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Introduction 1 Atm for hg22

Automated Teller Machines (ATMs) have gained
prominence as a delivery channel for banking
transactions in India. Banks have been deploying
ATMs to increase their reach. As at the end of
December 2007, the number of ATMs deployed in
India was 32,342.

From first day of April 2009, entire ATM network
is now available to customers from any bank for
transactions for no fee at all, irrespective of the
banks in which they have their accounts, Now
Customers will not be levied any fee on cash
withdrawals using ATM and debit cards issued by
other banks. This will in turn increase usage of
ATMs in India.

More people are now moving towards using the
automated teller machines (ATM) for their banking
needs. According to a survey by Banknet India, 95%
people now prefer this modern channel to
traditional mode of banking. Almost 60% people use
an ATM at least once a week.

Increased ATM usage is also helped by the fact that
customers have now the flexibility of using ATMs of
other banks, as most of the banks are part of major

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interbank networks like National Financial Switch
(NFS), Mitr, BANCS, Cashtree and Cashnet. The
interbank networks have brought together ATMs of
several banks so that consumers would gain access
to any of the participating banks ATMs. Banks find
it cheaper to pay membership fees to these networks
as against setting up additional units in expensive-
to-deploy areas.

ATMs are now seen to be more than mere cash
dispensing machines. Customers use ATMs to
recharge their mobile phone pre-paid connections,
pay their utility bills, even mutual fund
transactions making them at par with flexibility
given in internet banking only more secure.
Though the concentration of ATMs is greater in
metros, the demand is increasing for other cities
and even rural areas. ATM's per million people
approximately is 33 units is very low. Experts
forecast that the growth rate (CAGR) is expected to
grow 18 percent up by 2013. Banks going into a self
service model can have huge saving potential for
banks and may also increase the convenience for
the customers.
Many ATM vendors have devised specialised
machines, embedded with biometric devices for
authentication. Catering to the rural population,
these machines have enabled them to interact with

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the machine in their local language and on a
graphical user interface. The rural customer has
seemed to accept this new medium. This has the
potential to further widen the scope of ATM usage
in the interior parts of the country.

History

The first Automated Teller Machine (ATM) was
introduced in the year 1967 by Barclays Bank in
Enfield Town in North London. At that time a few
would have anticipated excess in ATMs. Then for
many years after, the aim was to shift people off the
teller lines thus lowering a banks distribution costs
and increase efficiency. But in the 1980s, it was
noticed that people continued to visit branches,
though not as frequently, so that with the added
costs of ATMs, overall distribution costs were
actually rising.
Then, in the mid-1990s, came surcharges, which
fuelled the proliferation of off-premises ATMs,
which led in turn to the current overcapacity.
There was a slowdown in ATM transactions,
partially because of the consumers reaction to the
imposition of surcharges. Also by the advent of
surcharging there was a massive growth in the
number of ATMs as it offered ATM owners

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revenues making it economical to install ATMs
where they might not have been placed otherwise.

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 the
host 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.

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Leased-line ATMs are preferred for very high-volume
locations because of their thru-put capability, and
dial-up ATMs are preferred for retail merchant
locations where cost is a greater factor than thru-put.
The initial cost for a dial-up machine is less than half
that for a leased-line machine. The monthly operating
costs for dial-up are only a fraction of the costs for
leased-line.
The host processor may be owned by a bank or
financial institution, or it may be owned by an
independent service provider. Bank-owned processors
normally support only bank-owned machines, whereas
the independent processors support merchant-owned
machines.
Use of ATMs
Cash Withdrawal and Balance Enquiry

In spite of a number of innovative services being
made available at many ATMs, cash withdrawal
stills remains the most accessed service at ATMs.
However, the migration of routine bank
transactions like cash withdrawals and balance
enquiries from teller counters to ATMs significantly
raises the potential for savings in employee costs
and greater employee focus on value-added
revenue-enhancing activities such as selling other
financial products and advisory services to
customers.

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Cash /Cheque Deposit

Again, due to the strong cash culture in India, cash
deposits are most likely higher than in other
markets, especially cash deposits made by
commercial customers such as retail shopkeepers
and those whose work involves substantial
travelling. A high cash withdrawal rate results in
higher ATM servicing costs due to frequent cash
replenishment requirements. Recent developments
in ATM technology have made it possible to recycle
cash in ATMs. Currency notes received as cash
deposits are counted; soiled notes separated and
deposited cash dispensed to fulfill withdrawal
transactions. However, regulatory concerns
relating to identification of counterfeit notes and its
depositors need to be addressed first.

