UPI or Unified Payment Interface is a common and one of the most convenient ways of payments and transferring money on the go. Apart from UPI applications, you can also use your UPI-linked bank account to withdraw money from an ATM. With UPI, you do not have to use a debit or credit card for cash withdrawal. The only thing you need to carry to the ATM is your smartphone. It is necessary to use a UPI app enabled for ATM transactions to withdraw cash.
What is Cash Withdrawal using UPI at an ATM?
On 5th September 2023, India launched its first UPI-ATM, marking the start of a remarkable journey of cashless transactions. Interoperable Cardless Cash Withdrawal is the system that is used in the UPI-ATM system, letting you withdraw cash from an ATM without using a card.
There are some key features that you must keep in mind regarding UPI ATM cash withdrawal. Some are:
- Felxibility
The system is compatible enough to allow individuals to use this facility with various bank accounts and also promote user flexibility with different bank accounts.
- QR Code-Based UPI ATM Withdrawal
The ATM withdrawal uses QR scanning and use of QR codes, which makes the transaction efficient and secure. This eliminates the use of any debit or credit card in the ATM.
- Transaction Limit
You are allowed to withdraw a maximum of Rs. 10,000 along with the existing limits of daily UPI transactions and terms of the specific bank. You must know that such limits differ from one bank to another.
- Instant Dispensation
After your transaction is confirmed, your money is instantly dispensed in the UPI ATM, helping you to get a stress-free and quick transaction experience.
How To Withdraw Cash From ATM Using UPI?
You can follow the following steps for cardless cash withdrawalsfrom an ATM.
- Visit an ATM and choose the option ‘UPI cash withdrawal at the ATM’.
- Type the amount you want to withdraw on the redirected page.
- The redirected screen will show you a single-use dynamic QR code.
- Use any of your UPI apps to scan the QR code.
- Enter the UPI PIN.
The cash will be released by the ATM after the transaction is authenticated.
UPI ATM Cash Withdrawal Limit
TheUPI cash withdrawal ATMlimit is Rs. 10,000 per transaction. It is part of the UPI limit of Rs. 1 lakh per day. It is also part of the limits set up by your bank.
UPI ATM Cash Withdrawal Benefits
UPI ATM cash withdrawaloffers the following benefits:
- Enhanced security
ICCW (Interoperable Cardless Cash Withdrawal) process removes any card-related frauds that can happen in an ATM, such as card cloning, skimming, etc. since no card is used here. The use of QR codes helps to ensure safety in transactions.
- Accessibility
Accessing this facility is very easy as this service is available across most banks and ATMs supporting the UPI platform. Moreover, in case you still have not received your physical card after opening a new account, you can easily use this facility to withdraw money.
- Convenience
This is a very convenient method of withdrawing money as you do not have to carry any physical card. So the hassle of losing the card or misplacement of the same is easily avoided.
- Cash Withdrawals from Multiple Accounts
When you use your card for an ATM transaction, you can use only 1 account for the deduction of your money. However, in case of a UPI ATM transaction, you can choose the account of your choice for withdrawing the money. It is easy to link multiple accounts in your UPI app and thus can be used as you need.
List Of Banks Offering UPI ATM Cash Withdrawal
You can do theUPI ATM cash withdrawal at the following banks:
| Bank of Baroda | Ujjivan Small Finance Bank |
| State Bank of India | Equitas Small Finance Bank |
| City Union Bank | Suryoday Small Finance Bank |
| Union Bank of India | Fincare Small Finance Bank |
| Indian Bank | Cosmos Bank |
| Yes Bank | GP Parsik Sahakari Bank Ltd |
| Canara Bank | Janata Sahakari Bank |
| Central Bank of India | The Mehsana Urban Co-op Bank |
| Bank of India | Andhra Pragathi Grameena Bank |
| Utkarsh Small Finance Bank | Andhra Pradesh Grameena Vikas Bank |
| Punjab National Bank | Chhattisgarh Gramin Bank |
| Punjab and Sind Bank | Telangana Grameena Bank |
| UCO Bank | Uttarakhand Gramin Bank |
| IndusInd Bank | Saurashtra Gramin Bank |
| HSBC | Rajasthan Marudhara Gramin Bank |
| Karur Vysya Bank | Karnataka Vikas Grameena Bank |
| Federal Bank | Meghalaya Rural Bank |
| Arunachal Pradesh Rural Bank |
UPI ATM Cash Withdrawal Fees and Charges
National Payments Corporation of India or NPCI do not levy any charge for using UPI for ATM transactions. The existing fee structure for ATMs however remains the same. It mostly depends on the type of your account along with the total ATM transaction you can make in a month. This is applicable irrespective of whether you use the UPI withdrawal method or any physical card.
Final Words
Overall, UPI ATM cash withdrawalremoves the hassle of using your credit or debit card for a withdrawal. It can be done at any ATM where the cardless withdrawal facility is available. All you will need is a smartphone with a UPI app which can be used for the transaction. So, make sure to take full advantage of this facility and avail cashless transactions on the go.
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