This Is How You Can Withdraw Cash From ATM Using Only UPI App: Step By Step Process

RBI wants to make cardless cash withdrawals available at all ATMs through UPI.

With this facility, a customer can withdraw cash from ATMs without requiring any debit or credit cards.

Procedure: Option 1

• Customer enters details of request on ATM terminal
• ATM generates QR code
• Customer scans the QR code using the UPI app and approves the request
• ATM dispenses the cash

Procedure: Option 2: Touchscreen ATMs

• Customer enters UPI ID and withdrawal amount
• They get a request on a UPI cell phone app and has to approve the transaction using the existing UPI app password
• Post successful authentication, cash is dispensed at the ATM

Facility Availability

Presently only a few banks have this. 

Some of them are State Bank of India (SBI), HDFC Bank, ICICI Bank and Punjab National Bank (PNB).

Will Debit Cards Become Obsolete?

While cashless ATM cash withdrawals may find a lot of takers, usage and growth of debit cards is expected to remain stable.

Debit cards are unlikely to become obsolete since they have a lot of other users aside from ATM withdrawals – such as enabling overseas transactions and enabling ATM cash withdrawals in case a phone can’t be used.

The phone may be switched off or in a location where mobile internet connectivity is poor which is when debit cards will come handy.

Implications For Customers

Banks will have to spend on upgrading ATM software and creating other payments infrastructure.

This could result in additional fees being levied on customers.