ATM Full Form | What is the Full Form of ATM

ATM Full Form: ATM is an abbreviation for “Automated Teller Machine“. Automated Teller Machine (ATM) is the full name of this device. An automated teller machine (ATM) is an electronic device that allows you to make financial transactions from your bank account. These machines are used to withdraw cash from individual bank accounts.

What is the full name of the ATM system?

You will find the answers to the following ATM-related questions in this section: what is the full form of ATM, what ATM stands for, what is the meaning of ATM, how ATM works, and what does ATM.

Because these machines are automatic, there is no need for a human cashier to complete the transaction, making the banking process a lot more convenient.

There are two types of ATM machines: one with basic functions that allow you to withdraw cash and another with more advanced functions that allows you to deposit cash.

ATM Components at a Basic Level

The ATM is a user-friendly piece of machine. It is equipped with various input and output devices that allow people to withdraw or deposit money efficiently.

The following are the most fundamental input and output devices of an ATM:

Devices for entering data-

Card Reader-

This input device reads the data from the card stored in the magnetic strip on the back of the ATM card and displays it on the screen. When a card is swiped or inserted into the designated space, the card reader captures the account information and sends it to the server for processing. The cash dispenser can disburse cash based on the account information and the commands received from the user server, respectively.


The keypad assists the user in providing the information requested by the machine, such as a personal identification number, the amount of cash, whether a receipt is required, and so on. The PIN is sent to the server in an encrypted form, which protects the information.

Devices for generating output:


When a key is pressed, the ATM’s speaker produces audio feedback, which the user hears.


The transaction-related information is displayed on the screen through the use of the display screen. It walks you through the steps of cash withdrawal one by one and in chronological order. Depending on the model, it could be a CRT or an LCD screen.

Receipt Printer-

This device prints out a receipt with the details of your transactions on it for you to keep. It provides you with information such as the date and time of the transaction, the amount of the withdrawal, your balance, and so on.

Cash Dispenser-

The Cash Dispenser is the main output device of the ATM, as it is responsible for dispensing the cash. The high-precision sensors built into the ATM allow the cash dispenser to dispense the exact amount of cash that the user has required.

The Operation of an ATM

You must insert plastic ATM cards into the ATMs for them to function properly. In addition, some machines require you to drop your cards, whereas other machines allow you to swap cards between them.

These ATM cards, which have a magnetic strip on the back, contain your account information as well as additional security information. When you drop or swap your card, the machine reads your account information and prompts you to enter your PIN number (if applicable). Following successful authentication, the machine will allow for financial transactions to take place.

What is the function of an ATM?

These days, in addition to their primary function of dispensing cash, ATMs can perform various other tasks. Some of them are as follows:

  • Deposits made in cash and by check Fund transfers
  • Withdrawal of cash and inquiry into account balance
  • Change of PIN and creation of a mini statement
  • Paying bills and recharging mobile phones, among other things.

Keep in mind that the PIN is a four-digit security number provided by the bank when you receive your ATM card. You can change the PIN at any time, and you can do so according to your preferences.

Facts About ATMs Those are Important or Interesting

Chemical bank in New York (USA) was the first to use an automated teller machine (ATM) to disburse cash.

John Shepherd Barron is credited with inventing the automated teller machine.

John Shepherd Barron had originally planned to keep a 6-digit PIN for the ATM, but he realized that his wife would have difficulty remembering a 6-digit PIN, so he decided to prepare a 4-digit ATP PIN.

The State Bank of India distinguishes having the world’s first floating ATM (Kerala).

The first automated teller machine (ATM) in India was installed in 1987 by HSBC (Hong Kong and Shanghai Banking Corporation).

Barclays Bank of London installed the first automated teller machine (ATM) globally on June 27, 1967.

The first person to use an ATM was the well-known comedian Reg Varney, the first person to withdraw cash from an ATM.

The ATM with the highest capacity in the world is installed in Nathu-La and is primarily used by army personnel. Union Bank of India operates the facility located at an elevation of 14,300 feet above sea level.

ATM withdrawals without a bank account are possible in Romania, a European country, where one can withdraw money from an ATM without having a bank account.

Biometric ATMs are widely available in Brazil. Before withdrawing money from these ATMs, the user must scan his or her fingers, as the name implies.