RBI allows card-less cash withdrawl from ATMs
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RBI allows card-less cash withdrawl from ATMs

RBI allows card-less cash withdrawal from ATMs

The Reserve Bank granted all banks permission to offer ATMs for card-less cash withdrawals to combat fraud. Cardless cash withdrawal via ATMs is currently a permissible mode of the transaction provided by many banks in the country (for their customers at their ATMs).
“It is being proposed that all banks have access to card-less cash withdrawals. ATM Networks using the UPI. “In addition to increasing the ease of transactions, it would also help prevent frauds like card skimming, card cloning, etc.” RBI Governor Shaktikanta Das spoke while announcing the bi-monthly review of the monetary policy.

A proposal was made to allow customer authorization via Unified Payments Interface (UPI) while settlement would occur through ATM networks. This is according to a statement on Developmental and Regulatory Policies.

It said that separate instructions would soon be sent to NPCI, ATM networks, and banks.

He said that the Bharat Bill payment system (BBPS) is an interoperable platform for bill payments. This has led to an increase in billers and billers over the years.

It is proposed that the net worth of these entities will be reduced from Rs 100 crore down to Rs 25 crore to facilitate bill payment through the BBPS.

Soon, the amendments to the necessary regulations will be completed.

BBPS users enjoy the following benefits: standardized bill payments, centralized customer grievance redress mechanism, prescribed customer convenience fees, and more

BBPS is an interoperable platform for bill payments. It covers all types of billers that raise recurring bills.

It has been observed that there hasn’t been an inverse growth in the number of non-bank Bharat Bill Pay Operating Units (BBPOUs).

The statement stated that the central objective of RBI is to ensure the safety and security, and stability of payment systems, recognizing their role in financial inclusion and financial stability.

It stated that digital payment methods are becoming more popular, so it is crucial to ensure that the payment system infrastructures are efficient and practical and resilient to emerging and conventional risks, especially in cyber security.

RBI allows card-less cash withdrawl from ATMs
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