Card-Less Cash Withdrawals At ATMs of All Banks, Mulls RBI

New Delhi: The Reserve Bank of India (RBI) on Friday announced that it has proposed to make card-less cash withdrawals available across all banks and ATM networks using the UPI.

''At present, the facility of card-less cash withdrawal through ATMs is limited only to a few banks. It is now proposed to make card-less cash withdrawal facility available across all banks and ATM networks using the UPI,'' the banker's bank said in an official statement.

''In addition to enhancing the ease of transactions, the absence of the need for a physical card for such transactions would help prevent frauds such as card skimming, card cloning, etc,'' it added.

RBI will issue separate instructions to NPCI, ATM networks, and banks shortly in this regard.

The cardless cash withdrawal facility does not require a bank customer to use their debit or credit cards while withdrawing cash from ATMs. In the wake of the COVID-19 pandemic, the system is presently available at various banks and was introduced.

According to reports, users of a few banks such as SBI, ICICI Bank, Axis Bank, and Bank of Baroda, etc. can withdraw cash even without their debit cards, through their phones. They mostly have to use a mobile banking app and raise a request to withdraw cash at the ATMs if they do not possess their debit cards.

According to experts, this system will reduce ATM fraud as it uses a mobile PIN to generate cash. This system uses the UPI facility to carry out the work.

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