India’s first UPI ATM to offer cardless cash withdrawals, changing the way we access funds.
Key Highlights
- Customers can now withdraw cash without the need for an ATM or Debit Card
- UPI ATM, currently exclusive to the BHIM app to soon extend its reach to other popular UPI apps.
The unimaginative launch of India’s first UPI ATM by Hitachi Payment Services, in collaboration with the National Payments Corporation of India (NPCI) has left everyone absolutely stunned. Launched during the Global Fintech Fest 2023 in Mumbai, on September 5th, this innovative service offers secure cardless cash withdrawals, reforming the way we access our funds.
The Union Minister Mr. Piyush Goyal shared a video demonstration on X (formerly Twitter), illustrating how to withdraw cash using the UPI ATM. He additionally wrote “the future of fintech is here” indicating this new innovation to be a significant turning point in the Fintech World.
The unique UPI ATM will function like a regular ATM with potential charges being applied beyond the allowed free-usage limit. While the technology is not yet publicly deployed, it is being rolled out in phases.
Along with this, many other new UPI Features were also launched at the Global Fintech Fest 2023.
Understanding the newly launched UPI ATM
The UPI ATM is a white-labeled ATM designed to enable cardless cash withdrawals. Customers of participating banks can now withdraw cash without the need for an ATM or Debit Card.
Here’s how it works.
- Customers press the “UPI Cash Withdrawal” option on the ATM.
- The ATM prompts the customers to choose the withdrawal amount.
- A single-use QR code will appear on the ATM screen.
- The customer can scan the QR code using any UPI application and authorise the transaction with the relevant PIN.
- Once validated, the ATM disburses the cash.
Currently, the UPI ATM is supported on the BHIM UPI app, but it is set to expand to other popular apps like Google Pay, PhonePe, and Paytm in the near future. With UPI transactions achieving great success by crossing 10 billion transactions in a single month, it is evident that the UPI ATM will play a major role in the Indian Fintech Industry.
