Pin full form in banking is a personal identification number. This number, which is in numerical form, is issued to the card holder from the local branch while opening the account along with the debit card. Pin is issued to provide security to the bank account and the electronic transaction process done by the card holder while using the ATM Pin gives authentication to the person. The pin is sent by the bank in the mail of the account holder.
Special features of pin full form in banking
- The pin should be unique, can be easily remembered, not too long, not too short. The pin should not be related to personal information like birthday, anniversary date etc of the account holder. It should be such that it is difficult to guess.
- The pin is in numerical code rather than in letters and words.
- The pin is generated randomly, but after the account holder gets the pin, he should change the pin according to his convenience by visiting the nearest ATM.
- Pin provides additional security to the transactions which the account holder does by using debit or credit card.
- The pin is basically 4 or 6 digits.
How does the PIN work in ATMs while doing banking transactions
- When the card holder inserts the card into the ATM Machine, it asks the card holder for the pin.
- The ATM machine then encrypts the pin by converting it into the coded format laid down in the ATM software.
- After encrypting the pin, if the pin matches it sends the pin and account information to the bank server.
- The bank server again verifies the account holder’s information.
- Thus, if the information is correct the transaction is executed as demanded by the account holder whether it is cash withdrawal, balance check, or taking out a mini statement. Etc.
Thus, pin is an effective way to safeguard our financial and personal information from being leaked outside.
