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Personas 75-Series interior, multi-function ATM in the USA ]] s and other busy areas, such as this off-premise Wincor Nixdorf mono-function ATM in Sweden .]] An automated teller machine ('''ATM''') is a computerized telecommunications device that provides the Customer s of a Financial Institution with access to Financial Transaction s in a public space without the need for a human Clerk or Bank Teller . On most modern ATMs, the customer is identified by inserting a plastic ATM Card with a Magnetic Stripe or a plastic Smartcard with a chip, that contains a unique card number and some security information, such as an expiration date or CVC (CVV). Security is provided by the customer entering a Personal Identification Number (PIN). Using an ATM, customers can access their bank Account s in order to make Cash withdrawals (or Credit Card cash advances) and check their account balances. ATMs are known by various casual terms including ''automated banking machine'', ''cash machine'', ''hole-in-the-wall'', ''cashpoint'' or ''Bancomat'' (in Europe and Russia). The occasionally-used term ''ATM machine'' is an example of RAS Syndrome . HISTORY ATM]] using the first ATM machine in 1967 .]] The ATM was invented by Scot John Shepherd-Barron . The world's first ATM was installed in a branch of Barclays in Enfield, Middlesex, in 1967. Reg Varney , from the television series '' On The Buses '', was the first to withdraw cash. Inspiration had struck Mr Shepherd-Barron, now 82, while he was in the bath. {Link without Title} A mechanical cash dispenser was developed and built by The ATM got smaller, faster and easier over the years. Thereafter, the history of ATMs paused for over 25 years, until De La Rue developed the first electronic ATM, which was installed first in Enfield Town in North London on 27 June 1967 by Barclays Bank .. This instance of the Invention is credited to John Shepherd-Barron, although various other engineers were awarded patents for related technologies at the time. Shepherd-Barron was awarded an OBE in the 2005 New Year's Honours List . The first person to use the machine was Reg Varney of " On The Buses " fame, a British Television programme from the 1960s . The first ATMs accepted only a single-use token or voucher, which was retained by the machine. These worked on various principles including Radiation and low-coercivity Magnetism that was wiped by the card reader to make fraud more difficult. The idea of a PIN stored on the card was developed by the British engineer John Rose in 1965. ATMs first came into wide UK use in 1973; the IBM 2984 was designed at the request of Lloyds Bank . The 2984 CIT (Cash Issuing Terminal) was the first true Cashpoint, similar in function to today's machines; Cashpoint is still a Registered Trademark of Lloyds TSB in the U.K. All were online and issued a variable amount which was immediately deducted from the account. A small number of 2984s were supplied to a USA bank. Notable historical models of ATMs include the IBM 3624 and 473x series, Diebold 10xx and TABS 9000 series, and NCR 5xxx series.'' LOCATION ATMs are placed not only near or inside the premises of banks, but also in locations such as shopping centers/malls, airports, grocery stores, petrol/gas stations, restaurants, or any place large numbers of people may gather. These represent two types of ATM installations: on and off premise. On premise ATMs are typically more advanced, multi-function machines that complement an actual bank branch's capabilities and thus more expensive. Off premise machines are deployed by financial institutions and also ISOs (or Independent Sales Organizations) where there is usually just a straight need for cash, so they typically are the cheaper mono-function devices. In Canada, when an ATM is not operated by a financial institution it is known as a "White Label ATM" . In North America, banks often have Drive-through lanes providing access to ATMs. FINANCIAL NETWORKS . The Logo s of a number of Interbank Network s this ATM is connected to are shown.]] Most ATMs are connected to Interbank Network s, enabling people to withdraw and deposit money from machines not belonging to the bank where they have their account or in the country where their accounts are held (enabling cash withdrawals in local currency). Some examples of interbank networks include PLUS , Cirrus , Interac and LINK . ATMs rely on Authorization of a Financial Transaction by the card issuer or other authorizing institution via the communications network. This is often performed through an ISO 8583 messaging system. Many banks charge ATM Usage Fees . In some cases, these fees are charged solely to users who are not customers of the bank where the ATM is installed; in other cases, they apply to all users. Many people oppose these fees because ATMs are actually less costly for banks than withdrawals from human tellers. In order to allow a more diverse range of devices to attach to their networks, some