In order to access a specific account, a person must enter their card and verify that they are the designated card holder by entering a PIN number. The keypad supplies a medium for which to enter said PIN number.
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ATM stands for Automated Teller Machine. One of those machines where you can withdraw money using a keypad, a card, and a PIN code. ATM transaction is Bank Speak for money withdrawn from an ATM/cash machine.
You draw the money from the first ATM, then you walk/crawl/fly/swim to the other ATM and deposit it into that ATM.
ATM custodian is someone who maintains an ATM.
ATM Simulator is basically an application software which acts as a simulation to ATM.
ATM card readers built inside the ATM machines can read the magnetic strip that contains every information about the ATM card including the PIN number.