ATM with Cheque deposit facility is not picking up
in India, like other countries. One of the reasons is
the delay in collection of the cheque deposited in
ATMs. Cheque deposited in ATMs is to be collected
and deposited in the designated branch for
collection. Another reason is the introduction of
cheque deposit Kiosks by various Banks especially
Private sector ones. These are kept at each some
important locations/branches where customers can

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deposit there cheques which are collected at
intervals which may be difficult in ATMs.

Bill Payments

Most utilities have inadequate infrastructure for
receiving bill payments resulting in long queues at
collection centers. Hence, bill payment at ATMs has
achieved noticeable acceptance by bank customers.
Most banks provide this service through bi-lateral
arrangements with bill-payment service providers.
ATM users register their water, electricity and
telephone utility accounts with banks, check their
dues at ATMs, approve bill payments that are
debited to their bank accounts and receive printed
receipts for the transactions. This service has the
effect of improving customer satisfaction for both
the bank as well as the bill-payment service
providers. Some Banks ATMs even accept
charitable contributions to Temples.

Sale of Paper Based Products

ATMs are ideally suited to sell paper-based
products and services such as tickets, wireless phone
recharge cards, financial products, etc. The screen
interface allows browsing and customization, access

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to bank accounts facilitate payments and printing
capabilities produce the actual product/service.

A number of banks including ICICI Bank, SBI and
PNB have ATMs at Mumbais local railway
stations to dispense season tickets to commuters.
Own-bank customers pay no extra charge while
other bank customers pay a fee of Rs. 50 for this
extremely useful service of anytime ticket purchase.
Railway season tickets represent a high-volume
mass-appeal product. As technical standards get
established and product/service sellers become
aware of the ATM sales channel, niche-appeal high-
margin products like entertainment tickets will join
the fray.

Parts of the Machine

You're probably one of the millions who has used an
ATM. As you know, an ATM has two input devices:
Card reader - The card reader captures the
account information stored on the magnetic
stripe on the back of an ATM/debit or credit
card. The host processor uses this information to
route the transaction to the cardholder's bank.
Keypad - The keypad lets the cardholder tell the
bank what kind of transaction is required (cash
withdrawal, balance inquiry, etc.) and for what

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amount. Also, the bank requires the cardholder's
personal identification number (PIN) for
verification. Federal law requires that the PIN
block be sent to the host processor
in encrypted form.


And an ATM has four output devices:
Speaker - The speaker provides the cardholder
with auditory feedback when a key is pressed.
Display screen - The display screen prompts the
cardholder through each step of the transaction
process. Leased-line machines commonly use a
monochrome or color CRT(cathode ray tube)
display. Dial-up machines commonly use a
monochrome or color LCD.

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Receipt printer - The receipt printer provides
the cardholder with a paper receipt of the
transaction.
Cash dispenser - The heart of an ATM is the safe
and cash-dispensing mechanism. The entire
bottom portion of most small ATMs is a safe that
contains the cash.

Sensing Bills

The cash-dispensing mechanism has an electric
eye that counts each bill as it exits the dispenser. The
bill count and all of the information pertaining to a
particular transaction is recorded in a journal. The
journal information is printed out periodically and a
hard copy is maintained by the machine owner for
two years. Whenever a cardholder has a dispute about
a transaction, he or she can ask for a journal printout
showing the transaction, and then contact the host
processor. If no one is available to provide the journal
printout, the cardholder needs to notify the bank or
institution that issued the card and fill out a form that
will be faxed to the host processor. It is the host
processor's responsibility to resolve the dispute.
Besides the electric eye that counts each bill, the cash-
dispensing mechanism also has a sensor that evaluates
the thickness of each bill. If two bills are stuck
together, then instead of being dispensed to the

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cardholder they are diverted to a reject bin. The same
thing happens with a bill that is excessively worn,
torn, or folded.

The number of reject bills is also recorded so that the
machine owner can be aware of the quality of bills
that are being loaded into the machine. A high reject
rate would indicate a problem with the bills or with
the dispenser mechanism.

