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{{Short description|Device used to perform financial transactions}}
{{Redirect-several|Cash machine|Money machine|ATM}}
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{{Use dmy dates|date=November 2020}}
{{Use American English|date=February 2021}}
[[File:Früher Bankautomat von Nixdorf.jpg|thumb|An old [[Nixdorf Computer|Nixdorf]] ATM in Germany (German: Bankautomat)]]
[[File:ICAs uttagsautomat ICA Metro Skanstull Stockholm 2005-07-18.jpg|thumb|right|Smaller indoor ATMs dispense money inside [[convenience store]]s and other busy areas, such as this off-premises [[Wincor Nixdorf]] mono-function ICA ATM in Sweden.]]
An '''automated teller machine''' ('''ATM''') is an electronic [[telecommunications]] device that enables customers of [[financial institution]]s to perform [[financial transaction]]s, such as cash withdrawals, deposits, funds transfers, balance inquiries or account information inquiries, at any time and without the need for direct interaction with bank staff.

ATMs are known by a variety of other names, including automatic teller machines (ATMs) in the United States<ref>{{cite book|title=Merriam-Webster Dictionary|publisher=Merriam-Webster|location=Springfield, MA|url=http://www.merriam-webster.com/dictionary/automatic%20teller%20machine|access-date=7 January 2017|url-status=live|archive-url=https://web.archive.org/web/20170812213416/https://www.merriam-webster.com/dictionary/automatic%20teller%20machine|archive-date=12 August 2017}}</ref><ref>{{cite web |title=FNSRTS307A - Maintain Automatic Teller Machine (ATM) services |url=https://training.gov.au/Training/Details/FNSRTS307A |url-status=live |archive-url=https://web.archive.org/web/20140407070931/https://training.gov.au/Training/Details/FNSRTS307A |archive-date=7 April 2014 |website=training.gov.au}}</ref><ref>[http://dictionary.cambridge.org/dictionary/british/automatic-teller-machine Cambridge Dictionary ''Automatic Teller Machine''] {{webarchive|url=https://web.archive.org/web/20140407090534/http://dictionary.cambridge.org/dictionary/british/automatic-teller-machine |date=7 April 2014 }}</ref> (sometimes [[RAS syndrome|redundantly]] as "ATM machine"). In Canada, the term '''automated banking machine''' ('''ABM''') is also used,<ref>{{cite web|url=http://www.interac.ca/en/faq/faq/136-what-is-interac-cash-2.html|title=Interac FAQ|publisher=Interac Association|access-date=28 January 2018}}</ref><ref>{{cite web |title=Automated Banking Machine (ABM) |url=http://www.scotiabank.com/ca/en/0,,316,00.html |url-status=live |archive-url=https://web.archive.org/web/20221126090440/https://www.scotiabank.com/ca/en/personal/bank-your-way/other-ways-to-bank/automated-banking-machines.html |archive-date=Nov 26, 2022 |website=Scotiabank}}</ref> although ATM is also very commonly used in Canada, with many Canadian organizations using ATM rather than ABM.<ref>{{Cite web |last=Financial Consumer Agency of Canada |date=8 June 2018 |title=ATM fees |url=https://www.canada.ca/en/financial-consumer-agency/services/banking/atm-fees.html |url-status=live |archive-url=https://web.archive.org/web/20180729081344/https://www.canada.ca/en/financial-consumer-agency/services/banking/atm-fees.html |archive-date=2018-07-29 |access-date=2018-07-29 |website=Canada.ca |language=en}}</ref><ref>{{Cite web |title=ATM and Banking Centre Network |url=https://www.cibc.com/en/personal-banking/ways-to-bank/atm-and-branch-network.html |url-status=live |archive-url=https://web.archive.org/web/20180729081348/https://www.cibc.com/en/personal-banking/ways-to-bank/atm-and-branch-network.html |archive-date=2018-07-29 |access-date=2018-07-29 |website=CIBC |language=en}}</ref><ref>{{Cite web |title=TD Green Machine ATM Machines |url=https://www.tdcanadatrust.com/products-services/banking/electronic-banking/ATM.jsp |url-status=live |archive-url=https://web.archive.org/web/20190719034214/https://www.td.com/ca/en/personal-banking/solutions/ways-to-bank/?tdtab=branch-atm |archive-date=Jul 19, 2019 |access-date=2018-07-29 |website=TD Canada Trust |language=en}}</ref> In British English, the terms '''cashpoint''', '''cash machine''' and '''hole in the wall''' are also used.<ref>{{cite book|title=Merriam-Webster Dictionary|publisher=Merriam-Webster|location=Springfield, MA|url=http://www.merriam-webster.com/dictionary/cash%20machine|access-date=7 January 2017|url-status=live|archive-url=https://web.archive.org/web/20170109113711/https://www.merriam-webster.com/dictionary/cash%20machine|archive-date=9 January 2017}}</ref><ref name=":1">{{cite web |url=https://www.merriam-webster.com/dictionary/cashpoint |website=Merriam-Webster |title=Cashpoint dictionary definition |access-date=6 September 2024}}</ref><ref>{{cite web |title=Ngram Viewer comparing 3 terms, 2000-2022, UK corpus |url=https://books.google.com/ngrams/graph?content=cash+machine%2Ccashpoint%2Catm&year_start=2000&year_end=2022&corpus=en-GB&smoothing=3&case_insensitive=true |website=Ngram Viewer |access-date=6 September 2024}}</ref> ATMs that are [[Independent ATM deployer|not operated by a financial institution]] are known as "[[White-label ABMs|white-label]]" ATMs.

Using an ATM, customers can access their [[bank deposit]] or credit accounts in order to make a variety of financial transactions, most notably [[cash]] withdrawals and balance checking, as well as transferring credit to and from mobile phones. ATMs can also be used to withdraw cash in a foreign country. If the currency being withdrawn from the ATM is different from that in which the bank account is denominated, the money will be converted at the financial institution's [[exchange rate]].<ref>{{cite web |last=Schlichter |first=Sarah |date=2007-02-05 |title=Using ATM's abroad - Travel - Travel Tips |url=http://www.nbcnews.com/id/16994358 |archive-url=https://web.archive.org/web/20140301124829/http://www.nbcnews.com/id/16994358/#.UxHXMxXP2Uk |archive-date=Mar 1, 2014 |access-date=2011-02-11 |work=NBC News}}</ref> Customers are typically identified by inserting a plastic [[ATM card]] (or some other acceptable payment card) into the ATM, with authentication being by the customer entering a [[personal identification number]] (PIN), which must match the PIN stored in the chip on the card (if the card is so equipped), or in the issuing financial institution's database.

According to the [[ATMIA|ATM Industry Association (ATMIA)]], {{as of|2015|lc=y}}, there were close to 3.5 million ATMs installed worldwide.<ref>{{cite web |url=https://www.atmia.com/|title=ATM Industry Association |url-status=live |archive-url=https://web.archive.org/web/20151016073750/https://www.atmia.com/ |archive-date=16 October 2015 }}</ref><ref>{{cite web |last=Morrison |first=David |date=July 28, 2014 |title=3 Million ATMs Worldwide By 2015: ATM Association |url=http://www.cutimes.com/2014/07/28/3-million-atms-worldwide-by-2015-atm-association |url-access=registration |url-status=live |archive-url=https://web.archive.org/web/20150626074837/http://www.cutimes.com/2014/07/28/3-million-atms-worldwide-by-2015-atm-association |archive-date=26 June 2015 |website=Credit Union Times}}</ref> However, the use of ATMs is gradually declining with the increase in cashless payment systems.<ref name=decline1>{{Cite web|last=Cummins|first=Carolyn|date=2017-12-01|title=Shopping centres prepare to go cashless as ATMs disappear|url=https://www.theage.com.au/business/companies/shopping-centres-prepare-to-go-cashless-as-atms-disappear-20171130-gzvtk8.html|access-date=2023-03-27|website=The Age|language=en|archive-url=https://web.archive.org/web/20171204065719/http://www.theage.com.au/business/property/shopping-centres-prepare-to-go-cashless-as-atms-disappear-20171130-gzvtk8.html|archive-date=4 December 2017}}</ref>

== History ==

The idea of out-of-hours cash distribution was first put into practice in Japan, the United Kingdom, and Sweden.<ref name="Atlantic">{{cite magazine|title=A Brief History of the ATM|url=https://www.theatlantic.com/technology/archive/2015/03/a-brief-history-of-the-atm/388547/|magazine=The Atlantic|access-date=26 April 2015|date=26 March 2015|url-status=live|archive-url=https://web.archive.org/web/20150428065642/http://www.theatlantic.com/technology/archive/2015/03/a-brief-history-of-the-atm/388547/|archive-date=28 April 2015}}</ref><ref>{{cite web|url=https://www.bloomberg.com/opinion/articles/2013-03-27/how-the-atm-revolutionized-the-banking-business |first=Bernardo |last=Batiz-Lazo|title=How the ATM Revolutionized the Banking Business|publisher=[[Bloomberg L.P.|Bloomberg]]|date=27 March 2013|url-status=live|archive-url=https://web.archive.org/web/20140209154037/http://www.bloomberg.com/news/2013-03-27/how-the-atm-revolutionized-the-banking-business.html|archive-date=9 February 2014}}{{pb}}{{cite web |url=https://www.atmia.com/files/50th%20Anniversary/50th_ATM_Anniversary_Fact_Sheet_-_06272016.pdf |title=ATMIA 50th Anniversary Factsheet |author=<!--Staff writer(s); no by-line.--> |date=October 2015 |website=www.atmia.com |publisher=ATM Industry Association |access-date=29 June 2016 |url-status=live |archive-url=https://web.archive.org/web/20160818110157/https://www.atmia.com/files/50th%20Anniversary/50th_ATM_Anniversary_Fact_Sheet_-_06272016.pdf |archive-date=18 August 2016 }}</ref>

In 1960, Armenian-American inventor [[Luther Simjian]] invented an automated deposit machine (accepting coins, cash and cheques) although it did not have cash dispensing features.<ref>"Machine Accepts Bank Deposits", ''The New York Times'', 12 April 1961</ref> His US patent was first filed on 30 June 1960 and granted on 26 February 1963.<ref>{{cite patent |country=US |number=3079603 |status=patent |title=Depository machine combined with image recording means |gdate=1963-02-26 |fdate=1960-06-30 |inventor=Luther G Simjian }}</ref> The roll-out of this machine, called Bankograph, was delayed by a couple of years, due in part to Simjian's Reflectone Electronics Inc. being acquired by Universal Match Corporation.<ref>"Universal Match Maps Acquisition", ''The New York Times'', 22 March 1961</ref> An experimental Bankograph was installed in New York City in 1961 by the [[Citibank|City Bank of New York]], but removed after six months due to the lack of customer acceptance.<ref>{{cite web|url=http://www.atmmarketplace.com/article/217157/From-punchcard-to-prestaging-50-years-of-ATM-innovation |title=From punchcard to prestaging: 50 years of ATM innovation |publisher=ATM Marketplace |date=31 July 2013 |access-date=27 September 2013 |url-status=dead |archive-url=https://web.archive.org/web/20130815222832/http://www.atmmarketplace.com/article/217157/From-punchcard-to-prestaging-50-years-of-ATM-innovation |archive-date=15 August 2013 }}</ref>

In 1962 Adrian Ashfield invented the idea of a card system to securely identify a user and control and monitor the dispensing of goods or services. This was granted UK Patent 959,713 in June 1964 and assigned to Kins Developments Limited.<ref>{{cite patent |country=GB |number=959713 |status=patent |title=Access Controller |pubdate=1962-02-15 |fdate=1963-05-15 |gdate=1964-06-03 |inventor=Adrian Walter Francis Ashfield |assign=Kins Developments Ltd}}</ref>

=== Invention ===
In 1966, a Japanese device called the "Computer Loan Machine" dispensed cash as a three-month loan at an annual interest rate of 5% upon inserting a credit card.<ref>'Fast Machine With a Buck', "Pacific Star and Stripes", 7 July 1966</ref><ref>'Instant Cash with a Credit Card', "ABA Banking Journal", January 1967</ref> However, little is known about the device.<ref name="Atlantic"/>

