First, let us understand what is the full form of ATM. To operate the ATM card, the customer has to insert the card in the machine. He has to enter the password number. The authentication or password number is correct, The ATM permits a customer to make entries for withdrawals or for the deposits on completion of the transaction, the customer's card is ejected from the ATM. This post gives information about the advantages and disadvantages of ATM to better understand this topic.
Advantages of ATM:
- Withdrawing money
- Round the clock services: ATM provides banking services to its customers round the clock 24 hours a day, 7 days a week and 365 days a year
- ATM device can check how much money is remaining in the account
- It is possible to withdraw from many regional and global banks. ATMs are a method of the deal because they are internationally acknowledged
- Checking recent or past bank statements
- Nowadays almost every shopping mall, restaurant, and other organizations are accepting debit or credit card payments
- ATM machine will provide expansion of services to any corner of the world
- It may also be used in foreign countries
- It reduces the hustle and bustle required when performing a transaction via a teller. Since there is no usage of slides in ATMs there is no stressful filling of forms
- ATMs very beneficial for travelers
- ATMs provide privacy in banking transactions
- No more filling out a deposit slip as well as withdrawal slip
- ATM is to much faster less hassle
- ATM card is protected by a PIN keeping our money is totally safe
- Can monitor or track the account
- Can withdraw anytime, day or night at any locations as long as the ATM card is also linked in the other bank, so its good for people
- ATMs reduce the work pressure on bank staff and avoid queues in bank premises
- Access to bank from any part of the world called as an essential banking service like deposits, withdrawals, transfer of funds, etc can be accessed by customers from any part of the world
Disadvantages of ATM:
- The machine may not recognize your credit card
- Maybe no ATMs nearby
- If someone watches or hacks an ATM machine your details may be taken, so lots of hugs will be created
- If the problem with a credit card you can not withdraw your money
- If someone watches or hacks ATM machine details may be taken if you forget your PIN number you cannot use the card
- Cannot be provided in rural areas like in our country like India where banks are having a large number of rural and noncomputerized branches ATM services cannot be provided
- Limitation of cash withdrawals
- The cash deposit facility is restricted and not safe as the dropping of envelope and ATM is not advisable
- Possibility of missing ATM card
- Loos of personal touch with the banks
- The risk to robbery when withdrawing a money
- Some charges of other banks are expensive
- ATM has run out of cash