Settlement Funds

When a cardholder wants to do an ATM transaction,
he or she provides the necessary information by means
of the card reader and keypad. The ATM forwards
this information to the host processor, which routes
the transaction request to the cardholder's bank or the

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institution that issued the card. If the cardholder is
requesting cash, the host processor causes an electronic
funds transfer to take place from the customer's bank
account to the host processor's account. Once the funds
are transferred to the host processor's bank account,
the processor sends an approval code to the ATM
authorizing the machine to dispense the cash. The
processor then ACHs the cardholder's funds into the
merchant's bank account, usually the next bank
business day. In this way, the merchant
is reimbursed for all funds dispensed by the ATM.

An independent ATM host can access any
bank. It also supports a large number of
ATMs placed with different merchants.

So when you request cash, the money moves
electronically from your account to the host's account
to the merchant's account.

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ATM Security

ATMs keep your personal identification number (PIN)
and other information safe by
using encryptionsoftware such as Triple DES (Data
Encryption Standard). But there are lots of things that
you can do to protect your information and your
money at an ATM.
Many banks recommend that you select your
own PIN. Visa offers the following PIN tips:
Don't write down your PIN. If you must write it
down, do not store it in your wallet or purse.
Make your PIN a series of letters or numbers
that you can easily remember, but that cannot
easily be associated with you personally.
Avoid using birth dates, initials, house numbers
or your phone number.
Visa also recommends the following tips for safe ATM
usage:
Store your ATM card in your purse or wallet, in
an area where it won'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 your PIN. This prevents anyone

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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 the machine as possible to
prevent anyone from coming up to your
window. Also make sure that your doors are
locked before you drive up to the machine.
Do not leave your car running while using a
walk-up ATM. Take your keys with you and lock
the doors before your transaction.
If someone or something makes you
uncomfortable, cancel your transaction and
leave the machine immediately. Follow up with
your bank to make sure the transaction was
cancelled and alert the bank to any suspicious
people.
Many retail merchants close their store at night. It is
strongly recommended that they pull the money out of
the machine when they close, just like they do with
their cash registers, and leave the door to the security
compartment wide open like they do with an empty
cash-register drawer. This makes it obvious to any
would-be thief that this is not payday.

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It's important to use a well-lit,
public ATM machine at night.

For safety reasons, ATM users should seek out a
machine that is located in a well-lighted public place.
Federal law requires that only the last four digits of
the cardholder's account number be printed on the
transaction receipt so that when a receipt is left at the
machine location, the account number is secure.
However, the entry of your four-digit personal
identification number (PIN) on the keypad should still
be obscured from 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. The cardholder's PIN is not recorded
in the journal, but the account number is. If you
protect your PIN, you protect your account.

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Your ATM PIN should be a
number that you can easily
remember, but that would not be
readily available to thieves.

WHEN A THIEF FORCES YOU TO TAKE MONEY FROM THE ATM,
DO NOT ARGUE OR RESIST,
YOU MIGHT NOT KNOW WHAT HE OR SHE MIGHT DO TO YOU.
WHAT YOU SHOULD DO IS TO PUNCH YOUR PIN IN THE REVERSE,
I..E IF YOUR PIN IS 1254, YOU PUNCH 4521.
THE MOMENT YOU PUNCH IN THE REVERSE, THE MONEY WILL
COME OUT BUT WILL BE
STUCK INTO THE MACHINE HALF WAY OUT AND IT WILL ALERT
THE POLICE WITHOUT THE NOTICE OF THE THIEF.
EVERY ATM HAS IT; IT IS SPECIALLY MADE TO SIGNIFY DANGER
AND HELP. NOT EVERYONE IS AWARE OF THIS.