[[File:RegVarneyATM.jpg|thumb|Actor [[Reg Varney]] using the world's first cash machine at [[Barclays Bank, Enfield]], north London on 27 June 1967]]
A cash machine was installed at [[Barclays Bank, Enfield]], North London in the United Kingdom, on 27 June 1967. This is generally considered the world's first ATM.<ref>{{Cite news |last=Murray |first=Amelia |date=2017-06-25 |title=The story behind the world's first cashpoint |language=en-GB |work=The Telegraph |url=https://www.telegraph.co.uk/personal-banking/current-accounts/story-behind-worlds-first-cashpoint/ |access-date=2023-04-10 |issn=0307-1235|postscript=none}}; {{Cite news |last=Alberge |first=Dalya |date=2023-04-10 |title=Bank that opened world's first ATM given heritage status |language=en-GB |work=The Telegraph |url=https://www.telegraph.co.uk/news/2023/04/10/barclays-bank-first-atm-listed-status/ |access-date=2023-04-10 |issn=0307-1235}}</ref><ref name=":0">{{cite web|last1=Batiz-Lazo|first1=Bernardo|last2=Reid|first2=Robert J. K.|title=Evidence from the Patent Record on the Development of Cash Dispensing Technology|url=http://mpra.ub.uni-muenchen.de/9461/1/MPRA_paper_9461.pdf|publisher=Munich Personal RePEc Archive|access-date=27 April 2015|date=30 June 2008|page=4|url-status=live|archive-url=https://web.archive.org/web/20150904045127/https://mpra.ub.uni-muenchen.de/9461/1/MPRA_paper_9461.pdf|archive-date=4 September 2015}}</ref> This machine was inaugurated by English actor [[Reg Varney]] as part of the launch publicity.<ref>{{cite web | url = https://www.bbc.co.uk/london/content/articles/2007/06/26/cash_machine_feature.shtml | title = Enfield's cash gift to the world | publisher = [[BBC London]] | date = 27 June 2007 | url-status = live | archive-url = https://web.archive.org/web/20151103030534/http://www.bbc.co.uk/london/content/articles/2007/06/26/cash_machine_feature.shtml | archive-date = 3 November 2015 }}</ref> This invention is credited to the engineering team led by [[John Shepherd-Barron]] of printing firm [[De La Rue]],<ref name="milligan">{{cite news | url = https://news.bbc.co.uk/1/hi/business/6230194.stm | title = The man who invented the cash machine | work = BBC News | date = 25 June 2007 | access-date = 26 April 2010 | first = Brian | last = Milligan | url-status = live | archive-url = https://web.archive.org/web/20091226192112/http://news.bbc.co.uk/2/hi/business/6230194.stm | archive-date = 26 December 2009 }}</ref> who was awarded an [[Order of the British Empire|OBE]] in the [[2005 New Year Honours]].<ref>{{cite news| url = https://news.bbc.co.uk/2/hi/uk_news/scotland/4135269.stm | title = ATM inventor honoured | work = BBC News | date=31 December 2004 | access-date=26 April 2010| archive-url= https://web.archive.org/web/20100608040555/http://news.bbc.co.uk/2/hi/uk_news/scotland/4135269.stm| archive-date= 8 June 2010 | url-status= live}}</ref><ref name="Networld Media Group">{{cite book |first1=Tom |last1=Harper |first2=Bernardo |last2=Batiz-Lazo |title= Cash Box: The Invention and Globalization of the ATM |publisher= Networld Media Group |date=2013 |isbn=978-1935497622}}</ref> Transactions were initiated by inserting paper cheques issued by a teller or cashier, marked with [[carbon-14]] for machine readability and security, which in a later model were matched with a four-digit [[personal identification number]] (PIN).<ref name="milligan" /><ref name="latimes1">{{cite news | title = ATM inventor John Shepherd-Barron dies at age of 84 on 20th May 2010 | newspaper = Los Angeles Times| url = http://latimesblogs.latimes.com/afterword/2010/05/atm-inventor-john-shepherdbarron-dies-at-84.html | date = 19 May 2010 | url-status = live | archive-url = https://web.archive.org/web/20100523172520/http://latimesblogs.latimes.com/afterword/2010/05/atm-inventor-john-shepherdbarron-dies-at-84.html | archive-date = 23 May 2010 }}</ref> Shepherd-Barron stated: {{blockquote|"It struck me there must be a way I could get my own money, anywhere in the world or the UK. I hit upon the idea of a chocolate bar dispenser, but replacing chocolate with cash."<ref name="milligan" />}}

[[File:Atmplaque.jpg|thumb|left|upright|[[Blue plaque]] on the Enfield Barclays commemorating the world's first cash machine]]
The Barclays–De La Rue machine (called De La Rue Automatic Cash System or DACS)<ref>{{Cite web|title=History of Automatic Teller Machines or ATM|last=Bellis|first=Mary
| date= 15 April 2019
|url=https://www.thoughtco.com/automatic-teller-machines-atm-1991236|access-date=2023-03-27|website=ThoughtCo|language=en}}</ref> beat the [[List of banks in Sweden|Swedish saving banks]]' and a company called Metior's machine (a device called Bankomat) by a mere nine days and British [[National Westminster Bank|Westminster Bank's]] [[Smiths Group|Smith Industries]] [[Chubb Locks|Chubb]] system (called Chubb MD2) by a month.<ref>{{cite journal | url = https://ideas.repec.org/p/pra/mprapa/3689.html | title = The emergence and evolution of ATM networks in the UK, c. 1967–2000 | author = B. Batiz-Lazo | journal = Mpra Paper | date = June 2007 | publisher = Business History, 2009 (51:1). Taylor and Francis, 2009. | url-status = live | archive-url = https://web.archive.org/web/20141103165250/https://ideas.repec.org/p/pra/mprapa/3689.html | archive-date = 3 November 2014 }}</ref> The online version of the Swedish machine is listed to have been operational on 6 May 1968, while claiming to be the first online ATM in the world, ahead of similar claims by [[IBM]] and [[Lloyds Banking Group|Lloyds Bank]] in 1971,<ref>{{cite journal | url = http://www.ebhsoc.org/journal/index.php/journal/article/view/274 | title = The origins of the cashless society: cash dispensers, direct to account payments and the development of on-line real-time networks, c. 1965–1985 | journal = Essays in Economic & Business History | volume = 32 | pages = 100–137 | author = B. Batiz-Lazo, T. Karlsson and B. Thodenius | publisher = Essays in Economic and Business History, 2014 (32). The Economic and Business History Society, 2014. | url-status = live | archive-url = https://web.archive.org/web/20140714184815/http://www.ebhsoc.org/journal/index.php/journal/article/view/274 | archive-date = 14 July 2014 |date=24 April 2014 }}</ref> and [[OKI (company)|Oki]] in 1970.<ref>{{cite web |title=Automated Teller Terminal AT-20P |url=http://museum.ipsj.or.jp/en/heritage/AT-20P.html |website=IPSJ Computer Museum |publisher=[[Information Processing Society of Japan]] |access-date=22 July 2019}}</ref> The collaboration of a small start-up called Speytec and [[Midland Bank]] developed a fourth machine which was marketed after 1969 in Europe and the US by the [[Burroughs Corporation]]. The patent for this device (GB1329964) was filed in September 1969 (and granted in 1973) by John David Edwards, Leonard Perkins, John Henry Donald, Peter Lee Chappell, Sean Benjamin Newcombe, and Malcom David Roe. Both the DACS and MD2 accepted only a single-use token or voucher which was retained by the machine, while the Speytec worked with a card with a magnetic stripe at the back. They used principles including [[radiation|Carbon-14]] and low-coercivity [[magnetism]] in order to make fraud more difficult.

The idea of a [[Personal identification number|PIN]] stored on the card was developed by a group of engineers working at [[Smiths Group]] on the Chubb MD2 in 1965 and which has been credited to [[James Goodfellow]]<ref>{{cite web|url=https://www.bbc.co.uk/programmes/b013n554|title=James Goodfellow, Series 2, Pioneers - BBC Radio 4 Extra|website=BBC|access-date=29 March 2018}}</ref> (patent GB1197183 filed on 2 May 1966 with Anthony Davies). The essence of this system was that it enabled the verification of the customer with the debited account without human intervention. This patent is also the earliest instance of a complete "currency dispenser system" in the patent record. This patent was filed on 5 March 1968 in the US (US 3543904) and granted on 1 December 1970. It had a profound influence on the industry as a whole. Not only did future entrants into the cash dispenser market such as [[NCR Corporation]] and [[IBM]] licence Goodfellow's PIN system, but a number of later patents reference this patent as "Prior Art Device".<ref name=":0" />

=== Propagation ===
Devices designed by British (i.e. Chubb, De La Rue) and Swedish (i.e. Asea Meteor) manufacturers quickly spread out. For example, given its link with [[Barclays]], [[Bank of Scotland]] deployed a DACS in 1968 under the 'Scotcash' brand.<ref>{{Cite web |title=Our Heritage |url=https://www.lloydsbankinggroup.com/who-we-are/our-heritage.html |access-date=2023-04-10 |website=www.lloydsbankinggroup.com |language=en}}</ref> Customers were given personal code numbers to activate the machines, similar to the modern PIN. They were also supplied with £10 vouchers. These were fed into the machine, and the corresponding amount debited from the customer's account.

A Chubb-made ATM appeared in [[Sydney]] in 1969. This was the first ATM installed in Australia. The machine only dispensed $25 at a time and the bank card itself would be mailed to the user after the bank had processed the withdrawal.

[[File:ABC ATMs.ogv|thumb|1969 [[Australian Broadcasting Corporation|ABC]] news report on the introduction of ATMs in [[Sydney, Australia]]. People could only receive [[Australian dollar|AUS $]]25 at a time and the bank card was sent back to the user at a later date. This was a Chubb machine.]]
Asea Metior's Bancomat was the first ATM installed in Spain on 9 January 1969, in central [[Madrid]] by [[Banesto]]. This device dispensed 1,000 [[Spanish peseta|peseta]] bills (1 to 5 max). Each user had to introduce a security personal key using a combination of the ten numeric buttons.<ref>{{cite web | url = http://hemeroteca.abc.es/nav/Navigate.exe/hemeroteca/madrid/abc/1969/01/09/048.html | title = Bancomat (In Spanish) | author = Marino Gomez-Santos | publisher = ABC | date = 9 January 1969 | url-status = live | archive-url = https://web.archive.org/web/20140811221708/http://hemeroteca.abc.es/nav/Navigate.exe/hemeroteca/madrid/abc/1969/01/09/048.html | archive-date = 11 August 2014 }}</ref> In March of the same year an ad with the instructions to use the Bancomat was published in the same newspaper.<ref>{{cite web | url = http://hemeroteca.abc.es/nav/Navigate.exe/hemeroteca/madrid/abc/1969/03/18/058.html | title = Bancomat Banesto (commercial ad with instructions for use in Spanish) | publisher = ABC | date = 18 March 1969 | url-status = live | archive-url = https://web.archive.org/web/20140811221714/http://hemeroteca.abc.es/nav/Navigate.exe/hemeroteca/madrid/abc/1969/03/18/058.html | archive-date = 11 August 2014 }}</ref>

In [[West Germany]], the first ATM was installed in the 50,000-people university city of [[Tübingen]] on May 27, 1968, by Kreissparkasse Tübingen. It was built by [[Aalen]]-based safe builder Ostertag AG in cooperation with [[AEG-Telefunken]]. Each of the 1,000 selected users were given a double-bit key to open the safe with "Geldausgabe" written on it, a plastic identification card, and ten [[punched card]]s. One punch card functioned as a withdrawal slip for a 100 [[Deutsche Mark|DM]] bill, the maximum limit for daily use was 400 DM.<ref>{{Cite news |last=Pötzl |first=Norbert F. |date=2018-05-26 |title=1968 in Tübingen: Deutschlands erster Geldautomat |language=de |work=Der Spiegel |url=https://www.spiegel.de/geschichte/1968-in-tuebingen-deutschlands-erster-geldautomat-a-1208937.html |access-date=2023-05-21 |issn=2195-1349}}</ref><ref>{{Cite news |last=Heeg |first=Thiemo |date=2008-12-11 |title=55.000 Geräte in Deutschland: Happy bargeldlos: Der Geldautomat wird 40 |language=de |work=FAZ.NET |url=https://www.faz.net/aktuell/wirtschaft/55-000-geraete-in-deutschland-happy-bargeldlos-der-geldautomat-wird-40-1740609.html |access-date=2023-05-21 |issn=0174-4909}}</ref>

===Docutel in the United States===
[[File:ATM 750x1300.jpg|thumb|An [[NCR Corporation|NCR]] Personas 75-Series interior, multi-function ATM in the United States]]
After looking firsthand at the experiences in Europe, in 1968 the ATM was pioneered in the U.S. by [[Donald Wetzel]], who was a department head at a company called Docutel.<ref name="Networld Media Group"/> Docutel was a subsidiary of Recognition Equipment Inc of [[Dallas]], [[Texas]], which was producing optical scanning equipment and had instructed Docutel to explore automated baggage handling and automated gasoline pumps.<ref>{{cite book |first=James |last=Essinger  |title= ATM Networks: Their Organization, Security and Future |publisher= Elsevier International |date=1987}}</ref>

On 2 September 1969, [[Chemical Bank]] installed a prototype ATM in the U.S. at its branch in [[Rockville Centre, New York]]. The first ATMs were designed to dispense a fixed amount of cash when a user inserted a specially coded card.<ref>{{cite book |first=Rob |last=Kirkpatrick |url=https://books.google.com/books?id=XZMrIchANY4C&pg=PA266 |title=1969: The Year Everything Changed |publisher=Skyhorse Publishing Inc. |date=2009 |page=266 |isbn=9781602393660 |url-status=live |archive-url=https://web.archive.org/web/20111225211738/http://books.google.com/books?id=XZMrIchANY4C&pg=PA266 |archive-date=25 December 2011 }}</ref> A Chemical Bank advertisement boasted "On Sept. 2 our bank will open at 9:00 and never close again."<ref>{{cite book |url=https://books.google.com/books?id=BtEDAAAAMBAJ&pg=PA84 |title=Popular Mechanics - Google Books |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20111225214202/http://books.google.com/books?id=BtEDAAAAMBAJ&lpg=PA84&pg=PA84 |archive-date=25 December 2011 |publisher=Hearst Magazines |date=December 2005 }}</ref> Chemical's ATM, initially known as a Docuteller was designed by [[Donald Wetzel]] and his company Docutel. Chemical executives were initially hesitant about the electronic banking transition given the high cost of the early machines.  Additionally, executives were concerned that customers would resist having machines handling their money.<ref>{{cite web|url=http://americanhistory.si.edu/collections/comphist/wetzel.htm |title=Interview with Mr. Don Wetzel |publisher=Americanhistory.si.edu |access-date=2011-02-11| archive-url= https://web.archive.org/web/20110220214346/http://americanhistory.si.edu/collections/comphist/wetzel.htm| archive-date= 20 February 2011 | url-status= live}}</ref> In 1995, the [[Smithsonian National Museum of American History]] recognised Docutel and Wetzel as the inventors of the networked ATM.<ref>{{cite web|url=http://www.thocp.net/hardware/atm.htm |title=Automatic teller machine |publisher=Thocp.net |work=The History of Computing Project |date=17 April 2006 |access-date=2011-02-11| archive-url= https://web.archive.org/web/20110220215034/http://www.thocp.net/hardware/atm.htm| archive-date= 20 February 2011 | url-status= live}}</ref> To show confidence in Docutel, Chemical installed the first four production machines in a marketing test that proved they worked reliably, customers would use them and even pay a fee for usage. Based on this, banks around the country began to experiment with ATM installations.

By 1974, Docutel had acquired 70 percent of the U.S. market; but as a result of the early 1970s worldwide recession and its reliance on a single product line, Docutel lost its independence and was forced to merge with the U.S. subsidiary of [[Olivetti]].<ref>{{cite web |title=The rise and fall of Docutel, the Dallas-area company that created the first ATMs |url=https://www.dallasnews.com/news/from-the-archives/2022/03/06/the-rise-and-fall-of-docutel-the-dallas-area-company-that-created-the-first-atms/ |website=Dallas News |access-date=4 November 2022 |language=en |date=6 March 2022}}</ref>

In 1973, Wetzel was granted [http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&Sect2=HITOFF&d=PALL&p=1&u=%2Fnetahtml%2FPTO%2Fsrchnum.htm&r=1&f=G&l=50&s1=3761682.PN.&OS=PN/3761682&RS=PN/3761682 U.S. Patent # 3,761,682] {{Webarchive|url=https://web.archive.org/web/20170905225829/http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&Sect2=HITOFF&d=PALL&p=1&u=%2Fnetahtml%2FPTO%2Fsrchnum.htm&r=1&f=G&l=50&s1=3761682.PN.&OS=PN/3761682&RS=PN/3761682 |date=5 September 2017 }}; the application had been filed in October 1971. However, the U.S. patent record cites at least three previous applications from Docutel, all relevant to the development of the ATM and where Wetzel does not figure, namely [http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&Sect2=HITOFF&d=PALL&p=1&u=%2Fnetahtml%2FPTO%2Fsrchnum.htm&r=1&f=G&l=50&s1=3662343.PN.&OS=PN/3662343&RS=PN/3662343 US Patent # 3,662,343] {{Webarchive|url=https://web.archive.org/web/20170905230255/http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&Sect2=HITOFF&d=PALL&p=1&u=%2Fnetahtml%2FPTO%2Fsrchnum.htm&r=1&f=G&l=50&s1=3662343.PN.&OS=PN/3662343&RS=PN/3662343 |date=5 September 2017 }}, [http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&Sect2=HITOFF&d=PALL&p=1&u=%2Fnetahtml%2FPTO%2Fsrchnum.htm&r=1&f=G&l=50&s1=3651976.PN.&OS=PN/3651976&RS=PN/3651976 U.S. Patent # 3651976] {{Webarchive|url=https://web.archive.org/web/20170905184032/http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&Sect2=HITOFF&d=PALL&p=1&u=%2Fnetahtml%2FPTO%2Fsrchnum.htm&r=1&f=G&l=50&s1=3651976.PN.&OS=PN/3651976&RS=PN/3651976 |date=5 September 2017 }} and [http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&Sect2=HITOFF&d=PALL&p=1&u=%2Fnetahtml%2FPTO%2Fsrchnum.htm&r=1&f=G&l=50&s1=368569.PN.&OS=PN/368569&RS=PN/368569 U.S. Patent # 3,68,569] {{Webarchive|url=https://web.archive.org/web/20170905183830/http://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO1&Sect2=HITOFF&d=PALL&p=1&u=%2Fnetahtml%2FPTO%2Fsrchnum.htm&r=1&f=G&l=50&s1=368569.PN.&OS=PN/368569&RS=PN/368569 |date=5 September 2017 }}. These patents are all credited to Kenneth S. Goldstein, MR Karecki, TR Barnes, GR Chastian and John D. White.
[[File:A person uses an ATM at Chase Bank, NYC - 2008.tif|thumb|A [[Chase Bank]] ATM in 2008]]

===Further advances===
In April 1971, [[Busicom]] began to manufacture ATMs based on the first commercial [[microprocessor]], the [[Intel 4004]]. Busicom manufactured these microprocessor-based automated teller machines for several buyers, with [[NCR Corporation]] as the main customer.<ref>{{cite journal |last1=Aspray |first1=W. |s2cid=15782735 |title=The Intel 4004 microprocessor: what constituted invention? |journal=IEEE Annals of the History of Computing |date=1997 |volume=19 |issue=3 |pages=4–15 |doi=10.1109/85.601727 |issn=1058-6180}}</ref>

[[Mohamed Atalla]] invented the first [[hardware security module]] (HSM),<ref name="Stiennon">{{cite web |last1=Stiennon |first1=Richard |title=Key Management a Fast Growing Space |url=https://securitycurrent.com/key-management-a-fast-growing-space/ |website=SecurityCurrent |publisher=IT-Harvest |access-date=21 August 2019 |date=17 June 2014}}</ref> dubbed the "Atalla Box", a security system which encrypted [[Personal identification number|PIN]] and ATM messages, and protected offline devices with an un-guessable PIN-generating key.<ref name="Lazo">{{cite book |last1=Bátiz-Lazo |first1=Bernardo |title=Cash and Dash: How ATMs and Computers Changed Banking |date=2018 |publisher=[[Oxford University Press]] |isbn=9780191085574 |pages=284 & 311 |url=https://books.google.com/books?id=rWhiDwAAQBAJ&pg=PA284}}</ref> In March 1972, Atalla filed {{US patent|3938091}} for his PIN verification system, which included an encoded [[card reader]] and described a system that utilized [[encryption]] techniques to assure telephone link security while entering personal ID information that was transmitted to a remote location for verification.<ref name="nist">{{cite web |title=The Economic Impacts of NIST's Data Encryption Standard (DES) Program |url=https://www.nist.gov/sites/default/files/documents/2017/05/09/report01-2.pdf |website=[[National Institute of Standards and Technology]] |publisher=[[United States Department of Commerce]] |date=October 2001 |access-date=21 August 2019 |archive-date=30 August 2017 |archive-url=https://web.archive.org/web/20170830020822/https://www.nist.gov/sites/default/files/documents/2017/05/09/report01-2.pdf |url-status=dead }}</ref>

He founded [[Atalla Corporation]] (now [[Utimaco Atalla]]) in 1972,<ref name="Langford">{{cite web |last1=Langford |first1=Susan |title=ATM Cash-out Attacks |url=https://h41382.www4.hpe.com/gfs-shared/20140318153228.pdf |archive-url=https://web.archive.org/web/20190821033406/https://h41382.www4.hpe.com/gfs-shared/20140318153228.pdf |archive-date=2019-08-21 |url-status=live |website=[[Hewlett Packard Enterprise]] |publisher=[[Hewlett-Packard]] |year=2013 |access-date=21 August 2019}}</ref> and commercially launched the "Atalla Box" in 1973.<ref name="Lazo"/> The product was released as the Identikey. It was a card reader and [[Identity verification service|customer identification system]], providing a terminal with [[plastic card]] and PIN capabilities. The Identikey system consisted of a card reader console, two customer [[PIN pad]]s, intelligent controller and built-in electronic interface package.<ref name="Computerworld1978">{{cite journal |title=ID System Designed as NCR 270 Upgrade |journal=[[Computerworld]] |date=13 February 1978 |volume=12 |issue=7 |page=49 |url=https://books.google.com/books?id=fB-Te8d5hO8C&pg=PA49 |publisher=IDG Enterprise}}</ref> The device consisted of two [[keypads]], one for the customer and one for the teller. It allowed the customer to type in a secret code, which is transformed by the device, using a microprocessor, into another code for the teller.<ref name="Computerworld1976">{{cite journal |title=Four Products for On-Line Transactions Unveiled |journal=[[Computerworld]] |date=26 January 1976 |volume=10 |issue=4 |page=3 |url=https://books.google.com/books?id=3u9H-xL4sZAC&pg=PA3 |publisher=IDG Enterprise}}</ref> During a [[Financial transaction|transaction]], the customer's [[Bank card number|account number was read by the card reader]]. This process replaced manual entry and avoided possible key stroke errors. It allowed users to replace traditional customer verification methods such as signature verification and test questions with a secure PIN system.<ref name="Computerworld1978"/> The success of the "Atalla Box" led to the wide adoption of hardware security modules in ATMs.<ref>{{cite book |last1=Bátiz-Lazo |first1=Bernardo |title=Cash and Dash: How ATMs and Computers Changed Banking |date=2018 |publisher=[[Oxford University Press]] |isbn=9780191085574 |page=311 |url=https://books.google.com/books?id=rWhiDwAAQBAJ&pg=PA311}}</ref> Its PIN verification process was similar to the later [[IBM 3624]].<ref>{{cite journal |last1=Konheim |first1=Alan G. |s2cid=1706990 |title=Automated teller machines: their history and authentication protocols |journal=Journal of Cryptographic Engineering |date=1 April 2016 |volume=6 |issue=1 |pages=1–29 |doi=10.1007/s13389-015-0104-3 |url=https://slideheaven.com/automated-teller-machines-their-history-and-authentication-protocols.html |issn=2190-8516 |access-date=22 July 2019 |archive-url=https://web.archive.org/web/20190722030759/https://slideheaven.com/automated-teller-machines-their-history-and-authentication-protocols.html |archive-date=22 July 2019 |url-status=dead |url-access=subscription }}</ref> Atalla's HSM products protect 250{{nbsp}}million [[Card Transaction Data|card transactions]] every day as of 2013,<ref name="Langford"/> and secure the majority of the world's ATM transactions as of 2014.<ref name="Stiennon"/>

The IBM 2984 was a modern ATM and came into use at Lloyds Bank, High Street, Brentwood, Essex, United Kingdom in December 1972. The IBM 2984 was designed at the request of [[Lloyds Bank (historic)|Lloyds Bank]]. The 2984 Cash Issuing Terminal was a true ATM, similar in function to today's machines and named Cashpoint by Lloyds Bank. Cashpoint is still a [[registered trademark]] of Lloyds Bank plc in the UK<ref>{{Cite web |date=1986-10-01 |title=UK00001286879 |url=https://trademarks.ipo.gov.uk/ipo-tmcase/page/Results/1/UK00001286879 |access-date=2025-03-30 |website=[[Intellectual Property Office (United Kingdom)|Intellectual Property Office]]}}</ref> but is often used as a [[List of generic and genericized trademarks|generic trademark]] to refer to ATMs of all UK banks.<ref name=":1" /> All were online and issued a variable amount which was immediately deducted from the account. A small number of 2984s were supplied to a U.S. bank. A couple of well known historical models of ATMs include the [[Atalla Corporation|Atalla Box]],<ref name="Lazo"/> IBM 3614, [[IBM 3624]] and 473x series, [[Diebold 10xx]] and TABS 9000 series, NCR 1780 and earlier NCR 770 series.

The first switching system to enable shared automated teller machines between banks went into production operation on 3 February 1979, in Denver, Colorado, in an effort by Colorado National Bank of Denver and Kranzley and Company of Cherry Hill, New Jersey.<ref>personal knowledge of William Patterson who was there supporting the network {{self-published inline|date=June 2023|reason=Sorry William, I know it's a pain but we can't accept unpublished personal knowledge as a source on Wikipedia}}</ref>

In 2012, a new ATM at [[Royal Bank of Scotland]] allowed customers to withdraw cash up to £130 without a card by inputting a six-digit code requested through their smartphones.<ref>{{cite news |url=https://www.bbc.co.uk/news/business-18409560 |title=ATMs to operate without a card |date=12 June 2012 |work=BBC News |url-status=live |archive-url=https://web.archive.org/web/20120613035141/http://www.bbc.co.uk/news/business-18409560 |archive-date=13 June 2012  }}</ref>

== Location ==
[[File:NBP, World's Highest ATM.jpg|thumb|The world's highest ATM at the [[Khunjerab Pass]] in [[Gilgit Baltistan]], [[Pakistan]] by [[National Bank of Pakistan|NBP]], which is located at the height of {{convert|4693|m}} above sea level<ref>{{cite magazine |title=The World's Highest ATM |url=https://www.atlasobscura.com/places/worlds-highest-atm |access-date=22 October 2019 |magazine=[[Atlas Obscura]]}}</ref>]]
[[File:Hoboken, N.J., Nov. 3, 2012 -- Bank of America and other banks have set up mobile ATMs for survivors of Hurricane Sandy get cash to spend at stores that are open for cash customers. - DPLA - def08f331beecb7cc3210f2c013d1a7a.jpg|thumb|right|Mobile ATM after [[Hurricane Sandy]] in [[New Jersey]]]]
ATMs can be placed at any location but are most often placed near or inside [[bank]]s, [[shopping center]]s, [[airport]]s, [[railway station]]s, [[metro station]]s, [[grocery store]]s, [[Filling station|gas station]]s, [[restaurant]]s, and other locations. ATMs are also found on [[cruise ship]]s and on some [[US Navy]] ships, where sailors can draw out their pay.<ref>[http://fms.treas.gov/navycash/index.html Overview: Navy Cash/Marine Cash: Programs and Systems: Financial Management Service] {{webarchive|url=https://web.archive.org/web/20130303190236/http://www.fms.treas.gov/navycash/index.html |date=3 March 2013 }}. Fms.treas.gov. Retrieved on 2013-08-02.</ref>

ATMs may be on- and off-premises. On-premises ATMs are typically more advanced, multi-function machines that complement a bank branch's capabilities, and are thus more expensive. Off-premises machines are deployed by financial institutions where there is a simple need for cash, so they are generally cheaper single-function devices. [[Independent ATM deployer]]s unaffiliated with banks install and maintain [[white-label ATM]]s.

In the US, Canada and some [[Arab states of the Persian Gulf|Gulf countries]],<ref>{{Cite web |date=Jan 7, 2020 |title=Al Salam Bank-Bahrain opens new branch in Riffa |url=http://tradearabia.com/news/BANK_362552.html |website=TradeArabia }}{{Dead link|date=July 2025 |bot=InternetArchiveBot |fix-attempted=yes }}</ref> banks may have [[drive-thru]] lanes providing access to ATMs using an automobile.

In recent times, countries like India and some countries in Africa are installing solar-powered ATMs in rural areas.<ref name="nanoATM">{{cite news |title=The nano of ATMs for rural masses comes to town |url=http://www.dnaindia.com/bangalore/report-the-nano-of-atms-for-rural-masses-comes-to-town-1358865 |first=Balanarayan |last=NT |date=14 March 2010 |work=[[Daily News and Analysis]] |location=Bangalore |access-date=24 May 2015 |url-status=live |archive-url=https://web.archive.org/web/20150525014956/http://www.dnaindia.com/bangalore/report-the-nano-of-atms-for-rural-masses-comes-to-town-1358865 |archive-date=25 May 2015 }}</ref>

The world's highest ATM is located at the [[Khunjerab Pass]] in [[Pakistan]]. Installed at an elevation of {{convert|4693|m}} by the [[National Bank of Pakistan]], it is designed to work in temperatures as low as -40-degree Celsius.<ref>{{cite web|title=NBP installs 'World's Highest ATM' in Pakistan|url=https://en.dailypakistan.com.pk/pakistan/nbp-installs-worlds-highest-atm-in-pakistan/|website=Daily Pakistan|access-date=26 April 2017|url-status=live|archive-url=https://web.archive.org/web/20170427004627/https://en.dailypakistan.com.pk/pakistan/nbp-installs-worlds-highest-atm-in-pakistan/|archive-date=27 April 2017|date=5 September 2016}}</ref>

== Financial networks ==
{{more citations needed|section|date=June 2018}}<!--only last paragraph is cited-->
[[File:Geldautomaat.jpg|thumb|left|An ATM in the [[Netherlands]]. The [[logo]]s of a number of [[interbank network]]s to which it is connected are shown. The [[PIN (debit card)|PIN]] card logo is not displayed, although this system was in use here at the time.]]

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 accounts or in the countries where their accounts are held (enabling cash withdrawals in local currency). Some examples of interbank networks include [[NYCE]], [[Pulse (interbank network)|PULSE]], [[Plus (interbank network)|PLUS]], [[Cirrus (interbank network)|Cirrus]], [[AFFN]], [[Interac]],<ref>{{cite web|url=http://www.interac.ca/en/interac-cash-consumer.html|title=Interac Cash web page|author=<!--Not stated-->|access-date=2 July 2018}}</ref> Interswitch, [[STAR (interbank network)|STAR]], [[LINK (UK)|LINK]], [[MegaLink]], and [[BancNet]].

ATMs rely on the authorization of a [[financial transaction]] by the card issuer or other authorizing institution on a 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 that operates the ATM; in other cases, they apply to all users.

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 utilises the vault or cash drawer within the merchant establishment, which allows for the use of a [[scrip cash dispenser]].

[[File:Diebold 1063 ATM with modem.jpg|thumb|upright|A [[Diebold 1063]]ix with a dial-up modem visible at the base]]

ATMs typically connect directly to their host or [[ATMC|ATM Controller]] on either [[ADSL]] or dial-up [[modem]] over a [[telephone]] line or directly on a leased line. Leased lines are preferable to [[plain old telephone service]] (POTS) lines because they require less time to establish a connection. Less-trafficked machines will usually rely on a dial-up modem on a POTS line rather than using a leased line, since a leased line may be comparatively more expensive to operate compared to a POTS line. 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 [[Systems Network Architecture|SNA]] over [[Synchronous Data Link Control|SDLC]], a [[Multidrop bus|multidrop protocol]] over [[Asynchronous communication|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 using methods such as [[Secure Sockets Layer|SSL]].<ref>{{Cite web|title=Eicon Networks Develops Ssl-vpn For Secure Remote Working|date=21 February 2005|url=http://www.ebcvg.com/press.php?id=794|access-date=2023-03-27|website=IT Observer 
| url-status= usurped 
|archive-url=https://web.archive.org/web/20070406205127/http://www.ebcvg.com/press.php?id=794|archive-date=6 April 2007}}</ref>

== Global use ==
[[File:Automated teller machines (ATMs), OWID.svg|thumb|left|Number of automated teller machines (ATMs) per 100,000 adults (2017)]]
[[File:HSBC Express Banking in Shatin 2017.jpg|thumb|HSBC Express Banking ATM in, [[Shatin]], [[Hong Kong]]]]
[[File:ATM machines in Siam Paragon.jpg|thumb|Assortment of ATMs in [[Siam Paragon]] shopping centre, [[Bangkok]], [[Thailand]]]]
There are no hard international or government-compiled numbers totaling the complete number of ATMs in use worldwide. Estimates {{as of |2015|lc=yes}} developed by [[ATMIA]] placed the number of ATMs in use at 3 million units, or approximately 1 ATM per 3,000 people in the world.<ref>{{cite web|url=http://www.atmia.com/mig/globalatmclock/ |title=ATM Industry Association Global ATM Clock |publisher=Atmia.com |access-date=2011-09-15 |url-status=dead |archive-url=https://web.archive.org/web/20110913131331/http://www.atmia.com/mig/globalatmclock/ |archive-date=13 September 2011 }}</ref><ref>{{cite web|url=https://www.rbrlondon.com/about/G20_Press_Release_091015.pdf|title=A million new ATMs installed in the last five years|publisher=rbrlondon.com|access-date=2016-12-22|url-status=dead|archive-url=https://web.archive.org/web/20161223062608/https://www.rbrlondon.com/about/G20_Press_Release_091015.pdf|archive-date=23 December 2016}}</ref>

To simplify the analysis of ATM usage around the world, financial institutions generally divide the world into seven regions, based on the penetration rates, usage statistics, and features deployed. Four regions (USA, Canada, Europe, and Japan) have high numbers of ATMs per million people.<ref>{{cite web|url=http://www.interac.org/en_n3_31_abmstats.html |title=Interac Association - Media > Statistics > ABM Stats |access-date=2006-08-11 |url-status=dead |archive-url=https://web.archive.org/web/20061005015130/http://www.interac.org/en_n3_31_abmstats.html |archive-date=5 October 2006 }}</ref><ref>{{cite web|url=http://www.bis.org/publ/cpss74.htm |title=Statistics on payment and settlement systems in selected countries - Figures for 2004 |publisher=Bis.org |date=2006-03-31 |access-date=2011-02-11| archive-url= https://web.archive.org/web/20110117150724/http://www.bis.org/publ/cpss74.htm| archive-date= 17 January 2011 | url-status= live}}</ref> Despite the large number of ATMs, there is additional demand for machines in the Asia/Pacific area as well as in Latin America.<ref>{{cite web|url=http://www.bis.org/cpss/paysysinfo.htm |title=Central bank payment system information |publisher=Bis.org |date=2001-02-05 |access-date=2011-02-11| archive-url= https://web.archive.org/web/20110116023617/http://www.bis.org/cpss/paysysinfo.htm| archive-date= 16 January 2011 | url-status= live}}</ref><ref>{{cite web |url=http://www.eiu.com/site_info.asp?info_name=eiu_Visa_accessing_payments_systems_Latin_America |title=EIU.com |publisher=EIU.com |access-date=2014-02-19 |url-status=live |archive-url=https://web.archive.org/web/20131111073605/http://www.eiu.com/site_info.asp?info_name=eiu_Visa_accessing_payments_systems_Latin_America |archive-date=11 November 2013 }}</ref> [[Macau]] may have the highest density of ATMs at 254 ATMs per 100,000 adults.<ref>{{cite news|last1=Fraiser|first1=Naill|title=ATM withdrawals in Macau top HK$10 billion a month, as authorities ensure machines never run dry, source says|url=https://www.scmp.com/news/hong-kong/economy/article/2093202/atm-withdrawals-macau-top-hk10-billion-month-authorities|access-date=5 May 2017|work=[[South China Morning Post]]|date=5 May 2017|url-status=live|archive-url=https://web.archive.org/web/20170505170051/http://www.scmp.com/news/hong-kong/economy/article/2093202/atm-withdrawals-macau-top-hk10-billion-month-authorities|archive-date=5 May 2017}}</ref>

With the uptake of [[Cashless society|cashless payment solutions]] in the late 2010s, ATM numbers and usage started to decline.  This happened first in developed countries at a time when ATM number were still increasing in Asia and Africa.  {{As of|2021}}, there had been a global decline in the number of ATMs in use, with the average dropping to 39 per 100,000 adults from a peak of 41 per 100,000 adults in 2020.<ref name=decline1 /><ref>{{cite web |url=https://data.worldbank.org/indicator/FB.ATM.TOTL.P5 |title=Automated teller machines (ATMs) (per 100,000 adults) |access-date=March 15, 2023 |publisher=[[World Bank]] }}</ref>

== Hardware ==
[[File:Atm blockdiagram.png|thumb|upright|A block diagram of an ATM]]

An ATM is typically made up of the following devices:
* [[CPU]] (to control the user interface and transaction devices)
* [[Magnetic stripe card|Magnetic]] or [[chip card]] reader (to identify the customer)
* a [[PIN pad]] for accepting and encrypting [[personal identification number]] EPP4 (similar in layout to a [[touch tone]] or [[calculator]] keypad), manufactured as part of a secure enclosure
* [[Secure cryptoprocessor]], generally within a secure enclosure
* Display (used by the customer for performing the transaction)
* [[Function key]] buttons (usually close to the display) or a [[touchscreen]] (used to select the various aspects of the transaction)
* Record printer (to provide the customer with a record of the transaction)
* [[Bank vault|Vault]] (to store the parts of the machinery requiring restricted access)
* Housing (for [[aesthetics]] and to attach signage to)
* Sensors and indicators

Due to heavier computing demands and the falling price of [[personal computer]]–like architectures, ATMs have moved away from custom hardware architectures using [[microcontroller]]s or [[application-specific integrated circuit]]s and have adopted the hardware architecture of a personal computer, such as USB connections for peripherals, Ethernet and IP communications, and use personal computer operating systems.

Business owners often lease ATMs from service providers. However, based on the economies of scale, the price of equipment has dropped to the point where many business owners are simply paying for ATMs using a credit card.

New ADA voice and text-to-speech guidelines imposed in 2010, but required by March 2012<ref>{{cite web |url=https://www.firstdata.com/downloads/thought-leadership/atm_ada_accessibility.pdf |title=Summary of New 2010 Americans with Disabilities Act (ADA) ATM Standards |publisher=firstdata.com |access-date=2014-03-07 |url-status=live |archive-url=https://web.archive.org/web/20140611031808/http://www.firstdata.com/downloads/thought-leadership/atm_ada_accessibility.pdf |archive-date=11 June 2014 }}</ref> have forced many ATM owners to either upgrade non-compliant machines or dispose them if they are not upgradable, and purchase new compliant equipment. This has created an avenue for hackers and thieves to obtain ATM hardware at junkyards from improperly disposed decommissioned machines.<ref>{{cite web |url=http://www.atmdepot.com/discarding-atms/ |title=How to Properly Dispose of Decommissioned ATM |publisher=ATMDepot.com |access-date=2014-03-07 |url-status=live |archive-url=https://web.archive.org/web/20140308045303/http://www.atmdepot.com/discarding-atms/ |archive-date=8 March 2014 }}</ref>

[[File:Two Loomis Employees Refilling an ATM at the Downtown Seattle REI.jpg|thumb|upright|Two [[Loomis (company)|Loomis]] employees refilling an ATM at the Downtown [[Seattle]] [[Recreational Equipment, Inc.|REI]]]]

The vault of an ATM is within the footprint of the device itself and is where items of value are kept. [[Scrip]] cash dispensers, which print a receipt or scrip instead of cash, do not incorporate a vault.

Mechanisms found inside the vault may include:
* Dispensing mechanism (to provide [[cash]] or other items of value)
* Deposit mechanism including a cheque processing module and bulk note acceptor (to allow the customer to make deposits)
* Security sensors (magnetic, thermal, seismic, gas)
* Locks (to control access to the contents of the vault)
* Journaling systems; many are electronic (a sealed flash memory device based on in-house standards) or a solid-state device (an actual printer) which accrues all records of activity including access timestamps, number of notes dispensed, etc. This is considered sensitive data and is secured in similar fashion to the cash as it is a similar liability.

