finance/banking/internet-infrastructure1.htm


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ATM has four output devices:

Display screen - The display screen prompts the

cardholder through each step of the transaction process.Leased-line machines commonly use a monochrome or

colorCRT (cathode ray tube) display. Dial-up machines

commonly use a monochrome or colorLCD.

Speaker - The speakerprovides the cardholder withauditory feedback when a key is pressed.

Receipt printer - The receipt printer provides thecardholder with a paper receipt of the transaction.

Cash dispenser - The heart of an ATM is the safe andcash-dispensing mechanism. The entire bottom portion of

most small ATMs is a safe that contains the cash
http://www.howstuffworks.com/tv.htmhttp://www.howstuffworks.com/lcd.htmhttp://www.howstuffworks.com/speaker.htmhttp://www.howstuffworks.com/speaker.htmhttp://www.howstuffworks.com/lcd.htmhttp://www.howstuffworks.com/tv.htm


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ATM Security and Tips to followATMs keep your personal identification number (PIN)

and other information safe by using encryption software

such as Triple DES (Data Encryption Standard). But there

are lots of things that you can do to protect your informationand your money at an ATM.

Many banks recommend that you select your own PIN.

The following are some of the tips to follow:

Don't write down your PIN. If you must write it down, do notstore it in your wallet or purse.

Make your PIN a series of letters or numbers that you caneasily remember, but that cannot easily be associated with you

personally.

Avoid using birth dates, initials, house numbers or yourphone number.
http://money.howstuffworks.com/personal-finance/banking/encryption.htmhttp://money.howstuffworks.com/personal-finance/banking/framed.htm?=parent=atm.htm&url=http://www.tropsoft.com/strongenc/des3.htmhttp://money.howstuffworks.com/personal-finance/banking/question659.htmhttp://money.howstuffworks.com/personal-finance/banking/question659.htmhttp://money.howstuffworks.com/personal-finance/banking/framed.htm?=parent=atm.htm&url=http://www.tropsoft.com/strongenc/des3.htmhttp://money.howstuffworks.com/personal-finance/banking/encryption.htm


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Store your ATM card in your purse or wallet, in an area where itwon't get scratched or bent.

Get your card out BEFORE you approach the ATM. You'll be

more vulnerable to attack if you're standing in front of the ATM,fumbling through your wallet for your card.

Stand directly in front of the ATM keypad when typing in yourPIN. This prevents anyone waiting to use the machine from seeing

your personal information.

After your transaction, take your receipt, card and money away.Do not stand in front of the machine and count your money.

If you are using a drive-up ATM, get your vehicle as close to themachine as possible to prevent anyone from coming up to yourwindow. Also make sure that your doors are locked before youdrive up to the machine.


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If someone or something makes youuncomfortable, cancel your transaction and leave themachine immediately.

Follow up with your bank to make sure thetransaction was cancelled and alert the bank to anysuspicious people.

For safety reasons, ATM users should seek out amachine that is located in a well-lighted public

place.

The entry of your four-digit personal identification

number (PIN) on the keypad should still be obscuredfrom observation, which can be done by positioning

your hand and body in such a way that the PIN

entry cannot be recorded by store cameras or store

employees.


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Fraud Attempts

There have also been a number of incidents of fraud by Man-

in-the-middle attacks, where criminals have attached fake

keypads or card readers to existing machines. These have then

been used to record customers' PINs and bank card information

in order to gain unauthorized access to their accounts.

For a low-tech form of fraud, the easiest is to simply steal a

customer's card. A later variant of this approach is to trap thecard inside of the ATM's card reader with a device often referred

to as a Lebanese loop. When the customer gets frustrated by not

getting the card back and walks away from the machine, the

criminal is able to remove the card and withdraw cash from the

customer's account.

Another simple form of fraud involves attempting to get the

customer's bank to issue a new card and stealing it from their

mail.
http://en.wikipedia.org/wiki/Man-in-the-middle_attackhttp://en.wikipedia.org/wiki/Man-in-the-middle_attackhttp://en.wikipedia.org/wiki/Lebanese_loophttp://en.wikipedia.org/wiki/Lebanese_loophttp://en.wikipedia.org/wiki/Man-in-the-middle_attackhttp://en.wikipedia.org/wiki/Man-in-the-middle_attackhttp://en.wikipedia.org/wiki/Man-in-the-middle_attackhttp://en.wikipedia.org/wiki/Man-in-the-middle_attackhttp://en.wikipedia.org/wiki/Man-in-the-middle_attackhttp://en.wikipedia.org/wiki/Man-in-the-middle_attackhttp://en.wikipedia.org/wiki/Man-in-the-middle_attack


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ATM ADVANTAGES and DISADVANTAGES

If you have ever faced an unexpected need for cash, then you

have probably accessed an ATM machine. These machines arefound in many retail locations from gas stations to restaurants to

grocery stores. Are there any advantages to using an ATM, or

would you be better off carrying your own cash to make your

purchases?

The main advantage of using an ATM is the fact that you can

have access to the cash in your bank account whenever you

need it. If, for instance, you are at a store that does not take

checks or credit cards but it has an ATM, you can withdraw themoney for your purchase. This also means you can travel

anywhere without cash. If the location has an ATM and you have

your ATM card, you can access your money instantly.


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Advantages

1. ATM provides 24 hours service

2. ATM gives convenience to bank customers

3. ATM reduces the workload of bank staff

4. ATM is beneficial to travelers

5. ATM provides services without any error

6. ATM may give customers new currency notes

7. ATM provides privacy in banking transactions

Disadvantages

1. Not available in remote areas2. Can not avoid illegal use in case of stolen card

3. If some one watches or hacks an ATM Mechiine your details

may be taken


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Alternative uses

ATMs include many functions which are not directly

related to the management of one's own bank account, such

as:Deposit currency recognition, acceptance, and recycling

Paying routine bills, fees, and taxes (utilities, phone bills, social

security, legal fees, taxes, etc.)

Printing bank statements

Updating passbooks

Loading monetary value into stored value cards

Purchasing

Postage stamps.

Lottery ticketsTrain tickets

Concert tickets

Movie tickets

Shopping mallgift certificates.

USAGE OF ATUTOMATIC TELLER MACHINE
http://en.wikipedia.org/wiki/Bank_statementhttp://en.wikipedia.org/wiki/Passbookhttp://en.wikipedia.org/wiki/Stored_value_cardhttp://en.wikipedia.org/wiki/Postage_stamphttp://en.wikipedia.org/wiki/Lotteryhttp://en.wikipedia.org/wiki/Public_transporthttp://en.wikipedia.org/wiki/Shopping_mallhttp://en.wikipedia.org/wiki/Gift_certificatehttp://en.wikipedia.org/wiki/Gift_certificatehttp://en.wikipedia.org/wiki/Shopping_mallhttp://en.wikipedia.org/wiki/Public_transporthttp://en.wikipedia.org/wiki/Lotteryhttp://en.wikipedia.org/wiki/Postage_stamphttp://en.wikipedia.org/wiki/Stored_value_cardhttp://en.wikipedia.org/wiki/Passbookhttp://en.wikipedia.org/wiki/Bank_statement


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USAGE OF ATUTOMATIC TELLER MACHINE

Education Qualification

Profession

Name of the Bank

Period of Holding

Frequency of usage

Nature of Usage

PIN number

Effect of usage

Complaints

Overall Satisfaction


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EducationQualification

Number ofcustomers

Percentage

Graduates and

above36 55

Up to Intermediate 28 43

Literate 0 0

Illeterate 1 2

TOTAL: 65 100

Education Qualification


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PROFESSION No of customers Percentage