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FRAUD

As with any device containing objects of value, ATMs
and the systems they depend on to function are the
targets of fraud. Fraud against ATMs and people's
attempts to use them takes several forms.
The first known instance of a fake ATM was installed
at a shopping mall in Manchester, Connecticut in 1993.
By modifying the inner workings of a Fujitsu model
7020 ATM, a criminal gang known as The Bucklands
Boys were able to steal information from cards
inserted into the machine by customers.
In some cases, bank fraud could occur at ATMs
whereby the bank accidentally stocks the ATM with
bills in the wrong denomination, therefore giving the
customer more money than should be dispensed.The
result of receiving too much money may be influenced
on the card holder agreement in place between the
customer and the bank.
In a variation of this, WAVY-TV reported an incident
in Virginia Beach of September 2006 where a hacker
who had probably obtained a factory-default admin
password for a gas station's white label ATM caused
the unit to assume it was loaded with $5 USD bills
instead of $20s, enabling himselfand many
subsequent customersto walk away with four times
the money they said they wanted to withdraw.This

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type of scam was featured on the TV series The Real
Hustle.
ATM behavior can change during what is called
"stand-in" time, where the bank's cash dispensing
network is unable to access databases that contain
account information (possibly for database
maintenance). In order to give customers access to
cash, customers may be allowed to withdraw cash up
to a certain amount that may be less than their usual
daily withdrawal limit, but may still exceed the
amount of available money in their account, which
could result in fraud.

Related devices

A Talking ATM is a type of ATM that provides
audible instructions so that persons who cannot read
an ATM screen can independently use the machine.
All audible information is delivered privately through
a standard headphone jack on the face of the machine.
Alternatively, some banks such as the Nordea and
Swedbank use a built-in external speaker which may
be invoked by pressing the talk button on the keypad.
Information is delivered to the customer either
through pre-recorded sound files or via text-to-speech
speech synthesis.

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A postal interactive kiosk may also share many of the
same components as an ATM (including a vault), but
only dispenses items relating to postage.
A scrip cash dispenser may share many of the same
components as an ATM, but lacks the ability to
dispense physical cash and consequently requires no
vault. Instead, the customer requests a withdrawal
transaction from the machine, which prints a receipt.
The customer then takes this receipt to a nearby sales
clerk, who then exchanges it for cash from the till.
A Teller Assist Unit may also share many of the same
components as an ATM (including a vault), but they
are distinct in that they are designed to be operated
solely by trained personnel and not the general public,
they do not integrate directly into interbank
networks, and are usually controlled by a computer
that is not directly integrated into the overall
construction of the unit.

FAQS FOR ATM

Q.1. What is an Automated Teller Machine (ATM)?
Ans. 1. Automated Teller Machine is a computerised
machine that provides the customers of banks the
facility of accessing their accounts for dispensing cash
and to carry out other financial transactions without
the need of actually visiting a bank branch.


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Q. 2. What type of cards can be used at an ATM?
Ans. 2. The ATM cards/debit cards, credit cards and
prepaid cards(that permit cashwhdrawal) can be used
at ATMs for various transactions.

Q. 3. What are the services/facilities available at
ATMs?
Ans. 3. In addition to cash dispensing ATMs may have
many services/facilities such as:
Account information
Cash Deposit
Regular bills payment
Purchase of Re-load Vouchers for Mobiles
Mini/Short Statement
Loan account enquiry etc.
The services offered may vary from bank to bank, or
may depend on the capacity of the machine to provide
such services.Union Bank ATM offers the following
services:
Union Bank customers: Cash dispensing, Balance
enquiry, Account Information, mobile top-up,PIN
Change, Mini statement, Balance transfer within
linked accounts, Registration for UMOBILE services
Other Bank customers: Cash dispensing, Balance
enquiry



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Q.4. How can one transact at an ATM?
Ans. 4. For transacting at an ATM, the customer
insert (swipe) their card in the ATM and enter their
Personal Identification Number (PIN).

Q.5. Is there any Fee for the issuance of Union Bank
Debit card ?
ANS.5.The Union Bank Debit card is available free of
cost.

Q 6. Is there any fee for renewal of cards?
ANS.6. From the second year a nominal fee of Rs. 100
plus service tax is levied. This charge is also waived if
the average balance maintained by the customer is
Rs.5000.

Q.7.Who can apply for Union bank Debit card ?
ANS.7. Any major customer who is already having a
Savings Bank or Current Account with us can apply
for Union Bank Debit cards. The request has to be
made at home branch of the customer.

Q.8. Can these cards be used at any bank ATM in the
country?
Ans. 8. Yes. The cards issued by banks in India should
be enabled for use at any bank ATM within India.