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.<ref>{{cite web |url=http://www.atmdepot.com/help.aspx#f4 |title=ATM ATM Frequently Asked Questions |publisher=Atmdepot.com |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20091019065405/http://www.atmdepot.com/help.aspx#f4 |archive-date=19 October 2009 }}</ref> Industry standard vault configurations include [[Underwriters Laboratories]] UL-291 "Business Hours" and Level 1 Safes,<ref>{{cite web |url=http://ulstandardsinfonet.ul.com/scopes/scopes.asp?fn=0291.html |title=Scope for UL 291 |publisher=Ulstandardsinfonet.ul.com |date=2004-12-21 |access-date=2011-02-11 |archive-url=https://web.archive.org/web/20110105114749/http://ulstandardsinfonet.ul.com/scopes/scopes.asp?fn=0291.html |archive-date=5 January 2011 |url-status=dead }}</ref> RAL TL-30 derivatives,<ref>[http://www.ncr.com/en/products/hardware/hw_atm_p75_ts_product.htm] {{webarchive|url=https://web.archive.org/web/20061122113838/http://www.ncr.com/en/products/hardware/hw_atm_p75_ts_product.htm|date=22 November 2006}}</ref> and CEN EN 1143-1 - CEN III and CEN IV.<ref>{{cite web|url=http://www.cenorm.be/catweb/13.310.htm|title=Home}}{{Dead link|date=October 2022 |bot=InternetArchiveBot |fix-attempted=yes }}</ref><ref>{{cite web|url=http://www.bsonline.bsi-global.com/search/item/1928003 |title=BSI: Standards, Training, Testing, Assessment & Certification |publisher=Bsonline.bsi-global.com |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20071012163647/http://bsonline.bsi-global.com/search/item/1928003 |archive-date=12 October 2007 }}</ref>

ATM manufacturers recommend that a vault be attached to the floor to prevent theft,<ref>{{cite web|url=http://www.tritonatm.com/en/service/manuals/07100-00008F%20(9100UsrMan(5.0)).pdf |title=Triton Systems &#124; ATM manufacturer |publisher=Tritonatm.com |date=2010-11-17 |access-date=2011-02-11}}</ref> though there is a record of a theft conducted by tunnelling into an ATM floor.<ref name=tunnel />

== Software ==
[[File:Windows XP sighted 'in the wild' on a cash point, 3 August 2018.jpg|thumb|right|Although Microsoft discontinued support for the operating system in 2014, a significant number of ATMs as of 2020 still use versions of [[Microsoft Windows XP|Windows XP]], as seen with this machine at a branch of [[Tesco Express]] in [[Slough]], Berkshire.]]
With the migration to commodity Personal Computer hardware, standard commercial "off-the-shelf" operating systems and programming environments can be used inside of ATMs. Typical platforms previously used in ATM development include [[RMX (operating system)|RMX]] or [[OS/2]].

Today, the vast majority of ATMs worldwide use [[Microsoft Windows]].  In early 2014, 95% of ATMs were running Windows XP.<ref>{{Cite news|url=https://www.theverge.com/2014/1/20/5326772/windows-xp-powers-95-percent-of-atms-worldwide|title=The death of Windows XP will impact 95 percent of the world's ATMs|work=The Verge|access-date=2018-01-23|url-status=live|archive-url=https://web.archive.org/web/20171204090736/https://www.theverge.com/2014/1/20/5326772/windows-xp-powers-95-percent-of-atms-worldwide|archive-date=4 December 2017}}</ref> A small number of deployments may still be running older versions of the Windows OS, such as [[Windows NT]], [[Windows CE]], or [[Windows 2000]], even though Microsoft only supports [[Windows 10]] and [[Windows 11]].

There is a computer industry security view that general public desktop operating systems have greater risks as operating systems for cash dispensing machines than other types of operating systems like (secure) [[real-time operating system]]s (RTOS). [[RISKS Digest]] has many articles about ATM operating system vulnerabilities.<ref>{{cite web|url=http://catless.ncl.ac.uk/php/risks/search.php?query=cash+machine|title=Risks search results for "cash machine"|access-date=2 November 2010|archive-url=https://web.archive.org/web/20180727111748/http://catless.ncl.ac.uk/php/risks/search.php?query=cash+machine|archive-date=27 July 2018|url-status=dead}}</ref>

[[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. [[Banco do Brasil]] is also migrating ATMs to Linux. Indian-based [[Vortex Engineering]] is manufacturing ATMs that operate only with Linux.
Common application layer transaction protocols, such as [[Diebold]] 91x (911 or 912) and [[NCR Corporation|NCR NDC or NDC+]] provide [[Hardware emulation|emulation]] of older generations of hardware on newer platforms with incremental extensions made over time to address new capabilities, although companies like NCR continuously improve these protocols issuing newer versions (e.g. NCR's AANDC v3.x.y, where x.y are subversions). Most major ATM manufacturers provide software packages that implement these protocols. Newer protocols such as IFX have yet to find wide acceptance by transaction processors.<ref>{{cite web|url=http://www.selfserviceworld.com/article.php?id=1252 |title=Messaging standard to give multiple channels a common language |publisher=selfserviceworld.com |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20090329032543/http://www.selfserviceworld.com/article.php?id=1252 |archive-date=29 March 2009 }}</ref>

With the move to a more standardised 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|CEN XFS (or simply XFS)]], provides a common [[API]] for accessing and manipulating the various devices of an ATM. [[J/XFS]] is a Java implementation of the CEN XFS API.

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 among various platforms.

With the onset of Windows operating systems and XFS on ATMs, the software applications have the ability to become more intelligent. This has created a new breed of ATM applications commonly referred to as programmable applications. These types of applications allows for an entirely new host of applications in which the ATM terminal can do more than only communicate with the ATM switch. It is now empowered to connected to other content servers and [[video banking]] systems.

Notable ATM software that operates on XFS platforms include Triton PRISM, [[Diebold]] Agilis EmPower, [[NCR Corporation|NCR APTRA Edge]], Absolute Systems AbsoluteINTERACT, [[KAL (Korala Associates Limited)|KAL Kalignite Software Platform]], Phoenix Interactive VISTAatm, [[Wincor Nixdorf|Wincor Nixdorf ProTopas]], [[Euronet Worldwide|Euronet]] EFTS and Intertech inter-ATM.

With the move of ATMs to industry-standard computing environments, concern has risen about the integrity of the ATM's software stack.<ref>{{cite web |url=http://www.technewsworld.com/story/32350.html |title=Technology News: Security: Windows Cash-Machine Worm Generates Concern |date=9 December 2003 |publisher=Technewsworld.com |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20120318100752/http://www.technewsworld.com/story/32350.html |archive-date=18 March 2012 }}</ref>

== Impact on labor ==
The number of tellers in the United States increased from approximately 300,000 in 1970 to approximately 600,000 in 2010. A contributing factor may have been the introduction of automated teller machines. ATMs allow a branch to operate with fewer tellers, making it more economical for banks to open more branches, necessitating more tellers to staff those additional branches. Further automation and online banking, however, may reverse this increase resulting in a trend toward fewer bank teller positions.<ref>{{cite news |url=https://www.recode.net/2017/5/8/15584268/eric-schmidt-alphabet-automation-atm-bank-teller |title=Eric Schmidt said ATMs led to more jobs for bank tellers. It's not that simple. |date=8 May 2017 |author=Tess Townsend  |work=Recode}}</ref>

== Security ==
{{main|Security of automated teller machines}}
ATM [[security]] 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 addressed.

=== Physical ===
[[File:Procash stolen 1.jpg|thumb|upright|A [[Wincor Nixdorf]] Procash 2100xe Frontload that was opened with an [[angle grinder]]]]
Early ATM security focused on making the terminals invulnerable to physical attack; they were effectively safes with dispenser mechanisms. A number of attacks resulted, with thieves attempting to steal entire machines by [[ram-raiding]].<ref>{{cite web|url=http://www.obstructedtechnology.org/tech-news/things-to-keep-in-mind-when-opting-for-free-atm-placements.html|title=Things to Keep in Mind when Opting for Free ATM Placements|access-date=2015-09-15|url-status=dead|archive-url=https://web.archive.org/web/20151121090102/http://www.obstructedtechnology.org/tech-news/things-to-keep-in-mind-when-opting-for-free-atm-placements.html|archive-date=21 November 2015}}</ref> Since the late 1990s, criminal groups operating in Japan improved ram-raiding by stealing and using a truck loaded with heavy construction machinery to effectively demolish or uproot an entire ATM and any housing to steal its cash.

Another attack method, ''[[ATM blow up|plofkraak]]'' (a [[Dutch language|Dutch]] term), 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 machine. 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.<ref>{{cite news |url=http://www.news24.com/SouthAfrica/News/ATM-bombings-up-3000-20080712 |title=ATM bombings up 3000% |access-date=2011-04-07 |date=2008-07-12 |work=News24 |url-status=live |archive-url=https://web.archive.org/web/20120114174333/http://www.news24.com/SouthAfrica/News/ATM-bombings-up-3000-20080712 |archive-date=14 January 2012 }}</ref>

ATM bombings began in the Netherlands, but as the nation reduced the number of machines in the country from 20000 to 5000 and discouraged cash use, the mostly [[Moroccan-Dutch]] gangs expert in the attacks moved elsewhere.{{r|matussek20240809}} Such theft has also occurred in Belgium, France, Denmark, Germany, Australia,<ref>{{cite web|url=https://www.theregister.co.uk/2006/03/14/exploding_atm_attack/|title=Dutch blaggers explode ATMs|website=[[The Register]]|url-status=live|archive-url=https://web.archive.org/web/20170810130621/https://www.theregister.co.uk/2006/03/14/exploding_atm_attack/|archive-date=10 August 2017}}</ref><ref>{{cite news |url=http://www.smh.com.au/news/national/attacks-on-banks-devised-in-europe/2008/11/25/1227491548435.html/ |title=Attacks on banks devised in Europe - National |newspaper=[[The Sydney Morning Herald]]|date=2008-11-25 |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20110629151743/http://www.smh.com.au/news/national/attacks-on-banks-devised-in-europe/2008/11/25/1227491548435.html/ |archive-date=29 June 2011 }}</ref> and the United Kingdom.<ref>{{cite news |work=Businessweek |url=https://www.bloomberg.com/graphics/2015-atm-bombers/ |first=Nick |last=Summers |date=27 January 2015 |title=Boom: Inside a British Bank Bombing Spree |access-date=10 June 2020 }}</ref> When anti-gas explosion prevention devices and reinforced ATMs were installed, criminals began using [[leaf blowers]] to remove smoke, and more powerful solid explosives. Despite German banks spending more than €300 million on additional security, the [[Federal Criminal Police Office (Germany)|Federal Criminal Police Office]] estimated that {{as of|2024|lc=y}} 60% of attacks on ATMs in the country succeeded.<ref name="matussek20240809">{{Cite news |last=Matussek |first=Karin |date=2024-08-09 |title=Germany Is Europe's Prime Target for Audacious ATM Bombings |url=https://www.bloomberg.com/news/articles/2024-08-10/germany-is-europe-s-prime-target-for-audacious-atm-bombings |access-date=2024-08-12 |agency=Bloomberg}}</ref>

Several attacks in the UK (at least one of which was successful) have involved digging a concealed tunnel under the ATM and cutting through the reinforced base to remove the money.<ref name=tunnel>{{cite news |url=https://www.bbc.co.uk/news/uk-england-manchester-16556547 |title=Thieves dig 100ft tunnel to steal cash in Levenshulme |access-date=2012-01-02 |date=2012-01-14 |publisher=BBC |url-status=live |archive-url=https://web.archive.org/web/20120114052858/http://www.bbc.co.uk/news/uk-england-manchester-16556547 |archive-date=14 January 2012 }}</ref>

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 using different types of [[Intelligent banknote neutralisation system|Intelligent Banknote Neutralisation Systems]].

A common method is to simply rob the staff filling the machine with money. To avoid this, the schedule for filling them is kept secret, varying and random. The money is often kept in cassettes, which will dye the money if incorrectly opened.