Business 17 25

Employee 24 38

Student 10 15

HouseWife 2 03

Others 12 18

Total 65 100

Profession


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Name of thebank

No. ofcustomers Percentage

SBI22 34

SBH 20 31

ANDRABANK17 26

ICICI4 06

AXIS BANK2 03

Total 65 100

Name of the Bank


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PERIOD OF HOLDING No. of customers %

Just taken(3 months) 1 2

3 to 1 year 8 12

1 to 3 years 11 17

Above 3 years 45

69Total 65 100

Period of Holding


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Frequency of usage No. of customers

Every day 10

Once in a Week 15

Once in month 26

Very rarely 14

Total 65

Frequency of usage


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NATURE OF USAGENo of

customers%

For withdrawal 62 95

for Balance enquiry 2 3

For mini statement 0 0

For cash Deposits 1 2

Any other transation 0 0Total 65 100

Nature of Usage


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PINNUMBERNo of

customers%

Record in a book 18 28

Reveal to family members 5 08

Reveal to friends 1 02

Just remember 34 51

Change frequently 7 11

Total 65 100

PIN number


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EFFECT OF USAGENo. of

customers%

Saves Time 33 51

Instant withdrawal 15 23

Avoid s to visit bank 13 20

withdrawals any where 4 06

Total 65 100

Effect of usage


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COMPLAINTSNo of

customers %

Out of order very

frequently32 49

Unable to Processfrequently

12 18

Charged heavily 5 08

Other bank ATMs do not

respond 16 25

Total 65 100

Complaints


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Overall satisfactionNo. of

customers%

Convenient for cash withdrawal 33 51

Convenient for Balance Enquiry 2 03

Avoids risk of carrying cash 22 34

Helps for sudden shopping 8 12

Total 65 100

Overall Satisfaction

SUMMARY AND CONCLUSIONS


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SUMMARY AND CONCLUSIONSThe analysis of the data collected reveals the following conclusions

in respect of ATM customers and its usage

1. Literacy plays an important role in usage of ATM. Hence

analysis is made on the basis of educational qualification of thecustomers.

2. Profession influences the usage of technology by the customers.

Therefore an analysis of the profession composition of the ATM

users is also made to draw a conclusion in this respect the table 2indicates that majority of the card users are from employees class

who use it for the purpose of drawing their salaries credited on line

by the employer. Next in the order are business people who use for

their regular receipts and payments.

3. The analysis reveals that majority i.e. 34% of the customers are

from SBI and next in the order is that of SBH, total forming nearly

65% of the customers with State Bank group. So it appears that

State Bank group is able to attract more customers towards usage

of ATM cards.


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4. Majority of the cardholders possess the cards since 3 years or

more. As the town selected for study happens to be a district

headquarter, awareness about ATM technology was in advance.

5. It indicates that nearly 40 per cent of the card holders use the

facility once in a month. On the basis of the above it can be

concluded that majority of them are salary holders who might be using

it for drawing the salaries credited once in a month.

6. It indicates that most of the customers use it for withdrawal of cash.Hence it can be concluded that awareness about multiple uses of

ATM card is yet to be achieved

7. Personal Identification Number (PIN) is the most important code to

be used for transacting through ATM. It is such a number which

should not be revealed and which should be periodically changed forthe purpose of security. Hence an analysis is made through this study

to know how the cardholder protect this number.


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8. Majority of the customers expressed satisfaction with regard tothe saving of time as an usage of ATM. Instant availability during

emergency requirements is the next utility of ATM as second rankgoes to Instant withdrawal.

9. A very common and frequent complaint about ATM s by the

customers is Out of Order and it occurs very frequently. Hence

the authorities have to concentrate on making the ATMs work

without such frequent interruption.

10. These figures reveal that ATMs are satisfactory in two

respects, one of which is with regard to convenience in

withdrawal of cash and the other is it avoids the risk of carrying

cash in big amounts.


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http://en.wikipedia.org/wiki/File:Worn_ATM.jpg

atm group project

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