Page 59 - How It Works - Book Of Amazing Answers To Curious Questions, Volume 05-15

Technology

t’s somewhat hard to imagine our modern
world without cash machines, yet they only
Ibecame the norm during the 1970s. The fi rst
machine that dispensed cash was invented by
John Shepperd-Barron and was installed
outside a branch of Barclays Bank in Enfi eld,
Greater London.
Today, they work to give us access to our money
24 hours a day in a multitude of locations – and
they are far more convenient than queuing in a
bank. However, there are many challenges for
them to overcome in order to provide the required
level of service. They have to check that you and PIN code shields like the one

your card are legitimate, find your account pictured are one way of
reducing fraud
information and carry out the transaction
required, all while protecting the thousands of
pounds stored inside its vault.
The magnetic strip on the back of your card may
look like a solid black line, but it’s actually
composed of millions of tiny magnets, each one
magnetised either north or south, which two
magnetic readers understand like a binary code.

The first reader confirms the card is real, while the

second reads your account number and PIN,
checking this against the code that you entered
on the keypad.
Once your PIN is confirmed, the machine

automatically connects to your bank’s network
which relays a signal back to the built-in vault,

giving it a specific set of instructions. The ATM will
then complete the transaction that has been
requested. If you forget to take your cash for
whatever reason, modern cash machines will
swallow the money after a short period of time
so you won’t be out of pocket.

The rise of ATM
fraudsters
Today our cash machines are constantly
under threat from organised crime, with a
number of techniques available to
criminals that can quickly and cheaply
access your card details. The skimmer
attachment is one of the most commonly
used scams, and involves a small device
being fitted to the cash machine which will

then read and record your card details.
Coupled with this is often a hidden
camera, cleverly concealed in panels above
the machine or somewhere nearby to fi nd
out what your PIN code is. Card traps are
also becoming increasingly popular – they
work by trapping your card in the machine
for the fraudster to collect at a later date.
To combat these problems, the police
recommend that you always remain
vigilant when using a cash machine. By
checking for anything unusual or out of the
ordinary, you can spot most attempts to
rip you off, especially if you use the cash
point in question frequently. Make sure © Jochen Tack / Alamy; Thinkstock
you cover your PIN at all times and be
There are numerous ways that cash machines can be tampered with, from wary of any suspicious bystanders hanging
hidden cameras to card traps, so it is best to take precautions around the ATM.

How It Works 59