=== Transactional secrecy and integrity ===

The security of ATM transactions relies mostly on the integrity of the secure [[cryptoprocessor]]: the ATM often uses general commodity components that sometimes 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 [[encryption|encrypted]] with [[Data Encryption Standard|DES]], but transaction processors now usually require the use of [[Triple DES]].<ref>[http://www.atmmarketplace.com/research.htm?article_id=25059&pavilion=126&step=story] {{webarchive|url=https://web.archive.org/web/20061012175105/http://www.atmmarketplace.com/research.htm?article_id=25059&pavilion=126&step=story|date=12 October 2006}}</ref>{{update inline|date=March 2023|reason=3DES itself is highly outdated by now.}} Remote Key Loading techniques may be used to ensure the secrecy of the initialisation of the encryption keys in the ATM. [[Message Authentication Code]] (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 ===
[[File:Japanese ATM Palm Scanner.jpg|thumb|A [[The Bank of Tokyo-Mitsubishi UFJ|BTMU]] ATM with a [[palm scanner]] (to the right of the screen)]]

There have also been a number of incidents of fraud by [[man-in-the-middle attack]]s, 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.<ref>{{cite web|url=http://www.atmmarketplace.com/article.php?id=7000&na=1 |archive-url=https://archive.today/20120718062007/http://www.atmmarketplace.com/article.php?id=7000&na=1 |url-status=dead |archive-date=2012-07-18 |title=The No. 1 ATM security concern |publisher=ATM Marketplace |access-date=2011-02-11 }}</ref><ref>{{cite web |url=http://buy.cuna.org/download/diebold_fraudpaper.pdf |title=Diebold ATM Fraud |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20090930071206/http://buy.cuna.org/download/diebold_fraudpaper.pdf |archive-date=30 September 2009 }}</ref>

Alternative methods to verify cardholder identities have been tested and deployed in some countries, such as finger and palm vein patterns,<ref>{{Cite web
| archive-url= https://web.archive.org/web/20060210152007/http://www.ibia.org/biometrics/industrynews_view.asp?id=30
| archive-date= 10 February 2006
| url= http://www.ibia.org/biometrics/industrynews_view.asp?id=30
| url-status= dead
| title= Japan Seeks To Standardize Biometric ID Method For ATMs
| date= 10 March 2005
| access-date= 2023-03-27
| website= International Biometric Industry Association
| language= en
}}</ref> [[Iris recognition|iris]], and [[facial recognition system|facial recognition]] technologies. Cheaper mass-produced equipment has been developed and is being installed in machines globally that detect the presence of foreign objects on the front of ATMs, current tests have shown 99% detection success for all types of [[Skimming (credit card fraud)|skimming]] devices.<ref>{{Cite web|archive-url=https://web.archive.org/web/20051031070738/http://www.ibia.org/biometrics/industrynews_view.asp?id=103|archive-date=31 October 2005|url=http://www.ibia.org/biometrics/industrynews_view.asp?id=103|title=Cards: Biometrics Stalled Amid The Hype|date=22 August 2005|url-status=dead|access-date=2023-03-27|website=International Biometric Industry Association|language=en}}</ref>

=== Device operation integrity ===
[[File:Worn ATM.jpg|thumb|upright|ATMs that are exposed to the outside must be vandal- and weather-resistant.]]
Openings on the customer side of ATMs are often covered by mechanical shutters to prevent tampering with the mechanisms when they are not in use. Alarm sensors are placed inside ATMs and their servicing areas to alert their operators when doors have been opened by unauthorised personnel.

To protect against hackers, ATMs have a built-in firewall. Once the firewall has detected malicious attempts to break into the machine remotely, the firewall locks down the machine.

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.<ref>{{cite web|url=http://www.kuluttajavirasto.fi/user_nf/default_mag.asp?id=12263&lmf=11440&mode=readdoc&tmf=11440|title=Kilpailu- ja kuluttajavirasto}}</ref> Customers often commented that it is difficult to recover money lost in this way, but this is often complicated by the policies regarding suspicious activities typical of the criminal element.<ref>{{cite web |url=http://moneycentral.msn.com/content/Banking/P57803.asp |title=Banking |publisher=Moneycentral.msn.com |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20080417111312/http://moneycentral.msn.com/content/Banking/P57803.asp |archive-date=17 April 2008 }}</ref>

=== Customer security ===
In some countries, multiple [[security camera]]s and [[security guard]]s are a common feature.<ref>{{cite web|url=http://www.banking.state.ny.us/legal/atmsafe.htm |title=NYSBD - Text of the ATM Safety Act |publisher=Banking.state.ny.us |date=1997-06-01 |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20110410044556/http://www.banking.state.ny.us/legal/atmsafe.htm |archive-date=10 April 2011 }} 
</ref> The [[New York State]] Comptroller's Office has advised the New York State Department of Banking to have more thorough safety inspections of ATMs in high crime areas.<ref>{{cite web|url=http://www.osc.state.ny.us/press/releases/oct07/100407.htm |title=DiNapoli Calls for Better Oversight of Bank ATMs |publisher=Osc.state.ny.us |date=2007-10-04 |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20110610044250/http://www.osc.state.ny.us/press/releases/oct07/100407.htm |archive-date=10 June 2011 }}</ref>

Consultants of ATM operators assert that the issue of customer security should have more focus by the banking industry;<ref>[http://www.atmmarketplace.com/research.htm?article_id=5171&pavilion=4&step=story] {{webarchive|url=https://web.archive.org/web/20060509230352/http://www.atmmarketplace.com/research.htm?article_id=5171&pavilion=4&step=story|date=9 May 2006}}</ref> it has been suggested that efforts are now more concentrated on the preventive measure of deterrent legislation than on the problem of ongoing forced withdrawals.<ref>[http://www.atmmarketplace.com/news_story.htm?i=20479] {{webarchive|url=https://web.archive.org/web/20060509230332/http://www.atmmarketplace.com/news_story.htm?i=20479|date=9 May 2006}}</ref>

[[File:ATMs In A Van.jpg|thumb|left|Dunbar armored personnel watching over ATMs that have been installed in a [[van]]]]
At least as far back as 30 July 1986, consultants of the industry have advised for the adoption of an emergency PIN system for ATMs, where the user is able to send a [[panic alarm|silent alarm]] in response to a threat.<ref>Representative Mario Biaggi, Congressional Record, 30 July 1986, Page 18232 et seq.</ref> Legislative efforts to require an emergency PIN system have appeared in [[Illinois]],<ref>{{cite web|url=http://www.obre.state.il.us/AGENCY/News/atmrpt.htm |title=ATM Report |publisher=Obre.state.il.us |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20101104220104/http://www.obre.state.il.us/AGENCY/News/atmrpt.htm |archive-date=4 November 2010 }}</ref> [[Kansas]]<ref>{{Cite web
| archive-url= https://web.archive.org/web/20040512032514/https://www.cunews.com/newsletters/2004216.htm
| archive-date= 12 May 2004
|title=Credit Union tech-talk News 2/16/04
|url=https://www.cunews.com/newsletters/2004216.htm
| url-status= dead 
|access-date=2023-03-27|website=cunews.com
| at= ATMs / Kiosks}}</ref><ref>{{Cite web|url=http://www.kansas.gov/government/legislative/bills/2004/333.pdf|title=Senate Bill No. 333|date=2004|website=www.kansas.gov|archive-url=https://web.archive.org/web/20181214063626/http://www.kansas.gov/government/legislative/bills/2004/333.pdf|archive-date=14 December 2018|url-status=live|access-date=2018-12-14}}</ref> and [[Georgia (U.S. state)|Georgia]],<ref>{{cite web|url=http://www.legis.state.ga.us/legis/2005_06/versions/sb379_SB_379_PF_2.htm |title=sb379_SB_379_PF_2.html |publisher=Legis.state.ga.us |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20100831204344/http://www.legis.state.ga.us/legis/2005_06/versions/sb379_SB_379_PF_2.htm |archive-date=31 August 2010 }}</ref> but none has succeeded yet. In January 2009, Senate Bill 1355 was proposed in the Illinois Senate that revisits the issue of the reverse emergency PIN system.<ref>{{cite web |url=http://www.ilga.gov/legislation/BillStatus.asp?DocNum=1355&GAID=10&DocTypeID=SB&LegId=42570&SessionID=76&GA=96 |title=Illinois General Assembly - Bill Status for SB1355 |publisher=Ilga.gov |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20101111052035/http://www.ilga.gov/legislation/BillStatus.asp?DocNum=1355&GAID=10&DocTypeID=SB&LegId=42570&SessionID=76&GA=96 |archive-date=11 November 2010 }}</ref> The bill is again supported by the police and opposed by the banking lobby.<ref>{{cite web |last=Kravetz |first=Andy |url=http://www.pjstar.com/news/x1745367387/ATM-software-aimed-at-reversing-crime |title=ATM software aimed at reversing crime - Peoria, IL |publisher=pjstar.com |date=2009-02-18 |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20110118225019/http://www.pjstar.com/news/x1745367387/ATM-software-aimed-at-reversing-crime |archive-date=18 January 2011 }}</ref>

In 1998, three towns outside Cleveland, Ohio, in response to an ATM crime wave, adopted legislation requiring that an [[emergency telephone number]] switch be installed at all outdoor ATMs within their jurisdiction. In the wake of a homicide in Sharon Hill, Pennsylvania, the city council passed an ATM security bill as well.

In China and elsewhere, many efforts to promote security have been made. On-premises ATMs are often located inside the bank's lobby, which may be accessible 24 hours a day. These lobbies have extensive security camera coverage, a courtesy telephone for consulting with the bank staff, and a security guard on the premises. Bank lobbies that are not guarded 24 hours a day may also have secure doors that can only be opened from outside by swiping the bank card against a wall-mounted scanner, allowing the bank to identify which card enters the building. Most ATMs will also display on-screen safety warnings and may also be fitted with convex mirrors above the display allowing the user to see what is happening behind them.

As of 2013, the only claim available about the extent of ATM-connected homicides is that they range from 500 to 1,000 per year in the US, covering only cases where the victim had an ATM card and the card was used by the killer after the known time of death.<ref>[http://www.wctv.tv/home/headlines/Could_Reverse_Pin_Save_Lives_at_ATM_152336195.html Could Reverse PIN Save Lives at ATM?] {{webarchive|url=https://web.archive.org/web/20141013150036/http://www.wctv.tv/home/headlines/Could_Reverse_Pin_Save_Lives_at_ATM_152336195.html |date=13 October 2014 }}. Wctv.tv. Retrieved on 2013-08-02.</ref>

===Jackpotting===
The term {{em|jackpotting}} is used to describe one method criminals utilize to steal money from an ATM.  The thieves gain physical access through a small hole drilled in the machine. They disconnect the existing hard drive and connect an external drive using an industrial endoscope. They then depress an internal button that reboots the device so that it is now under the control of the external drive. They can then have the ATM dispense all of its cash.<ref>{{cite news |title=ATM makers warn of 'jackpotting' hacks on U.S. machines |url=https://www.reuters.com/article/us-cyber-atms-usa/atm-makers-warn-of-jackpotting-hacks-on-u-s-machines-idUSKBN1FG0WU |newspaper=[[Reuters]] |date=27 January 2018 |access-date=2018-01-28 }}</ref>

===Encryption===
In recent years, many ATMs also encrypt the hard disk. This means that actually creating the software for [[jackpotting]] is more difficult, and provides more security for the ATM.

== Uses ==
[[File:Dual currency cash machines in Jersey.jpg|thumb|Two NCR Personas 84 ATMs at a [[bank]] in [[Jersey]] dispensing two types of [[pound sterling]] banknotes: [[Bank of England note issues|Bank of England]] on the left, and [[Jersey pound|States of Jersey]] on the right]]
[[File:Gold-vending ATM in NYC.jpg|thumb|Gold vending ATM in [[New York City]]]]
ATMs were originally developed as cash dispensers, and have evolved to provide many other bank-related functions: 
* Paying routine bills, fees, and taxes (utilities, phone bills, social security, legal fees, income taxes, etc.)
* Printing or ordering [[bank statement]]s
* Updating [[passbook]]s
* [[Cash advance]]s
* Cheque Processing Module
* Paying (in full or partially) the credit balance on a card linked to a specific [[Current account (banking)|current account]].
* Transferring money between linked accounts (such as transferring between accounts)
* Deposit currency recognition, acceptance, and recycling<ref>{{cite web|url=http://www.selfserviceworld.com/article.php?id=15827&site=5&prc= |title=Rising interest rates, gas prices hit vault-cash providers |publisher=selfserviceworld.com |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20090329032548/http://www.selfserviceworld.com/article.php?id=15827&site=5&prc= |archive-date=29 March 2009 }}</ref>
In some countries, especially those which benefit from a fully integrated cross-bank network (e.g.: [[Multibanco]] in Portugal), ATMs include many functions that are not directly related to the management of one's own bank account, such as:
* Loading monetary value into [[stored-value card]]s
* Adding pre-paid [[cell phone]] / [[mobile phone]] credit.
* Purchasing
** Concert tickets
** [[Gold]]<ref>{{Cite web|last=Lynn|first=Matthew
|date= 7 July 2011
|title=What will replace the dollar as global currency?|url=https://www.marketwatch.com/story/what-will-replace-the-dollar-as-global-currency-2011-07-07|access-date=2023-03-27|website=MarketWatch|language=EN-US}}</ref>
** [[Lottery]] tickets
** Movie tickets
** [[Postage stamp]]s.
** [[Public transport#Ticket systems|Train tickets]]
** [[Shopping mall]] [[gift certificate]]s.
* Donating to charities<ref>{{cite news |last=Harvey |first=Rachel |url=https://news.bbc.co.uk/2/hi/asia-pacific/4597692.stm |title=Asia-Pacific &#124; Indonesians make ATM sacrifices |work=BBC News |date=2006-01-10 |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20090115100724/http://news.bbc.co.uk/1/hi/world/asia-pacific/4597692.stm |archive-date=15 January 2009 }}</ref>

Increasingly, banks are seeking to use the ATM as a sales device to deliver pre approved loans and targeted advertising using products such as ITM (the Intelligent Teller Machine) from Aptra Relate from NCR.<ref>{{cite web |url=http://www.wincor-nixdorf.com/internet/se/Products/Software/Banking/MultiChannel/ProSales/index.html |title=Wincor Nixdorf Germany |language=de |publisher=Wincor-nixdorf.com |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20070927225539/http://www.wincor-nixdorf.com/internet/se/Products/Software/Banking/MultiChannel/ProSales/index.html |archive-date=27 September 2007 }}</ref> ATMs can also act as an advertising channel for other companies.<ref>{{cite web |url=http://www.creativematch.co.uk/?action=viewnews&ni=90724 |title=ATM:ad First For Comic Relief |publisher=creativematch |date=2005-03-10 |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20110929024028/http://www.creativematch.co.uk/?action=viewnews&ni=90724 |archive-date=29 September 2011 }}</ref>*

