Minister of Information Technology Ravi Shankar Prasad has confirmed that more than 3.26 lakh micro ATM devices that are providing banking services based on Aadhaar.
Micro ATMs are card swipe machines through which banks can remotely connect to their core banking system. This machine comes with a fingerprint scanner attached to it.
Micro ATMs are similar to point of sale (PoS) terminals and are a doorstep mobile banking arrangement cum-mobile ATM device.
Following demonetisation, the government's announcement of Micro ATM has instantly created a buzz. As people faced cash crunch and ATMs were under severe pressure, Micro ATMs came as a relief.
However, micro ATMs are not a perfect alternative of the normal ATM as it cannot disburse cash 'any time'.
The fingerprint and personal details are linked to the Aadhaar Card, which serve as the ID proof required to withdraw money.