How to withdraw money from ATMs utilizing UPI: Cardless money withdrawal defined

The Reserve Bank of India (RBI) has proposed to make cardless money withdrawals obtainable in any respect ATMs, by way of the Unified Payment Interface (UPI). “It is now proposed to make cardless cash withdrawal facility available across all banks and ATM networks using the UPI,” RBI Governor Shaktikanta Das mentioned in his first financial coverage assertion for the monetary 12 months 2022-23.

What is cardless money withdrawal?

Under the cardless money withdrawal facility, a buyer isn’t required to make use of his/her debit or bank cards whereas withdrawing money from ATMs.

While there is no such thing as a readability on how the method will work, Sonali Kulkarni, Lead for Financial Services, Accenture in India mentioned ATMs quickly will present an choice to withdraw money utilizing UPI

How will money withdrawals through UPI work?

Sonali Kulkarni has defined some eventualities of how card-less, UPI enabled ATM withdrawals may happen.

Option 1

Customer enters particulars of request on ATM terminalATM generates QR codeThe buyer scans the QR code utilizing the UPI app and approves the requestATM dispenses the money

Option 2: Touchscreen ATMs

User to enter UPI ID and withdrawal quantity in an ATM terminalThe consumer will get a request on a UPI cellular phone app, approves the transaction utilizing the prevailing UPI app passwordPost profitable authentication, money is disbursed on the ATM

Which banks have a cardless money withdrawal facility?

At current, cardless money withdrawal by way of ATMs is proscribed solely to some banks. State Bank of India (SBI), HDFC Bank, ICICI Bank and Punjab National Bank (PNB) are among the many few to supply this facility.

Will debit playing cards grow to be out of date?

Cashless ATM money withdrawals will discover consumer uptake, we anticipate the utilization and development of debit playing cards to stay secure. Debit playing cards are unlikely to grow to be out of date as they’ve a variety of different functions moreover ATM withdrawals – reminiscent of enabling abroad transactions and enabling ATM money withdrawals when one’s cellphone is switched off or in a location the place cell web connectivity is poor, mentioned Sonali Kulkarni.

Cardless money withdrawal: What does it imply for purchasers?

According to Sonali Kulkarni, banks might want to spend on upgrading ATM software program and creating different funds infrastructure, which may doubtlessly result in extra charges being levied on prospects.

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