India has unveiled the country’s first ATM that allows cardless cash withdrawals using the Unified Payments Interface (UPI), in a major boost to digital financial services.

QR Codes Enable Cardless Cash Withdrawals

The UPI ATM, launched on September 5 at the Global Fintech Fest in Mumbai, uses QR code technology to enable customers to withdraw cash without needing a physical ATM or debit card.

To use the UPI ATM, customers simply select the ‘UPI cash withdrawal’ option on the machine’s screen. They enter the desired withdrawal amount, and a dynamic QR code specific to the transaction is displayed. The customer then scans this QR code using their UPI app and authorizes the payment by entering their app PIN. The ATM dispenses cash once the transaction is validated.

Also Read: Biden’s First India Visit as President to Boost Strategic Ties

Seamless UPI Integration in ATMs

The UPI ATM has been developed by Hitachi Payment Services in collaboration with the National Payments Corporation of India (NPCI). It seamlessly integrates the convenience and security of UPI into the traditional ATM experience.

According to NPCI, the innovation marks a significant milestone in enhancing banking services for customers. It does away with the need to carry physical cards for ATM cash withdrawals. The per-transaction limit is set at Rs 10,000, within the existing daily UPI limit set by banks.

Also Read: Indian Actress and Politician Divya Spandana Refutes Rumours of her Death

Experts Hail Move as a ‘Game Changer’

Industry experts have welcomed the launch of India’s first UPI ATM. NPCI COO Praveena Rai said UPI-ATMs will help reimagine the ATM experience in terms of cost, reach and accessibility.

Mahindra Group Chairman Anand Mahindra also hailed the innovation in a social media post, saying the pace of India’s digitization of financial services is “simply dazzling.” He remarked that it could ring alarm bells for credit card companies.

The UPI ATM is currently enabled for BHIM UPI app users, and support for other UPI apps will be added soon. The new facility will boost digital payments and financial inclusion, especially in rural and remote areas where cards may not be widely available.

Also Read: UPPSC Invites Applications for 300 Staff Nurse Ayurved Vacancies


Follow Us on Instagram | Twitter | Facebook | YouTube | Flipboard | Google News