Are you one of those people that keeps their lifesaving in cash, tucked under the mattress? Many older Americans do this. About one in 10 older Americans hides significant amounts of cash at home.
But doing so is very risky. Not only is your cash susceptible to theft and damage from fires or floods, but it’s not earning you any interest, and its value dwindles every day due to inflation.
Ready to get your cash out of the house and into a bank? The easiest way is with an ATM.
What is an ATM, and how does an automated teller machine work? We cover all of the details in our automated teller machine guide below. Keep reading for some important automated teller machine tips on putting your money in a safer place.
What You Need Before Using an ATM
Before you can use an ATM, you need a few basic things that most Americans have. First, you need a checking account.
The easiest way to manage your money in the 21st century is with a checking account. It’s the place you can receive money from your employer or benefits like social security. And it’s also the place where you can make purchases, pay bills, and write checks from.
Opening a checking account is free at most banks. And you’ll also get a debit card. Your debit card is how you’ll be able to use an ATM.
Once you receive your debit card, either directly from the bank or in the mail, you can set a PIN number that acts as your password. Don’t choose your birthday or a simple code. Make it hard in case you lose your card.
With these two things in place, you can use ATMs at will.
What Is An ATM?
So what is an ATM? ATM stands for automated teller machine. The people that work inside the bank, making transactions on your behalf, are called bank tellers.
ATMs are just robotic tellers that help you complete simple tasks such as depositing checks or cash, withdrawing cash, or moving money from one account to another within your bank’s network.
Most medium and large-sized banks have their own branded ATMs. When you use an ATM from your own bank, you won’t be charged any fees. You can make as many transactions as you want without regard.
However, you aren’t limited to using only an ATM in your bank’s network. You can use an ATM to withdraw cash from your checking account. Using an out-of-network ATM just results in a small fee, often $3 to $6.
The fee is insignificant for most if you only need to pay it once or twice. If you have to pay that fee every time you use an ATM, then you may need to find an alternative solution.
Automated Teller Machine Benefits
ATMs make it easier to deposit or withdraw cash whenever you need to. You can access them at any time. They are usually located outside. So even when the bank closes at 5:00 PM, you can still use an ATM.
Plus, they are faster to use. You likely won’t need to wait in line. And if you visit a bank with a drive-up ATM, you won’t even need to get out of your car.
Today, there are millions of ATMs around the planet, and with any credit or debit card, you can withdraw cash, and sometimes deposit cash. In other countries, ATMs might be called ABMs or cash machines.
When traveling abroad, it’s nice to know that you can always access cash, in the form of local currency, almost anywhere.
Finding An Automated Teller Machine Near Me
It’s not hard to find an ATM. If you aren’t concerned with an in-network ATM, just drive to your nearest grocery store or high-traffic area. There are usually ATMs inside or outside major shopping centers.
Convenience stores and gas stations commonly have an ATM as well. And any restaurants or shops that only allow cash payments typically have an ATM nearby as well.
Many ATMs aren’t managed directly by banks and instead are serviced by third-party ATM operators and suppliers, such as Carolina ATM.
If you want to find an ATM in your network, you’ll want to look online. Every major bank will have a section on its website that lets you locate nearby ATMs.
You can also use a mapping app on your phone to look for an ATM in your network.
If you plan on traveling, either domestically or internationally, it pays to do a little research ahead of time and find ATMs nearest your accommodation.
Other Types Of ATMs
ATMs have been around since the 1960s, and have been performing the same basic transactions since then. But regular ATMs are the only types of teller machines out there today.
Cryptocurrency ATMs have become much more widespread around the globe, as millions have adopted crypto as a method of payment and as a place to store their wealth.
Before crypto ATMs came around, buying crypto was a difficult process. It had to all be done digitally, leaving out many people who don’t always have access to the internet or traditional bank accounts.
But with crypto ATMs, you can deposit cash and receive bitcoin, Ethereum, and other major cryptocurrencies in seconds. You can also withdraw cash at any time from your crypto holdings.
To use a crypto ATM, you won’t need a debit card. You just need an app on your phone, since your crypto holdings are stored in a virtual wallet.
The first time you use a crypto ATM, you’ll need to create an account. But after that, it becomes fast and simple to perform crypto transactions.
Crypto ATMs can be found in many of the same places as standard ATMs, including gas stations, grocery stores, convenience stores, and event centers.
Cash When You Need It
So what is an ATM? Automated teller machines make it simple to deposit cash and checks, and withdraw cash whenever you need it. They are open 24/7 and are located in convenient locations so that people always have access to cash.
In 2022, cash is quickly becoming obsolete. While you don’t want to store your savings in cash, you may need to access them from time to time, and an ATM makes that process simple.
Looking for more money tips and tricks? Visit our blog now to keep reading.