Ditch That Debit Card! Withdraw Cash From ATM Using Your Mobile & UPI
In future, all you need is your mobile phone to withdraw cash from any ATM
In yet another innovation related to ATM and cash withdrawal, a tech company has introduced a new concept of withdrawing cash: UPI.
This whole concept is based on UPI 2.0, which enables QR code based transactions.
To find out how this works, keep reading!
UPI Based ATM Withdrawal: How This Works
AGS Transact Technologies is a company which works on ATM services, which are used by banks.
They have developed a new mobile app, which can help you to withdraw cash from the ATM.
This is how it will work:
- You enter the ATM
- Using this mobile app, you will scan the QR Code which will be displayed on the ATM Machine
- Cash is withdrawn, without any ATM Card.
Internally, as soon as the QR Code is scanned, the money is transferred from your bank account to the bank whose ATM you are using. In case you have an account in the same bank, then QR Code scan will instantly give you the cash.
UPI 2.0: The Disruptive Technology
AGS Transact Technologies has developed this technology using UPI 2.0, which was recently unveiled.
As we shared earlier, UPI 2.0 is empowered with state of the art technology, which allows developers and fintech firms to deploy QR Codes, using which any UPI based operation can be accomplished.
In this case, the user need not subscribe to any new service or opt for a new UPI account – All he needs to do is download the app developed by AGS Transact Technologies, and scan the QR code inside the ATM.
Is This Safe?
As per available information, there is no need for any PIN, like debit card while withdrawing cash. Since the app will be opened and scanned only via users’ smartphone, this appears safe.
Besides, the banks need not radically alter their ATM software/hardware to implement this UPI 2.0 based ATM cash withdrawal. All they need is a little modification in the ATM software to instalty enable this system.
Ravi B Goyal, AGS Transact Technologies CMD said, “All the banks that we have approached are excited about this,”. As per him, proof of concept has been shared with the banks.
As per Goyal, both UPI and ATM Networks work on the same switch, and using UPI for ATM withdrawals make it seamless, swift and safe.
The concept is under review of NPCI, which has developed UPI platform.
In the month of October, we had shared a new QR Code based technology developed by Banks, which doesn’t require debit cards to withdraw cash.
It seems that 2019 will introduce the concept of cardless cash withdrawal in a more comprehensive and user-friendly manner.
We will keep you updated.