Tag Archives: ATM card

Concept Paper – What is good for India- Cash Withdrawal through ATMs or POS Terminals?

The following is the ATM usage pattern in India


It may be noted that the average ticket size is Rs3,200/-. Averages are not a good statistics tool to measure data, as the average figure might be skewed. However in the absence additional information on ATM transactions in the public domain, I have relied on the RBI published data.

Cost of running an ATM :

Two types of costs are associated with ATMs.

01)Capital Cost – ATM Machine Cost, ATM premises Cost

02)Running Cost – ATM premises rent, ATM Security guards salary, Electricity, Housekeeping

The only benefit of ATMs is the option for Pin Change and Mini Statement.  There are other options too viz

01)Phone recharge

02)Tax payment

03)IMPS transactions

04)Cheque book request

However, with mBanking picking up, the above set of transactions can be migrated to mBanking.

Cost Comparison of ATM vs POS Terminal

Sr No Type of Cost ATM POS Remarks
01 Machine Acquisition Cost Yes Yes POS is 90% cheaper as compared to ATM
02 Premises Cost Yes No POS terminals are part of a commercial establishment, no dedicated premises are required
03 Security Guard Yes No POS terminals are part of a commercial establishment, no dedicated premises are  required
04 Electricity Yes No Minimal electricity cost
05 Housekeeping Yes No POS terminals are part of a commercial establishment, no dedicated premises are  required
06 Cash Replenishment Yes No Physical cash is available at the commercial establishment, as and when cash sales are made


07 Encourage Less Cash transactions No Yes Customers can pay for their purchases through POS terminals instead of cash
08 Reduce carbon emission No Yes  
09 Reconciliation issues Yes No Reconciliation issues at POS terminals will be minimum as to complete a POS cash withdrawal transaction, a human has to hand over the cash


Long back in 2009, Reserve Bank of India issued guidelines on Cash Withdrawal at Point of Sale Terminal

Many Banks have commenced this facility, however due to various reasons the volumes did not pick up.

A concerted effort by all the Banks under the umbrella of Indian Banks Association would go a long way in migrating transactions from ATMs to POS Terminals.

Some pointers:

a)    Standardized Display board at establishments offering Cash Withdrawal facility through POS Terminals.

b)   Ensuring 100% uptime

c)    Double/Triple reward points for cash withdrawals through POS terminals.

d)   Short Educational videos


Varanasi-City of Ghats gets its first Talking ATM

The bank account holders of Varanasi city can experience the wonders of Talking ATM.

KGSG Bank in the first week of July 2013 inaugurated its Talking ATM especially for Visually Challenged persons.   The ‘Talking ATM’ which will aid them in accessing ATM facilities like any other individual.

The new ATM is specially equipped with speakers and ear-phones which would provide the users with information such as their account number, withdrawal amount etc.

The user would first have to wear the ear-phones and then insert their ATM cards into the machine.

Users would then have to enter the required information with the help of the identification marks on the ATM keys.

After the process is complete, the visually challenged account holder would receive the cash and withdrawal receipt. Any bank account holder can reap the benefits of this new talking ATM.


“Kashi Gomti Samyut Gramin Bank” or KGSG Bank is the amalgamated version of 3 RRB’s i.e Kashi Gramin Bank, Gomti Gramin Bank and Samyut Kshetriya Gramin Bank sponsored by Union Bank of India in U.P. were amalgamated by GOI vide its notification No.SO-1264(E) on 12th September 2005. Thus came into existence the KGSG Bank.

Union Bank of India – Talking ATM


No, Humans do not sit inside the ATM and do the talking!! The ATM itself talks!!!

On 28/01/2013, Union Bank of India unveiled its first Talking ATM in the State of Chhattisgarh. This is also the Bank’s 40th Talking ATM in the country.

The Talking ATMs’ are in line with RBI suggestions that the ATM’s should be accessible to visually challenged bank customers too.

The first Union Bank Talking ATM was unveiled in June 2012, at Blind People’s Association, Vastrapur-Ahmedabad. Ahmedabad was chosen as BAPU had inaugurated the Bank’s registered office way back in 1921. This was in a way a token of gratitude to BAPU.

The highlights of the Talking ATM are:

01) It provides complete accessibility to a wheelchair as well as to a visually challenged ATM user.

02)A visually challenged person can independently operate an ATM machine for Cash Withdrawal, Balance Enquiry and PIN change ATM operations.

03)Inclusive design of Accessible and Talking ATM provides access to general public as well as to persons with disabilities.

04)No special ATM card needed to enable talking mode, etc.

05) A User can use a regular ATM card issued by bank. The Bank has also  taken care of security and privacy of ATM operation for a visually challenged person as voice prompts will be heard privately through a headphone and user has a choice to hide ATM screen.

06)Braille signages are put on the ATM machine for locating ATM parts like card slot, cash dispenser, receipt printer, etc.

07)Use of ATM keypad matrix to do complete ATM operation.    This functionality is similar to an IVR wherein you use only number options to select different options.

08)A keypad is a standard telephone matrix keypad with a raised dot on the key number 5 which is a universal design.  A visually challenged user use this key 5 as a reference key and can easily locate other number keys.

09)Keypad buttons orientation is provided so that a visually challenged person can easily find buttons like Cancel, Clear and Enter.  Also these three function keys have distinct raised symbols so that a visually challenged user can feel and press a correct key. Keypad number pressed is supported by a beep sound.

10) Bilingual orientation of ATM machine. This important talking ATM feature is added in Union Bank of India’s talking ATM so that a visually challenged person who is a first time user will get complete orientation of the ATM and can learn different keys and slots on his own. Orientation feature also has skippability so that in future an experienced visually challenged user can skip orientation and can perform an ATM transaction directly.

11)  Important features a visually challenged user can choose in the beginning of his ATM operation are language choice, volume control, hide or display screen and orientation to the ATM machine.

12) Complete screen text and audio synchronization is provided.

13) ATM screens with white text on red background, bigger font size of text and menu selection options with white text on blue background are following the accessibility norms for low vision persons.