RBI asks Banks, ATM networks to provide option of interoperable cardless cash withdrawal at ATMs 

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Mumbai : The Reserve Bank of India has asked all commercial banks and ATM networks to provide the option of Interoperable Card-less Cash Withdrawal (ICCW) at their ATMs. The central bank has already advised National Payments Corporation of India (NCPI) to facilitate Unified Payments Interface (UPI) integration with all banks and ATM networks.

“All banks, ATM networks and WLAOs may provide the option of ICCW at their ATMs. NPCI has been advised to facilitate Unified Payments Interface (UPI) integration with all banks and ATM networks. While UPI would be used for customer authorisation in such transactions, settlement would be through the National Financial Switch (NFS) / ATM networks. The on-us / off-us ICCW transactions shall be processed without levy of any charges other than those prescribed under the circular on Interchange Fee and Customer Charges” said RBI in a circular to banks and ATM networks.

“ Withdrawal limits for ICCW transactions shall be in-line with the limits for regular on-us / offus ATM withdrawals. All other instructions related to Harmonisation of Turn Around Time (TAT) and customer compensation for failed transactions shall continue to be applicable” RBI said.

RBI Governor Shaktikan Das in his Monetary Policy address in April 8 had announced a proposal to make cardless cash withdrawal facility  available at all banks and ATM networks using UPI.

“In addition to enhancing ease of transactions, the absence of the need for physical card for such transactions would help prevent frauds such as card skimming, card cloning,” he had said.