Q1.
Visit a bank in your locality or find out from your elders about how it works. After that, answer the following questions: (a) Other than saving money, what else do people use banks for? (b) What is an ATM and how does it help people?
Answer
(a) Other than saving money, people use banks to:
- send money to someone else, by phone or at the counter;
- take a loan to build a house, buy a vehicle or run a shop;
- keep money in a fixed deposit, on which the bank gives extra money;
- keep gold and important papers safe in a locker;
- get a cheque book and an ATM card;
- pay electricity, water and school bills;
- receive a salary or a pension every month.
(b) What an ATM is. ATM is short for Automated Teller Machine. It is a machine kept at or near a bank. You put in your ATM card and press your secret number, called a PIN. The machine then gives you the cash you ask for.
How it helps people
- It gives money at any time, day or night, even on a holiday.
- You need not stand in a long queue inside the bank.
- You can use it in another city too.
- It also shows how much money is left in the account.
Dada ji says it simply: “It helps us take out money anytime we need it.” When he was Navya’s age there were no ATMs, so people had to visit the bank and wait in long queues.