interbank networks have passed rules expanding the definition of an ATM to be a terminal that either has the vault within its footprint or utilizes the vault or cash drawer within the merchant establishment, which allows for the use of a Scrip Cash Dispenser . ix with a dial-up modem visible at the base]] ATMs typically connect directly to their ATM Transaction Processor via either a dial-up Modem over a Telephone line or directly via a leased line. Leased lines are preferable to POTS lines because they require less time to establish a connection. Leased lines may be comparatively expensive to operate versus a POTS line, meaning less-trafficked machines will usually rely on a dial-up modem. That dilemma may be solved as high-speed Internet VPN connections become more ubiquitous. Common lower-level layer communication protocols used by ATMs to communicate back to the Bank include SNA over SDLC , TC500 over Async , X.25 , and TCP/IP over Ethernet . In addition to methods employed for transaction security and secrecy, all communications traffic between the ATM and the Transaction Processor may also be encrypted via methods such as SSL . Eicon Networks Develops SSL-VPN For Secure Remote Working IT Observer GLOBAL USE Subway ]] There are no hard international or government-compiled numbers totaling the complete number of ATMs in use worldwide. Estimates developed by ATMIA place the number of ATMs in use at over 1.5 million as of August 2006 .[http://www.atmmarketplace.com/news_story_24706.htm Number of ATMs worldwide expected to hit 1.5 million in December] www.atmmarketplace.com article For the purpose of analyzing ATM usage around the world, financial institutions generally divide the world into seven regions, due to the penetration rates, usage statistics, and features deployed. Four regions (USA, Canada, Europe, and Japan) have high numbers of ATMs per million people Statistics -> ABM Stats Intelligence Unit Limited ATMs have yet to reach high numbers in the Near East/Africa. Bank For International Settlements , Penelope Hawkins The World's Most Norther ly installed ATM is located at Longyearbyen , Svalbard , Norway . Mastercard.com ATM locator December 15, 1996 newsletter While ATMs are ubiquitous on modern website In the United Kingdom , an ATM may be colloqually referred to as a ''hole-in-the-wall''. BBC World Service - Learning English HARDWARE An ATM is typically made up of the following devices:
Recently, due to heavier computing demands and the falling price of computer-like architectures, ATMs have moved away from custom hardware architectures using Microcontroller s and/or Application-specific Integrated Circuit s to adopting a hardware architecture that is very similar to a Personal Computer . Many ATMs are now able to use operating systems such as Microsoft Windows and Linux. Although it is undoubtedly cheaper to use Commercial Off-the-shelf hardware, it does make ATMs vulnerable to the same sort of problems exhibited by conventional computers. Vaults The vault of an ATM is within the footprint of the device itself and is where items of value are kept. Scrip Cash Dispenser s do not incorporate a vault. Mechanisms found inside the vault may include:
ATM vaults are supplied by manufacturers in several grades. Factors influencing vault grade selection include cost, weight, regulatory requirements, ATM type, operator risk avoidance practices, and internal volume requirements. ATMDepot.com questions and answers www.atmdepot.com Industry standard vault configurations include ATM manufacturers recommend that vaults be attached to the floor to prevent theft. Triton ATM Machines SOFTWARE ATM running Windows 2000 ]] With the migration to commodity PC hardware, standard commercial "off-the-shelf" operating systems and programming environments can be used inside of ATMs. Typical platforms used in ATM development include RMX , OS/2 , and Microsoft operating systems (such as Windows NT , Windows 2000 , Windows XP , or Windows XP Embedded ). Sun Microsystem 's Java may also be used in these environments. Linux is also finding some reception in the ATM marketplace. An example of this is Banrisul , the largest bank in the south of Brazil , which has replaced the MS-DOS operating systems in its ATMs with Linux. Common application layer transaction protocols, such as website With the move to a more standardized software base, financial institutions have been increasingly interested in the ability to pick and choose the application programs that drive their equipment. WOSA/XFS , now known as CEN XFS (or Simply XFS) , provides a common API for accessing and manipulating the various devices of an ATM. Homepage While the perceived benefit of XFS is similar to the Java's "Write Once, Run Anywhere" mantra, often different ATM hardware vendors have different interpretations of the XFS standard. The result of these differences in interpretation means that ATM applications typically use a Middleware to even out the differences between various platforms. Notable