Financial Inclusivity has gained a prominent place in today’s world. This is very true in rural and remote banking places where the traditional banking is limited. This is where Micro ATMs plays a huge role. A Micro ATM device is a portable device that helps in crucial banking transactions like cash withdrawals, balance enquiries, and fund transfers. This is very true when it comes to bridging the gap between financial institutions and remote populations. In these cases, Aadhar enabled payments, and biometric authentication plays a vital role. Micro ATMs empower individuals with easy access to cash that helps in a seamless banking service in the most remote locations. 

Gone are those days where you need to reach the bank physically to get your issues resolved. Thanks to the power of Micro ATMs, banking has become reachable to the most rural population from anywhere. They are small portable devices that helps people living in rural areas to easy access to the most essential services without the hassle of travelling long trips. Micro ATMs are typically operated by Business Correspondents, who are authorized individuals or entities appointed by banks to offer basic banking services on their behalf. BCs can be individuals, NGOs, or business entities. 

Lets dive inside the article to find what are Micro ATMs and how they can be used for various cash withdrawals and benefits. 

What is Micro ATM? 

Micro ATMs are compact devices that help in providing basic banking services with limited infrastructure. They help their customers to perform various transactions like balance enquiries, and fund transfers. So Micro ATM can be used in areas where it is not possible to set up the traditional ATM facility along with internet connections. These small handheld devices empowers users in conducting various financial operations. 

How Does Micro ATMs Work? 

Micro ATMs work within a GPRS network established by various banks and financial institutions. Many authorized agents travel to remote areas with these handheld devices. These agents work relentlessly to make sure that the essential banking services reach the remote places. Customers can conveniently get their card swiped by these agents and complete their banking transactions. 

Benefits of Micro ATMs In India 

The following are some of the features and benefits of Micro ATMs in India. They are: 

  • Financial Inclusion: The primary idea of including Micro ATMs is to make the banking services easily accessible to the remote population.  

  • Accessibility: Micro ATMs provide users with easy and convenient services that allow customers to withdraw cash, check their balances, and transfer their funds without the need to travel to the bank physically. 

  • Affordable Solutions: These small handheld devices are easy to carry and cost-effective then to set the traditional ATMs. This makes it feasible for banks to extend their services in rural and remote areas. 

  • Improved Security Measures: Since the transaction happening through the Micro ATMs is through biometric or PIN validation. This ensures that the transactions are safe and secure, reducing any fraudulent activities. 

  • Streamlined Digital Transactions: Since the transactions are in digital manner. This helps with electronic payments that reduce the risk in carrying physical cash. 

  • Diverse Connectivity Choices: With Micro ATM you have the flexibility to connect through various banking networks like GPRS, 3G, 4G. This ensures the reliability of connection even in remote areas. 

  • Portability: Most of the Micro ATM devices are portable and compact in nature. This makes them easy to carry to different places and locations. 

  • Access to Government Benefits: Micro ATMs facilitate the disbursement of various government benefits and subsidies to its beneficiaries.  

Withdrawing Money Using Micro ATMs 

The following are the series of steps that needs to be followed while withdrawing money using the Micro ATMs. They are: 

  • Locate a Micro ATM: 

You need to locate a Micro ATM like the local shop or the banking correspondent. 

  • Feed in Bank Details and Identification:  

Inform the operator of the requisite bank details and provide the Aadhar number or the debit card. 

  • Authentication: 

You need to self-validate yourself with a biometric analysis. The fingerprint that is placed in the scanner needs to match with the bank’s records. 

  • Enter Amount: 

You need to enter the amount that needs to be withdrawn from the bank. 

  • Transaction Processing: 

There is a two-way communication happening between the Micro ATM and the Bank Server to check whether the bank account has sufficient balance to make the correct transactions. 

  • Cash Dispensed: 

Once the transaction is approved, the Micro ATM dispenses the cash. 

  • Receipt:  

The receipt come out of the ATM along with a list of 5 to 10 recent transactions along with the current balance. 

Conclusion 

Micro ATMs has transformed the banking sector by making its service available to all. Moreover, it comes with a double protection of security and convenience. These ATMs has the ability to facilitate cash withdrawals, enabling digital transactions, and support financial inclusion has contributed towards the empowerment of rural sectors. As there is a growing need to have safe and secure transactions and the need to reach the financial services to each and every individual regardless of the location. 

Frequently Asked Questions

  1. What do you mean by Micro ATM? 

Micro ATM are small hand held devices that provide basic banking services with limited infrastructure. 

  1. Can I withdraw money from a Micro ATM? 

Yes, you can withdraw money from a Micro ATM as in traditional ATM. But the quantum of the money may be limited. 

  1. Are Micro ATMs safe for banking transactions? 

Micro ATMs are safe and secure for conducting transactions as the validation happens through biometric validation. 

  1. Can I use the normal ATM Card for Micro ATMs? 

Yes. You can make use of the normal ATM Card for your Micro ATMs to aid in basic financial transactions. 

 

Disclaimer: This page includes information that has been compiled from many sources and is only offered for informational purposes. Given this type of data might change over time, we cannot guarantee that the information supplied or included within it, is accurate. It is anticipated that the user would confirm with the relevant source prior to taking any choices or actions.