[[File:ATM with various function.JPG|thumb|A [[South Korea]]n ATM with mobile bank port and [[bar code reader]]]]
However, several different ATM technologies have not yet reached worldwide acceptance, such as:
* [[Videoconferencing]] with human tellers, known as video tellers<ref>{{cite web|last=Fernandes|first=Deirdre|title=Boston customers test new video ATMs|url=https://www.bostonglobe.com/business/2013/09/05/some-boston-bank-customers-test-new-video-atms/wvmEyd9cVzwvzCa9dZpN0M/story.html|work=The Boston Globe|access-date=13 October 2013|date=5 September 2013|url-status=live|archive-url=https://web.archive.org/web/20131014174136/http://www.bostonglobe.com/business/2013/09/05/some-boston-bank-customers-test-new-video-atms/wvmEyd9cVzwvzCa9dZpN0M/story.html|archive-date=14 October 2013}}</ref>
* [[Biometrics]], where authorization of transactions is based on the scanning of a customer's fingerprint, iris, face, etc.<ref>{{cite web |url=http://search.japantimes.co.jp/cgi-bin/nn20060806a5.html |title=Japan Post to go with fingerprints for ATMs &#124; The Japan Times Online |publisher=Search.japantimes.co.jp |date=2006-08-06 |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20100815053800/http://search.japantimes.co.jp/cgi-bin/nn20060806a5.html |archive-date=15 August 2010 }}</ref><ref>{{cite web |url=http://web-japan.org/trends/science/sci050510.html |title="Place Your Hand on the Scanner" &#124; Science and Technology &#124; Trends in Japan |publisher=Web Japan |date=2005-05-10 |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20110903234941/http://web-japan.org/trends/science/sci050510.html |archive-date=3 September 2011 }}</ref><ref>{{cite news |url=http://www.bizjournals.com/philadelphia/stories/1996/11/11/story4.html |title=Sensar has its eye on the prize with $42 million Japanese deal &#124; Philadelphia Business Journal |publisher=Bizjournals.com |date=1996-11-11 |access-date=2011-02-11 |first=Diane |last=Mastrull |url-status=live |archive-url=https://web.archive.org/web/20120417080504/http://www.bizjournals.com/philadelphia/stories/1996/11/11/story4.html |archive-date=17 April 2012 }}</ref>
* Cheque/cash Acceptance, where the machine accepts and recognises cheques and/or currency without using envelopes<ref>{{cite web|url=http://www.bai.org/nl/v1/N20/articles/V1_N20_01.asp?WT.mc_id=BSRDI_ARTICLEARCHIVE_V1_N20_01 |title=BAI Banking Strategies Magazine - Articles Online |publisher=Bai.org |date=2011-02-01 |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20080511163800/http://www.bai.org/nl/v1/N20/articles/V1_N20_01.asp?WT.mc_id=BSRDI_ARTICLEARCHIVE_V1_N20_01 |archive-date=11 May 2008 }}</ref> Expected to grow in importance in the US through [[Check 21]] legislation.
* [[Barcode reader|Bar code scanning]]<ref>{{cite web|url=http://accurapid.com/journal/16brasbank.htm |title=The Check is NOT in the Mail |publisher=Accurapid.com |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20101212031915/http://accurapid.com/journal/16brasbank.htm |archive-date=12 December 2010 }}</ref>
* On-demand printing of "items of value" (such as movie tickets, [[traveler's cheque]]s, etc.)
* Dispensing additional media (such as phone cards)
* Co-ordination of ATMs with mobile phones<ref>{{cite web |url=https://www.engadget.com/2006/01/27/japanese-bank-to-allow-cellphone-atm-access/ |title=Japanese bank to allow cellphone ATM access |date=27 January 2006 |publisher=Engadget |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20110629123757/http://www.engadget.com/2006/01/27/japanese-bank-to-allow-cellphone-atm-access/ |archive-date=29 June 2011 }}</ref>
* Integration with non-banking equipment<ref>{{cite web |url=http://www.freescale.com/webapp/sps/site/application.jsp?nodeId=02430ZR8tt8105 |title=Industrial Automated Gas Pumping Station and ATM MCF547x ColdFire Solutions By Freescale |publisher=Freescale.com |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20120316101446/http://www.freescale.com/webapp/sps/site/application.jsp?nodeId=02430ZR8tt8105 |archive-date=16 March 2012 }}</ref><ref>{{cite web|url=http://www.nrtpos.com/html/gamingquickjack.shtml |title=NRT Technology Corporation - Gaming and casino solutions: QuickJack |publisher=Nrtpos.com |access-date=2011-02-11 |url-status=usurped |archive-url=https://web.archive.org/web/20090528091753/http://www.nrtpos.com/html/gamingquickjack.shtml |archive-date=28 May 2009 }}</ref>
* Games and promotional features<ref>{{cite news |url=https://news.bbc.co.uk/1/hi/business/4700053.stm |title=Business &#124; Bank puts the 'fun' into 'funds' |work=BBC News |date=2005-07-20 |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20090115110125/http://news.bbc.co.uk/1/hi/business/4700053.stm |archive-date=15 January 2009 }}</ref>
* [[Customer relationship management|CRM]] through the ATM
Videoconferencing teller machines are currently referred to as Interactive Teller Machines. Benton Smith writes in the Idaho Business Review, "The software that allows interactive teller machines to function was created by a Salt Lake City-based company called uGenius, a producer of video banking software. NCR, a leading manufacturer of ATMs, acquired uGenius in 2013 and married its own ATM hardware with uGenius' video software."<ref>{{Cite news|url=https://idahobusinessreview.com/2016/06/16/interactive-teller-machines-allow-tellers-to-work-remotely/|title=Interactive teller machines allow tellers to work remotely|last=Smith|first=Benton Alexander|date=16 June 2016|work=The Idaho Business Review}}</ref>
*Pharmacy dispensing units<ref>{{cite news |title=These ATMs have swopped bills for pills. Here's why. |url=https://bhekisisa.org/article/2018-11-07-00-these-atms-have-swopped-bills-for-pills-heres-why |access-date=15 February 2019 |publisher=Bhekisisa |date=7 November 2018}}</ref>

== Reliability ==
[[File:DeLaRue ATM Crash.jpg|thumb|left|An ATM running [[Microsoft Windows]] that has [[blue screen of death|crashed]] due to a peripheral component failure]]

Before an ATM is placed in a public place, it typically has undergone extensive testing with both [[Test Money|test money]] and the [[Front and back ends|backend]] computer systems that allow it to perform transactions. Banking customers also have come to expect high reliability in their ATMs,<ref>{{cite web |url=http://www.managementjournals.com/journals/marketing/article27-p5.htm |title=Barking Up the Wrong Tree – Factors Influencing Customer Satisfaction in Retail Banking in the UK - Page 5 |publisher=Managementjournals.com |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20110116061441/http://www.managementjournals.com/journals/marketing/article27-p5.htm |archive-date=16 January 2011 }}</ref> which provides incentives to ATM providers to minimise machine and network failures. Financial consequences of incorrect machine operation also provide high degrees of incentive to minimise malfunctions.<ref>{{cite news|author=Rebecca Allison |url=https://www.theguardian.com/uk_news/story/0,3604,875749,00.html |title=ATM gives out free cash and lands family in court &#124; UK news |newspaper=The Guardian |date= 2003-01-16|access-date=2011-02-11 |location=London}}</ref>

ATMs and the supporting electronic financial networks are generally very reliable, with industry benchmarks typically producing 98.25% customer availability for ATMs<ref>[http://www.ncr.com/en/self-service/services_v_1.pdf] {{webarchive|url=https://web.archive.org/web/20061122012524/http://www.ncr.com/en/self-service/services_v_1.pdf|date=22 November 2006}}</ref> and up to 99.999% availability for host systems that manage the networks of ATMs. If ATM networks 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.

[[File:NCR Interactive Teller Machine.png|thumb|A NCR Interactive Teller Machine running uGenius software]]
This said, 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 (currency)|denomination]] of [[banknote]] being loaded in the money cassettes.<ref>{{cite news | url=https://news.bbc.co.uk/2/hi/uk_news/england/tyne/3667279.stm | work=BBC News | title=Double money in cash point error | date=2004-04-28 | url-status=live | archive-url=https://web.archive.org/web/20090115111715/http://news.bbc.co.uk/1/hi/england/tyne/3667279.stm | archive-date=15 January 2009 }}</ref> The result of receiving too much money may be influenced by the card holder agreement in place between the customer and the bank.<ref>{{cite web |url=http://www.rbcroyalbank.com/cards/documentation/ch_agreements/ch_agree_client.html |title=RBC Royal Bank Card Products - Consumer Visa Cards - Cardholder Agreement |access-date=2006-08-05 |url-status=live |archive-url=https://web.archive.org/web/20060628204818/http://www.rbcroyalbank.com/cards/documentation/ch_agreements/ch_agree_client.html |archive-date=28 June 2006 }}</ref><ref>{{cite news |url=https://news.bbc.co.uk/2/hi/europe/4552288.stm |title=Europe &#124; Mad rush to faulty ATM in France |work=BBC News |date=2005-12-23 |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20090115044752/http://news.bbc.co.uk/1/hi/world/europe/4552288.stm |archive-date=15 January 2009 }}</ref>

Errors that can occur may be [[Machine|mechanical]] (such as card transport mechanisms; keypads; [[hard disk failure]]s; envelope deposit mechanisms); [[software]] (such as [[operating system]]; [[device driver]]; [[application software|application]]); [[information transfer|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 its users 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 [[counterfeit]] banknotes from an ATM. While bank personnel are generally trained better at spotting and removing counterfeit cash,<ref>[http://www.ottawabusinessjournal.com/286598582617402.php] {{webarchive|url=https://web.archive.org/web/20150910100650/http://www.ottawabusinessjournal.com/286598582617402.php|date=10 September 2015}}</ref><ref>{{cite web |url=http://www.bankofcanada.ca/en/banknotes/education/index.htm |archive-url=https://wayback.archive-it.org/all/20080511084240/http://www.bankofcanada.ca/en/banknotes/education/index.html |url-status=dead |archive-date=11 May 2008 |title=Materials- Bank Notes- Bank of Canada |publisher=Bankofcanada.ca |access-date=2011-02-11 }}</ref> the resulting ATM money supplies used by banks provide no guarantee for proper banknotes, as the [[Federal Criminal Police Office (Germany)|Federal Criminal Police Office of Germany]] has confirmed that there are regularly incidents of false banknotes having been dispensed through ATMs.<ref>{{cite web|url=http://www.stern.de/wirtschaft/geldanlage/:Falschgeld-Bl%FCten-Geldautomat/523625.html |title=Falschgeld: Blüten aus dem Geldautomat? - Wirtschaft |publisher=Stern.De |date=2004-05-05 |access-date=2011-02-11}}</ref> Some ATMs may be stocked and wholly owned by outside companies, which can further complicate this problem.
[[Bill validator|Bill validation]] technology can be used by ATM providers to help ensure the authenticity of the cash before it is stocked in the machine; those with cash recycling capabilities include this capability.<ref>{{cite web |url=http://www.wincor-nixdorf.com/internet/com/Products/CashSystems/CashRecycling/ProCash3100/index.html |title=Wincor Nixdorf Germany |language=de |publisher=Wincor-nixdorf.com |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20070927225656/http://www.wincor-nixdorf.com/internet/com/Products/CashSystems/CashRecycling/ProCash3100/index.html |archive-date=27 September 2007 }}</ref>

In India, whenever a transaction fails with an ATM due to network or technical issues and if the amount does not get dispensed in spite of the account being debited then the banks are supposed to return the debited amount to the customer within seven working days from the day of receipt of a complaint. Banks are also liable to pay the late fees in case of delay in repayment of funds post seven days.<ref>{{Cite web | url=https://www.rbi.org.in/scripts/FS_RTI_Diclosure_Logs.aspx?fn=9 |title = Reserve Bank of India - Function Wise Monetary}}</ref>

== Fraud ==
[[File:ATM lineup on ground.jpg|thumb|ATM lineup]]
[[File:Tamper warning on ATM in London.jpg|thumb|Some ATMs may display warning messages to customers to be vigilant of possible [[Tampering (crime)|tampering]].]]
[[File:10 euro notes from an ATM robbery.jpg|thumb|[[10 euro note]]s from an ATM robbery made unusable with [[Intelligent banknote neutralisation system|red dye]]{{Citation needed|date=January 2020}}]]

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 stole information from cards inserted into the machine by customers.<ref>{{cite magazine |url=https://www.wired.com/wired/archive/1.05/atm_pr.html |title=1.05: The Bucklands Boys and Other Tales of the ATM |magazine=Wired |access-date=2011-02-11 |first=Phil |last=Patton |url-status=live |archive-url=https://web.archive.org/web/20101029073146/http://www.wired.com/wired/archive/1.05/atm_pr.html |archive-date=29 October 2010 |date=May 1993 }}</ref>

[[WAVY-TV]] reported an incident in Virginia Beach in September 2006 where a hacker, who had probably obtained a factory-default administrator password for a filling station's white-label ATM, caused the unit to assume it was loaded with US$5 bills instead of $20s, enabling himself—and many subsequent customers—to walk away with four times the money withdrawn from their accounts.<ref>{{cite news |url=http://www.cnn.com/video/player/player.html?url=/video/tech/2006/09/14/owens.va.atm.scam.wavy |title=Video |publisher=Cnn.com |date=2005-06-06 |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20121109222545/http://www.cnn.com/video/player/player.html?url=%2Fvideo%2Ftech%2F2006%2F09%2F14%2Fowens.va.atm.scam.wavy |archive-date=9 November 2012 }}</ref> This type of scam was featured on the TV series ''[[The Real Hustle]]''.