XFS middleware platforms include Triton PRISM, Diebold Agilis , KAL Kalignite , NCR Corporation Aptra Edge , Phoenix Interactive VISTAatm , and Wincor Nixdorf Protopas . With the move of ATMs to industry-standard computing environments, concern has risen about the integrity of the ATM's software stack. "Windows Cash-Machine Worm Generates Concern" www.technewsworld.com, Jay Lyman, 12/09/03 SECURITY Security , as it relates to ATMs, has several dimensions. ATMs also provide a practical demonstration of a number of security systems and concepts operating together and how various security concerns are dealt with. Physical Procash 2100xe Frontload that was opened with an Angle Grinder .]] Early ATM security focused on making the ATMs invulnerable to physical attack; they were effectively safes with dispenser mechanisms. A number of attacks on ATMs resulted, with thieves attempting to steal entire ATMs by report summary via Industry Canada Another attack method is to seal all openings of the ATM with Silicone and fill the vault with a combustible gas or to place an explosive inside, attached, or near the ATM. This gas or explosive is ignited and the vault is opened or distorted by the force of the resulting explosion and the criminals can break in. Modern ATM physical security, per other modern money-handling security, concentrates on denying the use of the money inside the machine to a thief, by means of techniques such as dye markers and smoke canisters. "Security" TraceTag UK Transactional secrecy and integrity The security of ATM transactions relies mostly on the integrity of the secure cryptoprocessor: the ATM often uses commodity components that are not considered to be " Trusted System s". Encryption of personal information, required by law in many jurisdictions, is used to prevent fraud. Sensitive data in ATM transactions are usually (MAC) or Partial MAC may also be used to ensure messages have not been tampered with while in transit between the ATM and the financial network. Customer identity integrity ATM with a Palm Scanner (to the right of the screen)]] There have also been a number of incidents of fraud where criminals have attached fake keypads or card readers to existing machines. These have then been used to record customers' PINs and bank card information in order to gain unauthorised access to their accounts. Various ATM manufacturers have put in place countermeasures to protect the equipment they manufacture from these threats. "The No. 1 ATM security concern" www.atmmarketplace.com a Diebold report via Credit Union National Association Alternate methods to verify cardholder identities have been tested and deployed in some countries, such as finger and palm vein patterns, "Japan Seeks To Standardize Biometric ID Method For ATMs" Device operation integrity Openings on the customer-side of ATMs are often covered by mechanical Shutter s to prevent tampering with the mechanisms when they are not in use. Alarm sensors are placed inside the ATM and in ATM servicing areas to alert their operators when doors have been opened by unauthorized personnel. Rules are usually set by the government or ATM operating body that dictate what happens when integrity systems fail. Depending on the jurisdiction, a bank may or may not be liable when an attempt is made to dispense a customer's money from an ATM and the money either gets outside of the ATM's vault, or was exposed in a non-secure fashion, or they are unable to determine the state of the money after a failed transaction. "Consumer Complaint Board: Banks also responsible for the success of ATM withdrawals abroad" via MSN Customer security .]] In some areas, multiple Banking Department Critics of ATM operators assert that the issue of customer security appears to have been abandoned by the banking industry; "Consultants Call for Increased ATM Security Measures" www.atmmarketplace.com, Jane Blake, 04 Dec 2000 it has been suggested that efforts are now more concentrated on deterrent legislation than on solving the problem of forced withdrawals. "Politics (not) as usual, with ATMIA's help" www.atmmarketplace.com, John McGill, 07 September 2004 At least as far back as General Assembly but none have succeeded as of yet. ALTERNATIVE USES in ]] Although ATMs were originally developed as just cash dispensers, they have evolved to include many other bank-related functions. In some countries, especially those which benefit from a fully integrated cross-bank ATM network (e.g.: Multibanco in Portugal), ATMs include many functions which are not directly related to the management of one's own bank account, such as:
In Canada, ATMs are called ''guichets automatiques'' in ATMs can also act as an advertising channel for companies to advertise their own products or third-party products and services.http://www.creativematch.co.uk/?action=viewnews&ni=90724 Manufactures have demonstrated and have deployed several different technologies on ATMs that have not yet reached worldwide acceptance, such as:
RELIABILITY Before an ATM is placed in a public place, it typically has undergone extensive testing with both ATMs and the supporting electronic financial networks are generally very reliable, with industry benchmarks typically producing 98.25% customer availability for ATMs news release If ATMs do go out of service, customers could be left without the ability to make transactions until the beginning of their bank's next time of opening hours. Of course, not all errors are to the detriment of customers; there have been cases of machines giving out money without debiting the account, or giving out higher value notes as a result of incorrect Denomination of Banknote being loaded in the money cassettes. Errors that can occur may be Mechanical (such as card transport mechanisms; keypads; hard disk failures); Software (such as Operating System ; Device Driver ; Application ); Communications ; or purely down to operator error. To aid in reliability, some ATMs print each transaction to a roll paper journal that is stored inside the ATM, which allows both the users of the ATMs and the related financial institutions to settle things based on the records in the journal in case there is a dispute. In some cases, transactions are posted to an electronic journal to remove the cost of supplying journal paper to the ATM and for more convenient searching of data. Improper money checking can cause the possibility of a customer receiving .de report of 2004-05-05 (in German) Some ATMs may be stocked and wholly owned by outside companies, which can further complicate this problem when it happens. {Link without Title} www.atmmarketplace.com website describing Cash Recycling 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.http://www.wired.com/wired/archive/1.05/atm_pr.html 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. {Link without Title} report about a cash machine not being stocked correctly In a variation of this, / WAVY report, 9/14/06, about a hacked ATM at a gas station Ibid, mirrored on YouTube 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. {Link without Title} Australasian Legal Information Institute Card fraud the customer's PINs, some banks draw privacy areas on the floor.]] For a low-tech form of fraud, the simplest is to simply steal a customer's card. A later variant of this approach is to trap the card inside of the ATM's card reader with a device often referred to as a Lebanese Loop . When the customer gets frustrated by not getting the card back and walks away from the machine, the criminal is able to remove the card and withdraw cash from the customer's account. Another simple form of fraud involves attempting to get the customer's bank to issue a new card and stealing it from their mail. Fun with Automatic Tellers Phrack Magazine Volume One, Issue Eight The concept and various methods of copying the contents of an ATM card's magnetic stripe on to a duplicate card to access other people's financial information was well known in the hacking communities by late , Phrack Classic Volume Three, Issue 32 In 1996 Andrew Stone, a computer security consultant from Hampshire in the UK was convicted of stealing in excess of £1 million Sterling (at the time equivalent to US$1.6 million) by pointing high definition video cameras at ATMs from a considerable distance, and by recording the card numbers, expiry dates, etc. from the embossed detail on the ATM cards along with video footage of the PINs being entered. After getting all the information from the videotapes, he was able to produce clone cards which not only allowed him to withdraw the full daily limit for each account, but also allowed him to sidestep withdrawal limits by using multiple copied cards. In court, it was shown that he could withdraw as much as £10,000 per hour by using this method. Stone was sentenced to five years and six months in prison. {Link without Title} Oxford Journals ITNOW By contrast, a newer high-tech ''modus operandi'' involves the installation of a magnetic card reader over the real ATM's card slot and the use of a wireless surveillance camera or a modified digital camera to observe the user's PIN. Card data is then cloned onto a second card and the criminal attempts a standard cash withdrawal. The availability of low-cost commodity wireless cameras and card readers has made it a relatively simple form of fraud, with comparatively low risk to the fraudsters. {Link without Title} Snopes In an attempt to stop these practices, countermeasures against card cloning have been developed by the banking industry, in particular by the use of and EMV '96 Or EMV 3.11 . The most actively developed form of smart card security in the industry today is known as EMV 2000 Or EMV 4.x . 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. Information is delivered to the customer either through pre-recorded Sound files or via text-to-speech Speech Synthesis . A news report A 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. SEE ALSO
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