HomeBankingUPI QR Cardless Cash Withdrawal via ATM - How?

UPI QR Cardless Cash Withdrawal via ATM – How?

Cardless Cash Withdrawal is a wonderful facility where you can withdraw cash at ATM without using a debit card. 

Imagine the situation where you have forgotten your ATM card at home and you are in urgent need of cash. In that case, you can make use of your UPI ID and withdraw cash from ATM. 

This facility is available at many ATMs in India. Now, this facility will be interoperable. Not only that RBI has proposed that a Cardless cash withdrawal facility will be mandatory at all ATMs.

Interoperable cardless cash withdrawal gives multiple benefits to the customer. This facility will reduce the chances of fraud and also provide convenience to the customer. 

Let’s take a close look at cardless cash withdrawal and find out – How UPI QR-based interoperable cardless withdrawal works? and How this new facility will help customers?

UPI QR Cardless Cash Withdrawal via ATM

How does Interoperable Cardless Cash Withdrawal Works?

Under the cardless cash withdrawal facility, you can withdraw cash without making use of a debit card at ATM. 

The request for cardless withdrawal can be initiated for a minimum of Rs.100 per transaction and up to a maximum of Rs.10000 per day or Rs.25000 per month. This limit is decided by the bank and is subject to change from time to time.

This facility will become Interoperable means inter-usable. 

Till now, only existing customers of the bank were allowed to withdraw cash without ATM cards at a specific ATM center. 

This means if you are a customer of ICICI bank and want to use a cardless cash withdrawal facility, you need to make use of the ICICI Bank ATM. You cannot use any other bank’s ATM for making a cardless transaction. You need to locate a nearby ICICI bank ATM and perform a transaction. 

Once interoperability is in place, you will be able to withdraw cash from any other nearby bank’s ATM using UPI.

The facility of interoperability is to be implemented by all banks within the stipulated timeline as per RBI Mandate. 

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Benefits of Cardless Cash withdrawal using UPI  

Benefits associated with cardless cash withdrawal using UPI are given below.

#1 No physical interface – ATM card required for performing cash withdrawal. 

#2 Elimination of card skimming, card cloning, and tempering frauds. 

#3 Digital Interface (App) for doing transactions using UPI. 

#4 Interoperability allows you to make use of other banks’ ATMs for the withdrawal of money.

#5 Ease of usage doing a transaction with UPI and App based verification.

#6 Absolute freedom in terms of withdrawing cash in a secured way at any ATM.

How to Use UPI QR Cardless Cash withdrawal?

To make use of this facility you need to follow the steps given below.

  1. Visit the nearest ATM center. 
  2. From ATM screen select the “Cardless withdrawal QR UPI” option.
  3. Enter the withdrawal amount on the ATM screen.
  4. You will be able to see a QR code on the ATM screen.
  5. Make use of Bhim UPI, Bank Application, Google Pay, or PayTM to scan the QR code.
  6. Check the amount and detail appearing on the mobile app.
  7. Enter the PIN and select Pay Now to perform a transaction.
  8. Now press the Cash Option tab at the ATM. 
  9. ATM will dispense the Cash.

In case withdrawal fails at the ATM due to a technical issue or any other reason and amount is deducted from the bank account. You need to inform the bank to correct the transaction.

The facility of QR UPI withdrawal is enabled by many banks.

Over to You

In my opinion, it is a very good facility that gives you freedom of money withdrawal at any ATM without using a debit card (using UPI and QR code). Not only that this facility will also eliminate the possibility of fraud (card skimming, card cloning) and misuse.

Do you think that introducing this facility is helpful? Share your thoughts via sending us an e-mail at info@moneyexcel.com

Shitanshu Kapadia
Shitanshu Kapadia
Hi, I am Shitanshu founder of moneyexcel.com. I am engaged in blogging & Digital Marketing for 10 years. The purpose of this blog is to share my experience, knowledge and help people in managing money. Please note that the views expressed on this Blog are clarifications meant for reference and guidance of the readers to explore further on the topics. These should not be construed as investment , tax, financial advice or legal opinion. Please consult a qualified financial planner and do your own due diligence before making any investment decision.