Data Modelling And Database In Bank Institutions

The application of database that I choose is ATM database. ATM is automated teller machine which functions as financial tool in order to do financial transactions without the need to have an appointment or meet up with staff. Nowadays, ATM can do a lot of things compared to past and it is truly convenience to users. Among the functions of ATM are drawing cashes, deposit or transfer cashes, checking balance and paying bills. Thus, ATM is truly important to people in everyday life.

There are problems with ATM in terms of data management. I identified that the main problems with ATM is security issue. Nowadays, technology already advanced and it can be easy for bad people or thieves to hack in our online banking by using or username and password. When we was drawing our cashes at ATM, someone might get a glimpse on what our password is and it might be dangerous to our account safety. Next, problem is sometimes ATM can get slow or cannot be used thus it is truly inconvenienve to users that need money on that day. Third problem is outdated personal information of customers which mostly customers won’t even care to update their new personal information. Last problem is ATM have a lot of data so whenever there is a problem in data oftenly, the data might jumbles up in everything and becoming a mess.

There are few reasons why bank institutions need database to help data management. First reason is to manage customer’s data properly and to secure customer privacy. Second is to gain more trust of customer because account balance is kind of sensitive information so by using database, bank can determine which information to publish or kept secret about it. Third is to make money transactions much easier. Last one is to speed up data searching or finding and database can help to decrease how much time consumes to find data. Users are divided into two categories which are external users and internal users. External user is customer while internal user is staff. Type of database that used in ATM is web based for online banking. Examples of data stored in database are name, identification card number, address, email, number phone, amount of money or account balance, money cashflow, account statement and loan payment.

How does database being used to make a decision? Banks use database that they have to determine someone status and wealth. Bank also can determine which types or colours of credit card that users should get or qualify to get. Furthermore, bank also can determine does the person that want to make a loan is truly qualify whether he can pay loan on the time or does he have enough money in the bank.