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Q. 9. Do banks levy any service charge for use of other
bank ATMs?
Ans.9. No charges are payable for using other banks'
ATM for cash withdrawal and balance enquiry, as
RBI has made it free under its "Free ATM access
policy" since April 01, 2009. But banks can restrict the
number of such free transactions to a maximum of
five per month. For transactions beyond this
minimum number of transaction, banks charge
maximum of Rs 20/- per transaction. In Union Bank
ATMs, for other than SB account cardholders of other
Banks, no such free transactions are available.

Q.10. What is a Personal Identification Number (PIN)?
Ans 10. PIN is the numeric password for use at the
ATM. The PIN is separately mailed/handed over to
the customer by the bank while issuing the card. This
PIN has to be reset to a new PIN by the customer.
Most banks force the customers to change the PIN on
the first use. The PIN number should not be written
the card, card holder etc as in such cases the card can
be misused if card is lost/stolen. The ATM will allow
only 3 wrong PIN attempts in a day. Thereafter the
cards get blocked for the day.




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Q .11. How is the secrecy of PIN maintained?
Ans..11. If at any time customer feels that the PIN has
been inadvertently or otherwise divulged to any one
he should change the same immediately.

Q 12. How often can PIN be changed?
Ans. 12: PIN can be changed as often as required. This
is to maintain secrecy and prevent any misuse of the
ATM card. Just enter and re-enter your new PIN
numbers ( 4 digits) and try to remember your new
PIN.

Q. 13. What should one do if he forgets PIN or the card
is sucked in by the ATM?
Ans. 13: The customer may contact the card issuing
bank branch and apply for retrieval/issuance of a
new card. This procedure is applicable even if the card
is sucked in at another bank's ATM.
If the customer forgets his PIN, he can apply for a
new PIN through his branch / Union Bank Call
center. PIN will be mailed to the branch from where
customer can collect the same.

Q. 14. What should be done if the card is lost/stolen?
Ans. 14: The customer may contact the card issuing
bank immediately on noticing the loss so as to enable
the bank to block such cards. Union Bank has a call
center functioning on 24X7 basis, which can be

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accessed through 1800 22 22 44 (toll free) for blocking
the cards.

Q 15. If lost card is subsequently found/traced and
restored to cardholder, can it be reactivated?
ANS.15.A card once hot listed cannot be re-activated.

Q 16. Does Bank bears any liability for unauthorized
use of the Card?
Ans. 16. No. The responsibility is solely with the
cardholder. Bank does not take any responsibility for
unauthorized usage of ATM card. The card holder is
supposed to keep his card and PIN securely.

Q. 17. What if I have a Problem while transacting
through ATM ?
ANS.17. In case your card gets jammed in Union Bank
ATM, please collect it from the Branch the next day.
If it is jammed in other Banks ATM, the card will not
be returned and will be destroyed by them. Hence, you
have to block the card in Union Bank and get a new
card.

In case your card gets damaged, return it to your
Branch and request for a new one.

Suppose you forget your PIN then please contact your
branch / Call centre and a new PIN will be mailed to

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you.

In case your card is lost or stolen, please notify the
Branch from where you obtained the card / Call
center. Report the loss to the police and obtain a copy
of the FIR lodged with the police station. Inform the
Branch in writing along with a copy of FIR. Please
note that any financial loss arising out of
unauthorized use of the card till such time the Bank
records the notice of loss of card will be to the Card
Holders account. Fresh card will be issued in
replacement of lost / damaged card at a fee.

Always remember to get back your card from the
ATM / POS after transactions are completed.

Q 18. Why do I see a debit and also a credit in my
account when transactions have failed?
Ans. 18.At times it may so happen that the request for
withdrawal made by a cardholders gets posted in his
account but the ATM for some hardware
faults/transmission delays is unable to dispense cash.
In such occasions the amount debited is reversed by
way of a credit to cardholders account.




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Q 19. What to do if you are getting the message on the
ATM "INVALID CARD"?
Ans. 19.There could be a track problem with the card.
First, the customer should try a transaction in some
other ATM on Union Bank Network, and if he is
getting the same message, the card has to be replaced.

Q. 20. What should be done in case during the cash
withdrawal process, cash is not disbursed by the
account gets debited for the amount?
Ans.20. The customer may lodge a complaint with the
card issuing bank. This process is applicable even if the
transaction was carried out at another banks ATM.

