1. Uses of Telecommunications & ICT
Banking

2. Automated Teller Machines (ATM)
carry out some of the tasks of cashiers (tellers)
withdraw cash (with or without receipt)
requesting a mini-statement
request a balance
request new cheque book
changing PIN
deposit cash or cheques (some machines)
card can be used at any ATM in the world
withdraw cash in local currency

3. Credit/debit card
used for Electronic Funds Transfer at the Point Of Sale
EFTPOS
goods paid for at point of sale using credit/debit cards
money transferred directly from the buyer’s account to the vendors account
transaction will be refused if not enough money in account
with credit cards, buyer given a temporary loan to pay
computer system at POS checks card not lost or stolen
chip and pin reader reads account number and expiry date from the chip on the card
customer enters PIN to confirm card belongs to them

4. Automated Teller Machines (ATM)
ATM Process
card inserted in ATM
ATM reads sort code & account number from card
stored on magnetic stripe
card checked to ensure not reported lost or stolen
ATM will requests customer’s bank record from the main database across telecommunications link
ATM checks PIN in database matches PIN entered

5. Credit/debit card
used for Electronic Funds Transfer at the Point Of Sale
EFTPOS
goods paid for at point of sale using credit/debit cards
money transferred directly from the buyer’s account to the vendors account
transaction will be refused if not enough money in account
with credit cards, buyer given a temporary loan to pay
computer system at POS checks card not lost or stolen
chip and pin reader reads account number and expiry date from the chip on the card
customer enters PIN to confirm card belongs to them

6. Cheques

7. Cheques used by retailers who don’t want to pay card fees
used for sending money in the post
uses Magnetic Ink Character Recognition (MICR)
characters at the bottom of a cheque
cheque number, sort code, account number
uniquely identifies the account & the individual cheque
cheques automatically processed by a ‘clearing house’
OCR used to read the amount on the cheque
MICR used to read the cheque no., sort code & account no.
cheques sorted to be grouped by the originating bank
transaction is recorded & money transferred

8. Internet Banking Lloyds TSB demo: