Explained: Here’s how to withdraw cash from ATMs via UPI

The cardless cash withdrawal facility allows bank customers to take out cash from ATMs without using their debit or ATM cards. Several banks allow customers to use the facility using their mobile number or app. 

 

For instance, ICICI Bank lets customers withdraw cash using the iMobile app. However, such banks are limited in number, and that’s a major reason why UPI-based cash withdrawal could prove to be a game-changer. 

As of now, there is no clarity on how cash withdrawals via UPI will work in India. The RBI is yet to release a guideline for banks. Neither has any bank announced rolling out UPI-based cardless withdrawals.

However, according to reports, banks could allow customers to withdraw cash by scanning a QR code, which will be displayed on ATM’s screen. Just like how you make UPI payments via QR codes, you could withdraw cash from ATMs.

Upon scanning the QR code, you will need to accept the debit request. Once you accept the request, the machine will dispense the entered cash.

Banks could also allow customers to enter details such as UPI ID and the amount of cash required. After entering the details, customers will receive a notification on their UPI app. Customers can approve the transaction on the app to receive the cash from the ATM.