RBI: Cash Withdrawal via UPI

A cardless cash withdrawal facility has been made available at all ATMs by the Reserve Bank of India (RBI). This facility will be made available via the Unified Payment Interface (UPI) irrespective of the bank.


  • This decision was made by the Monetary Policy Committee (MPC) of the RBI.
  • All banks have been given permission by the RBI to introduce cash-less cash withdrawals through ATMs.
  • At present, cardless cash withdrawal is offered by only a few banks in India through an on-us basis i.e. for their own customers at their own respective ATMs.
  • Separate instructions will be issued by the RBI to ATM networks, NPCI, and banks.
  • Once all banks across the country implement this withdrawal system, customers will be able to use it at the ATMs of their home banks.

Importance of Cash Withdrawal via UPI

This mode will not only help in enhancing the ease of transactions but without the need for a physical card, it would help in preventing frauds like card cloning, card skimming, device tampering, etc.

About Unified Payment Interface

Unified Payments Interface (UPI) has been developed by the National Payments Corporation of India (NPCI). It is a real-time payment system that facilitates instant person-to-merchant (P2M) and inter-bank peer-to-peer (P2P) transactions. The Reserve Bank of India regulates the UPI. The interface helps in transferring funds between two bank accounts instantly via a mobile platform. As of February 2022, in the UPI 304 banks are available and it has a monthly transaction volume of Rs 452 crores.




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