Your money, your way: A step-by-step guide to cardless withdrawals

Learn how cardless cash withdrawals are enhancing card safety and providing a convenient alternative for accessing money, even without a physical debit card.

In today's fast-paced world, convenience and security are essential when managing your finances. But what if you forget your wallet at home or you're in a situation where you can't physically access an ATM? This is where cardless cash withdrawals come to the rescue, offering a safe and efficient way to access your funds.

Highlights:

• Cardless cash withdrawals offer enhanced security, reducing card-related fraud risks.

• You can conveniently withdraw cash through two methods: mobile app or ATM.

• Banks set daily transaction limits for cardless withdrawals to bolster security.

• QR code scanning at ATMs enables quick and secure cardless cash withdrawals.

Why choose cardless cash withdrawals?

Cardless cash withdrawals have gained popularity for various reasons. This innovative banking feature allows you to withdraw money from ATMs without swiping your card. All you need is a mobile phone with your bank's mobile app that supports the Unified Payments Interface (UPI).

During the pandemic, many people relied on this method to send cash to others, even if they didn't have a bank account. The convenience it offers is unmatched, and it eliminates the risk of card skimming or theft.

How to withdraw cash without cards?

There are two methods for cardless cash withdrawals, both of which are easy to follow:

• Method 1: Through Mobile 

  • Log in to your bank's mobile app or net banking.
  • Select the ATM option under services and choose 'Cardless Cash Withdrawal.'
  • Enter the withdrawal amount.
  • Set a PIN for the transaction or receive a temporary PIN via SMS.
  • After a cooling-off period, head to the ATM.
  • Select 'Cardless Withdrawal' and provide your mobile number, 9-digit reference number, temporary PIN, and withdrawal amount.

• Method 2: Through ATM 

  • If you're already at the ATM, select 'Cardless Withdrawal' on the screen.
  • Enter the withdrawal amount.
  • Open your mobile banking app and use the QR code scanner.
  • Scan the QR code displayed on the ATM screen.
  • Collect your cash.

Also Read: How UPI Wallets Are Making Online Payments More Secure: All You Need To Know

How to prevent fraud?

Cardless cash withdrawals prioritise your security. The transaction is secured using three layers of protection: your registered phone, your mobile app password, and a temporary PIN. This multi-layered security approach significantly reduces the chances of fraud. To prevent misuse, banks set daily transaction limits, typically ranging from Rs 10,000 to Rs 25,000.

How to choose the right ATM?

Use the right ATM when opting for cardless cash withdrawals. Most banks require you to use their own ATMs for this service. However, some banks, like the Bank of Baroda, Union Bank of India, and City Union Bank, permit interoperable cardless cash withdrawals (ICCW) at specific ATMs. If you use a different bank's ATM, select the ICCW option, keeping in mind the Rs 10,000 per day withdrawal limit.

Find the latest articles on Credit Cards here.

Also Read: Using RuPay Credit Cards For UPI Payments: Good Or Bad?