ATMs and Smart cards

By Jemy jose
Mgt 0905420
IMK KOLLAM
introduction
 Technology has opened up new markets, new
products, new services and efficient delivery
channels for the banking industry
ATM and SMART card are two of the retail
financial services
These services are the application of computer
and telecommunication technology in making the
process easier for common man
Background….
The introduction of the first automated teller
machine (ATM) in the mid-1960s.
This powerful and convenient machine is
invented by Don Wetzel a worker for the
Docutel Company in Dallas, Texas in 1960s
The ATM was able to handle account transfers,
accept deposits, and dispense cash using a
standard magnetic stripe card and personal
identification number (PIN).
Automatic teller machine(ATM)?
Automatic teller machine (ATM)or
automatic banking machine (ABM) is a
computerised automated
telecommunications device that provides
the clients of a financial institution with
access to financial transactions in a public
space without the need for a cashier, human
clerk or bank teller
ATMs are a source of easily accessible cash
It is an easy, convenient way to access your
account from almost anywhere
The customer can have it money transaction
24/7
The customers can access their
bankaccounts in order to make 
cashwithdrawals and check their account
In ATMs, the customer identifies him or herself by inserting a
plastic card with a magnetic stripe
An ATM card also known as a bank card, client card, key card or
cash card
It is a card issued by a bank that can be used at an ATM for
deposits, withdrawals, account information, and other types of
transactions, often through interbank networks
Many ATMs also allow people to deposit cash , transfer money
between their bank accounts, pay bills, or purchase goods and
services
Other types of transactions through telephone or online banking may
be performed with an ATM card . This includes account balance
inquiries , electronic bill payments  or in some cases, online
purchases
How to Use ATM?
Insert your ATM Card into the machine.
Select a language.
Enter your PIN (Personal Identification Number), then press Enter.
Select a transaction.
Deposit money. If you want to deposit (put in) money:
Enter the amount you will deposit. Confirm the amount.
Insert the envelope into the deposit slot when the machine opens it. Note
that some ATMs will not allow you to deposit money. In this case, you need
to find one at a branch.
Withdraw money. If you want to withdraw (take out) money, select or enter
the amount to withdraw
Choose whether to do an additional transaction.
Choose whether you want a receipt, select Yes or No.
Wait while the system processes your transaction(s).
When the machine beeps at you, take your card, cash, and receipts
Why smart card?
The driving factors of the growing interest in smart
cards include
 the declining cost of smart cards
 The storage capacity of ATM card is less
 the growing concern that magnetic stripe cards can
not provide the protections necessary to thwart
fraud and security breaches.
This security issue alone may propel smart card
technology to the forefront of business transactions
Smart Card?
A smart card, chip card, or integrated circuit
card (ICC), is any pocket-sized card with
embedded integrated circuits chips
Microprocessor cards can store information, carry
out local processing on the data stored, and
perform complex calculations.
These cards take the form of either “contact”
cards which require a card reader or “contactless”
cards which use radio frequency signals to operate
It can enable customers make purchases on the
Internet
to work from home or while on the road with
the aid of lap-top computers
access home entertainment via set-top boxes.
Each smart card has an integrated circuit chip
embedded into it, which gives it the power to
perform many different functions.
Financial application
Some of the most common smart card
applications today include:
*Credit.
*Debit.
*Electronic cash.
*Electronic ticketing.
*Secure identification.
*Driver's licence.
*Health record.
Information Security
• Employee access card with secured passwords and the potential to
employ biometrics to protect access to computer systems.
Transportation
• Drivers Licenses.
• Mass Transit Fare Collection Systems.
• Electronic Toll Collection Systems.

University Identification
• All-purpose student ID card, containing a variety of applications such as
electronic purse (for vending and laundry machines), library card, and
meal card.
.

Communications Applications
• The secure initiation of calls and identification of caller (for billing purposes)
on any Global System for Mobile Communications (GSM) phone.
•Government Programs
• Electronic Benefits Transfer using smart cards to carry Food Stamp and WIC
food benefits in lieu of paper coupons and vouchers.
• Agricultural producer smart marketing card to track quotas.
Thank You