ATM behaviour 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 accounts, which could result in fraud if the customers intentionally withdraw more money than they had in their accounts.<ref>{{cite web|url=http://www.austlii.edu.au/au/cases/cth/HCA/1986/4.html |title=Kennison v Daire [1986&#93; HCA 4; (1986) 160 CLR 129 (20 February 1986) |publisher=Austlii.edu.au |date=1986-02-20 |access-date=2011-02-11}}</ref>

=== Card fraud ===
In an attempt to prevent criminals from [[shoulder surfing (computer security)|shoulder surfing]] the customer's [[personal identification number]] (PIN), some banks draw privacy areas on the floor.

For a low-tech form of fraud, the easiest is to simply steal a customer's card along with its PIN. 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, using the card and its PIN.

This type of fraud has spread globally. Although somewhat replaced in terms of volume by skimming incidents, a re-emergence of card trapping has been noticed in regions such as Europe, where EMV chip and PIN cards have increased in circulation.<ref>{{cite web |url=http://www.atmsecurity.com/articles/atm-fraud/atm-security-issues-atm-fraud-issues-by-geography.html |title=ATM Security Issues & ATM Fraud Issues by Geography &#124; ATMSecurity.com ATM Security news ATM Security issues ATM fraud info ATM |publisher=Atmsecurity.com |date=2009-03-04 |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20101024215333/http://www.atmsecurity.com/articles/atm-fraud/atm-security-issues-atm-fraud-issues-by-geography.html |archive-date=24 October 2010 }}</ref>

Another simple form of fraud involves attempting to get the customer's bank to issue a new card and its PIN and stealing them from their mail.<ref>{{cite web|url=http://venus.soci.niu.edu/~cudigest/phracks/phrack-08 |title=Archived copy |access-date=2008-03-13 |url-status=dead |archive-url=https://web.archive.org/web/20080724213440/http://venus.soci.niu.edu/~cudigest/phracks/phrack-08 |archive-date=24 July 2008 }} 
</ref>

By contrast, a newer high-tech method of operating, sometimes called '''card skimming''' or '''card cloning''', 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 or a false PIN keypad to observe the user's PIN. Card data is then cloned into a duplicate card and the criminal attempts a standard cash withdrawal. The availability of low-cost commodity wireless cameras, keypads, card readers, and card writers has made it a relatively simple form of fraud, with comparatively low risk to the fraudsters.<ref>{{cite web|url=http://www.snopes.com/crime/warnings/atmcamera.asp|title=Skimming with ATM Cameras : snopes.com|author=snopes|date=29 March 2016|work=snopes}}</ref>

In an attempt to stop these practices, countermeasures against card cloning have been developed by the banking industry, in particular by the use of [[smart card]]s which cannot easily be copied or spoofed by unauthenticated devices, and by attempting to make the outside of their ATMs [[tamper-evident|tamper evident]]. Older chip-card security systems include the French [[Carte Bleue]], [[Visa Cash]], [[Mondex]], [[Blue from American Express]]<ref>{{cite magazine |url=http://www.fastcompany.com/magazine/56/wth.html |title=What the Hell Do Smart Cards Do? |magazine=Fast Company |date=2002-02-28 |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20100701223645/http://www.fastcompany.com/magazine/56/wth.html |archive-date=1 July 2010 }}</ref> and [[EMV 96|EMV '96 or EMV 3.11]]. The most actively developed form of smart card security in the industry today is known as [[EMV 2000|EMV 2000 or EMV 4.x]].

[[EMV]] is widely used in the UK ([[Chip and PIN]]) and other parts of Europe, but when it is not available in a specific area, ATMs must fall back to using the easy–to–copy magnetic stripe to perform transactions. This fallback behaviour can be exploited.<ref>{{cite news |url=http://www.hindu.com/2006/05/19/stories/2006051920380300.htm |title=Tamil Nadu / Chennai News : Four more held in fake credit card racket case |date=2006-05-19 |access-date=2011-02-11 |location=Chennai, India |url-status=dead |archive-url=https://web.archive.org/web/20110810232850/http://www.hindu.com/2006/05/19/stories/2006051920380300.htm |newspaper=[[The Hindu]] |archive-date=10 August 2011 }}</ref> However, the fallback option has been removed on the ATMs of some UK banks, meaning if the chip is not read, the transaction will be declined.

Card cloning and [[Skimming (credit card fraud)|skimming]] can be detected by the implementation of magnetic card reader heads and firmware that can read a signature embedded in all magnetic stripes during the card production process. This signature, known as a "MagnePrint" or "BluPrint", can be used in conjunction with common two-factor authentication schemes used in ATM, debit/retail point-of-sale and prepaid card applications.

The concept and various methods of copying the contents of an ATM card's magnetic stripe onto a duplicate card to access other people's financial information were well known in the hacking communities by late 1990.<ref>{{cite web |author=Fredric L. Rice, Organised Crime Civilian Response |url=http://www.skepticfiles.org/hacker/phrack32.htm |title=Phrack Classic Volume Three, Issue 32, File #1 of XX Phrack Classic Newsletter Issue XXXII |publisher=Skepticfiles.org |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20101121231232/http://www.skepticfiles.org/hacker/phrack32.htm |archive-date=21 November 2010 }}</ref>

In 1996, Andrew Stone, a computer security consultant from Hampshire in the UK, was convicted of stealing more than £1&nbsp;million by pointing high-definition video cameras at ATMs from a considerable distance and 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.<ref>{{cite web |author=Stephen Castell |url=http://itnow.oxfordjournals.org/cgi/content/abstract/38/6/17 |title=Seeking after the truth in computer evidence: any proof of ATM fraud? — ITNOW  |doi=10.1093/combul/38.6.17 |publisher=Itnow.oxfordjournals.org |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20071012184756/http://itnow.oxfordjournals.org/cgi/content/abstract/38/6/17 |archive-date=12 October 2007 }}</ref>

== Related devices ==
{{Banking|terms}}
A [[talking ATM]] is a type of ATM that provides audible instructions so that people who cannot read a screen can independently use the machine, therefore effectively eliminating the need for assistance from an external, potentially malevolent source. 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.<ref>{{cite web |archive-url=https://web.archive.org/web/20110129211251/http://zidbits.com/2011/01/25/why-is-there-braille-on-drive-up-atm-machines/ |archive-date=29 January 2011 |url-status=dead |url=http://zidbits.com/2011/01/25/why-is-there-braille-on-drive-up-atm-machines/ |title=Why is there braille on drive-up ATMs? |publisher=Zidbits |date=2011-01-25 |access-date=2011-02-11 }}</ref> Information is delivered to the customer either through pre-recorded [[sound]] files or via text-to-speech [[speech synthesis]].

A postal [[interactive kiosk]] may share many components of an ATM (including a vault), but it only dispenses items related to postage.<ref>{{cite web|url=http://www.usps.com/communications/news/press/2004/pr04_098.htm |title=Postal Service Mailing Kiosks Now in Every State |publisher=Usps.com |date=2004-12-30 |access-date=2011-02-11 |url-status=dead |archive-url=https://web.archive.org/web/20110103030043/http://www.usps.com/communications/news/press/2004/pr04_098.htm |archive-date=3 January 2011 }}</ref><ref>{{Cite web
| archive-url = https://web.archive.org/web/20160413211117/http://www.lunewsviews.com/apc.htm
| first = Bill | last = Lewis
| archive-date= 13 April 2016
| date = 2005 | title= Automated Postal Centers
|url=http://www.lunewsviews.com/apc.htm|access-date=2023-03-27|website=www.postalreporter.com}}</ref>

A '''scrip cash dispenser''' or '''cashless ATM''' may have many components in common with an ATM, but it 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 or [[scrip]]. The customer then takes this receipt to a nearby sales clerk, who then exchanges it for cash from the till.<ref>{{cite web |url=http://www.atmscrip.com/what_is_scrip.html |title=About Script ATMs: How Do Cashless ATMs Work? - What is Scrip, or Cashless ATMs? |publisher=Atmscrip.com |access-date=2011-02-11 |url-status=live |archive-url=https://web.archive.org/web/20110324150807/http://www.atmscrip.com/what_is_scrip.html |archive-date=24 March 2011 }}</ref>

A [[teller assist unit]] (TAU) is distinct in that it is designed to be operated solely by trained personnel and not by the general public, does integrate directly into interbank networks, and usually is controlled by a computer that is not directly integrated into the overall construction of the unit.

A Web ATM is an online interface for ATM card banking that uses a [[Card reader#Smart card readers|smart card reader]]. All the usual ATM functions are available, except for withdrawing cash. Most banks in [[Taiwan]] provide these online services.<ref>{{cite web |url=https://netbank.megabank.com.tw/natm/ |title=Megabank WebATM |url-status=live |archive-url=https://web.archive.org/web/20150319155928/https://netbank.megabank.com.tw/natm/ |archive-date=19 March 2015 }}</ref><ref>{{cite web |url=https://webatm.post.gov.tw/postatm/index1.jsp |title=Post Office Bank WebATM |url-status=live |archive-url=https://web.archive.org/web/20150409144215/https://webatm.post.gov.tw/postatm/index1.jsp |archive-date=9 April 2015 }}</ref>

== See also ==
{{Div col|colwidth=20em}}
* [[ATMIA|ATM Industry Association (ATMIA)]]
* [[Automated cash handling]]
* [[Banknote counter]]
* [[Bitcoin ATM]]
* [[Cash register]]
* [[EFTPOS]]
* [[Electronic funds transfer]]
* [[Financial cryptography]]
* [[Key management]]
* [[Payroll]]
* [[Phantom withdrawal]]
* [[Self service]]
* [[Teller system]]
* [[Verification and validation]]
{{div col end}}
{{Portal bar|Business and Economics|Numismatics|Banks}}

== References ==
{{Reflist|30em}}

== Further reading ==
* Ali, Peter Ifeanyichukwu. "Impact of automated teller machine on banking services delivery in Nigeria: a stakeholder analysis." ''Brazilian Journal of Education, Technology and Society'' 9.1 (2016): 64–72. [http://brajets.com/index.php/brajets/article/download/251/160 online]
* Bátiz-Lazo, Bernardo. ''Cash and Dash: How ATMs and Computers Changed Banking'' (Oxford University Press, 2018). [http://eh.net/?s=cash+and+dash online review]
* Batiz-Lazo, Bernardo. "Emergence and evolution of ATM networks in the UK, 1967–2000." ''Business History'' 51.1 (2009): 1-27. {{usurped|1=[https://web.archive.org/web/20170812191633/https://lra.le.ac.uk/bitstream/2381/8163/1/ATM_v7_wtables.pdf online]}}
* Batiz-Lazo, Bernardo, and Gustavo del Angel. ''The Dawn of the Plastic Jungle: The Introduction of the Credit Card in Europe and North America, 1950-1975'' (Hoover Institution, 2016), [https://ideas.repec.org/p/hoo/wpaper/16107.html abstract]
* Bessen, J. ''Learning by Doing: The Real Connection between Innovation, Wages, and Wealth'' (Yale UP, 2015)
* Hota, Jyotiranjan, Saboohi Nasim, and Sasmita Mishra. "Drivers and Barriers to Adoption of Multivendor ATM Technology in India: Synthesis of Three Empirical Studies." ''Journal of Technology Management for Growing Economies'' 9.1 (2018): 89–102. {{usurped|1=[https://web.archive.org/web/20190211183232/http://www.tmgejournal.com/pdfs/vol9-no1/Drivers-and-Barriers-of-Adoption.pdf online]}}
* McDysan, David E., and Darren L. Spohn. ''ATM theory and applications'' (McGraw-Hill Professional, 1998).
* Mkpojiogu, Emmanuel OC, and A. Asuquo. "The user experience of ATM users in Nigeria: a systematic review of empirical papers." ''Journal of Research in National Development'' (2018). [http://transcampus.org/JORINDV16JUN2018/14.pdf online] {{Webarchive|url=https://web.archive.org/web/20200518231207/http://transcampus.org/JORINDV16JUN2018/14.pdf |date=18 May 2020 }}

===Primary sources===
*{{usurped|1=[https://web.archive.org/web/20070213045018/https://americanhistory.si.edu/collections/comphist/wetzel.htm  "Interview with Mr. Don Wetzel, Co-Patente of the Automatic Teller Machine" (1995)  online]}}

== External links ==
* {{commons category-inline}}
{{Wiktionary}}

* [https://money.cnn.com/magazines/fortune/fortune_archive/2004/07/26/377172/index.htm ''The Money Machines'']: an account of US cash machine history; by Ellen Florian, [[Fortune magazine|Fortune]].com
* [http://lebanese-economy-forum.com/wdi-gdf-advanced-data-display/?curve=FB-ATM-TOTL-P5 World Map and Chart of Automated Teller Machines per 100,000 Adults] by Lebanese-economy-forum, World Bank data

{{Interbank networks}}
{{Debit cards}}
{{IBM}}
{{Authority control}}

[[Category:Automated teller machines| ]]
[[Category:Computer-related introductions in 1967]]
[[Category:Banking equipment]]
[[Category:Banking technology]]
[[Category:Embedded systems]]
[[Category:British inventions]]
[[Category:Payment systems]]
[[Category:Articles containing video clips]]
[[Category:1967 in economic history]]
[[Category:20th-century inventions]]
[[Category:Self-service]]