India's First UPI-ATM Launched for Hassle-free and Card-less Cash Withdrawals With the UPI ATMs, any bank customer can experience the convenience of QR-based cash withdrawals.
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A lot is taking place in the fintech space in India and Unified Payments Interface is a case study for the world on going digital with money. The country's UPI has left the world in awe and for all the right reasons. Last week, the National Payments Corporation of India (NPCI) reported that the monthly UPI transaction volumes had crossed 10 billion.
In a new development, Hitachi Payment Services, along with the National Payments Corporation of India (NPCI), has launched the first-ever UPI ATM in India as a White Label ATM (WLA). The ATM provides the option of withdrawing cash without any card. The cash can be withdrawn from several accounts using the UPI app.
5 steps to cash withdrawals with UPI ATMs
1) Tap on 'UPI Cardless Cash'
2) Select any denomination from INR 100, 500, 1,000, 2,000 and 5,000.
3) Scan the QR code displayed at the kiosk
4) Select the desired bank; upon confirming the cash withdrawal pop-up on your UPI app, enter the pin.
5) Get the cash
The withdrawal limit for UPI ATMs is currently capped at Rs 10,000 per transaction. This will be included within the existing daily UPI limit and will adhere to the transaction limits established by the issuing bank for UPI ATM transactions. Also, UPI ATMs will be interoperable, which means as long as you have an active UPI ID, you can use any UPI ATM, irrespective of banks
Expressing his excitement on the launch, Anand Mahindra, Chairman, Mahindra Group on X (formerly Twitter) shared, "The speed at which India is digitising financial services & making them consumer-centric as opposed to corporate-centric (Alarm bell for credit card companies?) is simply dazzling."
This UPI ATM was apparently unveiled at the Global Fintech Fest 2023 in Mumbai on September 5. The speed at which India is digitising financial services & making them consumer-centric as opposed to corporate-centric (Alarm bell for credit card companies?) is simply dazzling.… pic.twitter.com/krBXhbc9Qh
— anand mahindra (@anandmahindra) September 7, 2023
Benefits of UPI ATMs
Reduce risk of fraud: By eliminating the use of debit or credit cards at ATMs, the UPI ATMs help check the practice of card skimming. The latter is a kind of fraud where scammers plant certain devices on ATMs to get card details like their number and PIN when a person uses the card.
Bolster financial inclusion: With UPI ATMs, easy access to banking services can be bolstered especially in regions where traditional banking infrastructure and card usage are still limited.
"This novel offering empowers any bank customer to experience the convenience of QR-based UPI cash withdrawals. UPI has been the fastest growing payment mode in the country and accounts for more than 50 per cent of digital transaction volumes," said Sumil Vikamsey, managing director and chief executive officer (Cash Business), Hitachi Payment Services.
