Banks are opting to set up multi-functional machines like currency recylers, instead of plain cash dispensing automatic teller machines (ATM). Although the number of ATMs have gone up between September 2016 and 2017, the number of recyclers are on the rise, according to a senior official of the FIS payment solutions and services provider.
“Banks are taking a relook at their ATM channels with under-performing machines being relocated. Old ATMs are also being replaced with newer multi-functional machines like recyclers,” said Radha Rama Dorai, Managing Director, ATM and Allied Services. According to Reserve Bank of India (RBI), the total number of ATMs installed by banks in the country stood at 2,07,211 at the end of September as against 2,04,062 machines to the same month in 2016. Recycler ATMs are machines that accept cash deposits, give instant credit to an account holder and also dispense the deposited currency to those who withdraw. The machine also identifies fake or invalid notes that are deposited and retains them.
Regular ATMs do not have the technology to identify fake notes while dispensing cash, Rama Dorai said.