Q.21. How many days maximum would the bank
require to re-credit the account for such wrong debits?
Ans.21. As per the RBI instructions, banks may re-
credit such wrongly debited amounts within a
maximum period of 12 working days.

Q.22. Are the customers eligible for compensation for
delays beyond 12 working days?
Ans.22. Yes. Effective from July 17, 2009, banks shall
have to pay customers Rs 100/- per day for delays
beyond 12 working days. This shall have to be credited
to the account of the customer without any claim
being made by the customer.


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Q.23. In case the compensation is not credited as
mandated, what recourse does the customer have?
Ans. 23. For all such complaints customer may lodge a
complaint with the local Banking Ombudsman if the
bank does not respond.

Q 24. Can a fresh Debit card is issued in lieu of
lost/damaged card?
ANS.24.Yes, New Replacement Debit cards can be
issued at a fee upon the recommendation of the
respective branch manager.

Q 25. What is the validity of Union Bank International
debit card?
ANS.25.Union Bank debit cards have a five-year
expiry period from the month of issue.

Q 26. What is Fast Cash?
Ans. 26.It is withdrawal of cash for pre-determined
amounts. At present Rs. 500/=, Rs. 1000/= Rs.3000/=,
Rs. 5000/= can be withdrawn through a card under
fast cash option. The Customer has to just select the
desired amount and he gets the cash dispensed.

Q 27. What is Cash Withdrawal?
Ans. 27.Under this option the Cardholder has to enter
the amount he wants to withdraw, which has to be in
multiple of Rs. 100.00.

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Q. 28. Is there any minimum and maximum cash
withdrawal limit per day?
Ans. 28. Yes, banks set limit for cash withdrawal by
customers. The cash withdrawal limit for use at the
ATM of the issuing bank is set by the bank during the
issuance of the card. This limit is displayed at the
respective ATM locations. In case of Union Bank
Debit card daily Cash withdrawal limit Rs. 25,000/-.
Daily POS (merchant) purchase limit is Rs.25000/-
Total limit per day is Rs.50000/-

For cash withdrawals at other bank ATMs, banks
have decided to maintain a limit of Rs 10,000/- per
transaction. This information is displayed at the ATM
location.

Q 29. What is Mini Statement?
Ans. 29.It is statement of account showing last 10
transactions, in the account. This facility is available
to all cardholders.

Q 30. Can fund transfer be done using Union Bank
Debit card ?
Ans. 30.Yes the card holder can make fund transfers
between the accounts he has chosen to link to his
cards. This facility is available only in Union Bank
ATMs.

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Q 31. How many accounts can be linked to Union Bank
Debit card?
Ans. 31.A cardholder of a CBS branch can link upto 3
accounts to his card.

Axis bank signs India's largest ATM outsourcing deal
Axis Bank has signed an agreement with two service
providers to increase its ATM fleet to more than 9,000
within 18 months.
According to an article at The Business Standard,
Axis inked a contract with Prizm Payment Services
and AGS InfoTech to set up and manage 5,000 ATMs
on top of Axis' current fleet of 4,293.
Prizm will install 3,500 ATMs; AGS Infotech will
install 1,500. Both providers will own and manage the
ATMs, leaving Axis responsible only for cash
settlement, paying the providers a fee for each
transaction.
Wells Fargo ATMs help cardholders
budget
At a time when nearly everyone is
counting their pennies, nickels and
dimes, Wells Fargo & Co. ATMs are able
to put cardholders on a budget.

Officials of the San Francisco-based bank Wednesday
announced the launch of ATM Cash Tracker. "The

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feature enables Wells Fargo cardholders to manage
monthly their ATM withdrawals," said Richele
Messick, a bank spokesperson. On the ATM screen,
there is a button that says, "Press here to start
tracking your monthly ATM withdrawals."

Cardholders select a monthly target withdrawal
amount, say $400. The software also enables the
cardholder to view for the past year the amount of his
monthly ATM withdrawals. The bank customer may
want to limit cash withdrawals to $400 per month, for
instance, but a one-year look at past ATM
withdrawals shows he withdrew an average of $436
per month.

When a cardholder exceeds the monthly withdrawal
amount, the software does not electronically spank the
cardholder's hand and deny further withdrawals.

"If a cardholder exceeds his target withdrawal
amount, we are not going to stop approving cash
withdrawals. That's not what this is about," Messick
said. "We want to help cardholders monitor their ATM
cash withdrawals."
If a bank customer cannot stay within his budget, he
has the option of increasing the amount of funds he
wants to withdraw from the ATM.


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ATM Cash Tracker is a bank differentiator that
ensures customer loyalty, said George Peabody,
director of Emerging Technologies for Mercator
Advisory Group in Maynard, Mass.

"More banks are competing for customers by giving
them more information about their money so they can
make better decisions," Peabody said. "This is a general
trend by banks. The customer is loyal because the bank
is giving him more information. As a result, the
customer becomes more profitable for the bank."

Wells Fargo operates the nation's third-largest ATM
network with more than 12,000 machines nationwide.

The bank has been innovative in its use of its ATMs.
The financial institution emails ATM receipts to
cardholders to reduce paper use. And in the past,
cardholders could make charitable donations through
the ATMs to raise funds for disaster relief.

Bank officials came up with idea of ATM Cash
Tracker to help customers manage what is in their
wallets and pocketbooks.

"Budgeting and money management are top of the
mind for customers today," said Alicia Moore, head of
Wells Fargo ATM Banking. "We wanted to create a

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32

tool that would help our customers by tracking their
ATM withdrawals with better budgeting."

Highest ATM in India Thegu, near the Nathula Pass
in Sikkim, which at 13,200 feet is the highest ATM in
India. ATM is capable of handling rough weather &
sub-zero temparatures.

Worlds first floating ATM SBI will be launching a
floating ATM.The boat fitted with an ATM will berth
near hotels and places of worship.Floating CDMA
technology will keep the ATM operational.

Banks join hands to set up Value-Added Shared ATM
Network.
Five public sector banks Syndicate Bank, Bank of
India, Indian Bank, United Bank of India and Union
Bank of India -have joined hands and set up value
added shared ATM network.

These ATMs would accept Visa and Master Cards also
in time to come (source Free Press Journal).




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Outsourcing ATM services - a new breed of services.
A new breed of service providers are now offering
services like identifying the location for the ATMs,
installation, making cash deposits etc.

Bank of India is using this outsourcing model.
Mr.Harish Murthi is one of the service providers in
this field. Cost reduction of around 60% is claimed by
ATM service providers.

Dena Bank stops Swadhan Network usage Dena bank
customers holding the ATM cards of Swadhan
network will NOT be able to operate these ATMs in
effect from 31st July, 2003. Customers of Dena bank
have the option to apply for Dena Bank's own ATM /
Debit card through their respective branches. For
more information, please

State Bank of India ordered 1,500 ATMs from NCR
Corporation! The State Bank of India has ordered 1,500
ATMs from NCR Corporation to be delivered over the
next 18 months. This order includes installation and
network management. SBI ATMs also features
facilities such as payment of fees, touch screen ATM
locator, multi-lingual screens.


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34

ICICI Bank, has announced it's first VRS programme!
ICICI Bank, has announced it's first VRS programme.
This `Early Retirement Option' would be available to
all employees who have completed 40 years of age and
seven years of service with the bank as on July 31,
2003.

The bank will give as compensation either three
months salary for every year of completed service or
the salary of remaining months of service whichever
is lower. About 2,000 people of the total employee
strength of 11,000 would be eligible for this VRS.

State Bank of India (SBI) has announced net profit of
Rs 3,105 crore! State Bank of India (SBI) has
announced net profit of Rs 3,105 crore (Rs 2431.62
crore), registering a growth of 27.69 per cent. The
operating profit stood at Rs 7,775.40 crore (Rs 6,044.83
crore), recording a growth of 28.63 per cent. The
capital adequacy ratio was 13.5 per cent (13.35 per
cent), net NPAs to net advances 4.5 per cent (5.63 per
cent) and gross NPAs 9.34 per cent (11.95 per cent).

The income from treasury operations and the profit on
the sale of Government securities increased to Rs 1,715

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35

crore (Rs 341 crore). SBI has declared 85 per cent
dividend (Rs 8.5 per share) compared to 60 per cent in
2001-02.

