Group_9_ppt

8/3/2019 Group_9_ppt

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ATM Operations

Group 9

53 Amit Agarwal

50 Abhinav Sharma

16 Akshay Goyal42 Shobhit Garg

55 Saswat Moharpatra


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What is an Automated Teller Machine

A computerized machine that provides

Facility of accessing the accounts for

dispensing cash Carry out other financial transactions


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Types of Cards used in an ATM

The ATM cards/debit cards

Credit cards and

Prepaid cards(that permit cash withdrawal)


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ATM Customer Interface Components

Video Display Monitor

Key Board or key pad

Touch screen Slots for card reader, cash dispenser, envelop

dispenser, deposit slot


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Services/facilities available at ATMs

Cash dispensing

Account information

Mini/short statement Cash deposit

PIN change for ATM/debit card, Net banking

Funds transfer

Regular bills payment, mobile recharge

Loan account enquiry


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Transaction Operation

A customer requires an ATM card which is amagnetically coded plastic card , read by themachine

The customer has to insert the card in themachine and quote his PIN

After establishing the authentication, the ATMpermits a customer to make entries and afterprocessing the transaction, the machine performsthe desired function.

On completion of the transaction, the customerscard is ejected


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Components in an ATM operation

ATM machine

Routing software

Interbank network Card software

Banks host software (Finacle)

Server and Network architecture


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ATM transaction Process flow

Swipe in at theATM machine

Identification ofbank by Routing

s/w

Routing throughinterbank n/w if

required

Account linkageValidations bythe routing s/wConnection tothe host server


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Validations at different levels

ATM

term

inal

Securityguard

Swipe in

Cameras

R

outingsoftwareBank

identification

Stop list

Restricted

PIN

Biometric

HostAccount

validations

Amountavailability

Amount limit

Frequencylimit


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Different parties involved in operation

ATM coordinator at the branch (usually 1-2).

Functions:

Issue new ATM cards to the customers.Cash replenishment.

Respond to customer complaints.

Interact with different teams and resolvecustomer issues.


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ATM channel manager at the city/region level

Functions:

Provide branch personnel with day-to-daysupport for ATM reconciliation issues.

Perform ATM treasury audits, ATM systems

audits and ATM onsite audits.Assist in implementation and on going

training.


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Vendor for ElectraSwitch s/w.

Functions:

Monitoring and support for all ATMs.

Resolve customer queries on the basis of rejectioncodes.

Identify and resolve issues like cash replenishment,printer, network, cash dispenser, card reader.

New card data generation Machine vendor.

Card vendor.


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Machine vendor -

Resolve any hardware issues with the ATM

machine. Card vendor

Making new cards as per the data provided by

the Electracard team.Dispatch the ATM card to the customers.


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Financial Networks

ATMs are connected to interbank networks

Authorization of financial transaction by thecard issuer or authorizing institution via the

communications network (ISO 8583)

ATMs connect directly to their host or ATMcontroller via

ADSL

Dial-up modem

Leased lines


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New card issue procedure

Card request to theATM coordinator

Account numbersent to the backend

New card no., PINand CVV generated

Data linked to the

acc. No. and PINsent to thecustomer

Embossing file issent to card vendor

Card manufacturedand sent to the

customer


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Transactions Monitoring

Whenever a customer does any ATM transction,

he gets the response code printed on the receipt.

Eg: Resp code 0000 indicates that the transaction is

successful and

Resp code 0075 indicates that the customer has

entered a wrong pin.

First 6 digits of any ATM card indicates therespective banks code which is unique for every

bank.


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Advantages

Quick and efficient services

Un-interrupted service 24x7x365

Anywhere banking

Extended working hours Utilizes human resources in more productive functions

by taking over the routine payment functions

Provide round the clock service with ease and privacy

of operations Reduces pressure on bank staff and avoids congestion

in the bank premises.


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ATM USAGE CHARGES1.Annual Fees Rs.50/- or Rs.100/-

2.Cash Withdrawal at BOI ATM NIL

3.Cash withdrawal at other Banks ATM in

India

Max of Rs.20/- after 5 transactions

4. Balance Enquiry at other Banks ATM NIL

5.Transaction at Railways 2.5% + applicable tax and surcharge

6.Transaction at Petrol Pump 2.5% Min. Rs.10/- + applicable tax and

surcharge

7. Card Re-issuance Rs.100/-

8. Additional Card (per card) Rs.100/-

Transaction at OVERSEAS ATM Rs.125/- + 2% currency conversion

charges

Balance Enquiry Rs.15/- to Rs.25/-


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Use of ATMs of other banks

Under RBI Free ATM access policy

(i) access to only customers having savingsbank accounts

(ii) a cap of Rs.10,000 per withdrawal

(iii) permitting only 5 free transactions permonth.

iv) For transactions beyond this minimumnumber of transaction, banks chargemaximum of Rs 20/- per transaction


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Miscellaneous

One or more account can be linked to a single

ATM card.

In case ofFast Cash Withdrawal, there will beonly 1 default account from which the

balance will get debited whenever the

customer makes any withdrawal.


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Cash Replenishment Process

Cash forecasting service: Gathering and analyzing dataon the amount of cash used at each ATM, which variesdaily, this service forecasts the optimum amount ofcash to be kept on hand, avoiding overages or

shortages. Planning service for cash loading: It establishes plans

for loading cash, based on the results of the cashforecasting.

Automatic inspection service: Based on the plan forloading cash, it creates a plan for automatic inspection(detailed checking) and automatically generates thenecessary order (request.)


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ATM FRAUDS

The Lebanese Loop

Distraction

Card Jamming

Card Swapping Diversions

Website Spoofing or Phishing

False ATM Presenter

Fraud using a stolen card ATM Burglary

Customer Pin stealing methods


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ATM Frauds preventive solutions

Solutions for Banks

-Technological

-Insurance Solutions for customers

-Instructional

-Insurance


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Solutions for Banks

Technological Solutions-

-Designated Time

-Microchip Technology

-Biometric Tokens-Enhanced Security

-ATM monitoring

-Customized software

-Alerts

Insurance Solutions


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Solutions for Customers

Instructional solutions

-Inform immediately if card lost/stolen /not received

-Always retain sales/charge slips to compare with theamount specified on the billing statement.

-If your card ever gets stuck in the ATM, do not reveal

your PIN even to the concerned bankofficial/institution

Insurance Solutions


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Conclusion


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Learning

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