According to a study by Crisil, Indian Banks have
unbooked profits of Rs 63,900 crore! According to a
study by Crisil, Indian Banks have unbooked profits of
Rs 63,900 crore, which can absorb an interest rate
shock of up to 241 basis points (bps) in case the rates
move upward. Crisil, however, does not expect
significant movement in rates in a one-year time
frame and thus there are little chances of erosion in
the banks investment portfolio.
According to Crisil, the estimated weighted average
maturity of all outstanding gilts is 8.05 years and the
weighted average modified duration is 5.14 years. A
modified duration of 5.14 implies that for every 100
bps increase in interest rates, the value of the portfolio
shall decline by 5.14%.

idbi bank first in Asia to introduce a revolutionary
new Payment Product
idbi bank, one of the countrys fastest growing banks,
has introduced a revolutionary new product called
Card-to-Card Money Transfer. idbi bank is the first

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36

bank in Asia to provide this unique facility to its
customers. With this unique product, customers can
transfer funds from their bank account to any Visa
card anywhere in India. This can be done simply &
conveniently through idbi banks netbanking, ATM or
branches.

OPINIONS OF CUSTOMERS FOR IMPROVEMENT
IN ATM MACHINE

Fingerprint ATM
Instead of Making, issuing and using ATM Cards,
finger prints should be used to draw money, as the
Finger prints are unique to every human being. This
can be referred to the country's Person database (SSN)
if any. Banks will register the finger print in the bank
system when opening an account. So how easy and
secure a person went to an ATM, place his/her thumb
on the reader and entered the security code and did
his transaction.





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Green Gym Equipment

ON New Year's Eve I saw a program that took energy
from stationary bikes and used it to power the ball
drop in Times Square. What is someone used that same
concept to power a gym? This could be used on
treadmills, spin cycles, stationary bikes, row machines,
and eliptical machines. It would be nice to have the
device built into the equipment but people will not be
willing to purchase new equipment up front, so it
would need to be some type of enhancement that could
be added to an existing machine until they could
afford new equipment. The floors on most gyms are
rubber if they needed to be grounded to something. I
am not a product designer so couldn't suggest what it
should look like or where to be placed on the
equipment, but thought it would be wonderful for
gyms to be able to create their own power or
depending on were they are located, power for other
area's. Gyms are located everywhere, in workplaces,
free-standing buildings, apartment buildings,
hospitals, and regular/strip malls. How great would
that be to save money and be green.



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Copy Shop Projectors

I thought it would be cool idea if Kinkos or other copy
places would have a projector pointed at a white table
so that when you are about to print something they
could show you how it is going to show up. You could
have the paper sizes all marked up on the table (letter,
legal, A4) so that you could choose the right size.
You'd have to calibrate it so that the projector would
show the page at the right scale depending on the
distance you put the projector. You could even hold
out the paper under the projector to get a really good
idea of how it's going to print out and I think you
would get a much better clue as to this than seeing it
on a screen.
Men's lounge

After going shopping with the wife for several hours I
would like to suggest a men's lounge be placed in all
woman's clothes shops, preferably with some form of
sport entertainment whilst waiting for the missus.




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Preprogrammed Card for Fast Food Drive Thru

They should have a convenience swiping card for fast
food drive thrus.
Most of the time when I eat out, I usually order the
same items. Sometime it's hard to communicate with
the teller through the fast food intercom. Maybe
because of kids, your sick, noisy cars, or people, or
weather.
At a kiosk inside the store one could preprogram their
card with their favorite choices. Then in the future
you could just swipe it at the drive thru. This would
also ensure that your order was entered correctly
every time.
It would be faster, more accurate, just plain
convenient.
Also, they could make the card into an optional and
convenient key chain type swiper.







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sMy new travel purse may have inactivated my ATM
cards

On a recent trip to Spain & Portugal I was able to use
one ATM card in three cities and then they would not
work. One card never did work! My husband's one
card continued to work. The only thing I know is that
I had a new travel purse with several very strong
magnets! But the ATM cards were in my money
holster under my right arm most of the time. That is
also the side which I carried my purse. It is a mystery
to me, but I plan to remove the magnets from the
purse before I take it on a trip again. The confusing
part is that my credit card which was stored with my
ATM cards continued to work!