Cardless Cash Withdrawal: Benefits, Limits & Online Methods

Cardless cash withdrawal is a convenient service that banks offer, allowing customers to withdraw money from ATMs without needing a physical card. This method enhances security and convenience by utilising digital authentication techniques such as mobile banking applications, SMS-based codes, or biometric verification. 

To initiate a withdrawal, a customer logs into their mobile banking or UPI app and selects the withdrawal amount. The bank then sends a secure, time-sensitive code to the customer's mobile device. To access the funds, the customer enters this code at the ATM, possibly along with their PIN. 

This system minimises the need to carry a debit card and provides an instant solution to access cash from any nearby ATM. It is particularly beneficial for facilitating remote financial assistance, making it a valuable tool in today's digital banking landscape.

Quick Answer:

Cardless Cash Withdrawal allows you to withdraw money from an ATM using your mobile phone without a debit card. You can initiate the transaction through your bank’s app and receive a code to enter at the ATM.

Methods of Cardless Cash Withdrawal

Following are the ways for an individual to avail of cash withdrawal instantly:

UPI: Recently, the banks have started offering UPI services to their customers to withdraw instant cash from respective ATMs:

• Go to the nearest UPI-enabled ATM.
• Choose the “UPI Cash Withdrawal” option.
• A QR code will be shown on the screen.
• Scan the QR code using any UPI application on your smartphone.
• Enter the desired withdrawal amount.
• Confirm the transaction by entering your UPI PIN.

Bank Mobile App: Many banks provide mobile applications that enable cardless cash withdrawals. You can create a one-time transaction code for ATM use within the app.

• Launch your bank’s mobile app.
• Access the cardless cash withdrawal feature.
• Input the withdrawal amount and authenticate the transaction (typically through PIN or biometric verification).
• Receive a unique code from the app.
• Visit an ATM, opt for cardless withdrawal, and input the code for cash retrieval.

Internet Banking: With internet banking access, you can initiate cardless withdrawals via your bank’s website.

• Log in to your internet banking account.
• Locate the cardless cash withdrawal option.
• Follow the instructions to generate a transaction code.
• Visit an ATM, select cardless withdrawal, and input the code for cash withdrawal.

USSD Code: Some banks offer USSD codes for mobile transactions without the Internet.

• Dial the bank’s designated USSD code (e.g., *99#).
• Choose cardless cash withdrawal.
• Follow the prompts to generate a code.
• Visit an ATM, select cardless withdrawal, and enter the code.

ATM: Certain ATMs support direct cardless withdrawals.

• Visit an ATM offering cardless cash withdrawals.
• Choose cardless withdrawal on the ATM screen.
• Input required details (usually mobile number and transaction code).
• Collect cash from the ATM.

How To Perform Cardless Cash Withdrawal Top Bank of India

Cardless cash withdrawal presents a convenient method for accessing funds sans a physical debit card. Let’s delve into its functionality and the banks extending this service in India:

ICICI Bank

ICICI Bank allows cardless cash withdrawals via their mobile banking app, iMobile.

• Access iMobile and log in.
• Go to Services, then opt for Cardless Cash withdrawal.
• Input the withdrawal amount and account number, and set a 4-digit temporary PIN.
• Confirm details and submit.
• Receive transaction details via SMS.
• Head to any of ICICI Bank’s 16,927 ATMs nationwide.
• You will receive details and a temporary PIN for cardless cash withdrawal.

HDFC Bank

HDFC Bank also extends cardless cash withdrawals.

• Log in to NetBanking.
• Access Funds Transfer, then Request, and add a Beneficiary under Cardless Cash Withdrawal.
• Register the beneficiary (one-time requirement).
• Initiate withdrawal using the mobile wallet or bank app.

SBI Bank: 

Follow the instructions for SBI cardless cash withdrawal:

Utilising the YONO App:

• Access the YONO SBI app on your smartphone.
• Navigate to the “YONO Cash” feature.
• Choose the “ATM” option within YONO Cash.
• Input your desired withdrawal amount.
• Generate a 6-digit PIN for the transaction.
• Receive a YONO Cash transaction number via your registered mobile number.
• Proceed to an SBI ATM and follow instructions for cash withdrawal using the transaction number and PIN.

Utilising the YONO Website:

If smartphone usage isn’t preferred, cardless cash withdrawals can be executed via the SBI YONO website.

• Visit the SBI YONO website.
• Log in with your Net banking credentials (active personal internet banking account required).
• Scroll to the “YONO Cash” tab under “My rewards.”
• Click on “Request YONO Cash.”
• Specify the withdrawal amount.
• Create a 6-digit YONO Cash PIN for the transaction.
• Initiate the cash withdrawal process through the YONO website.

Cardless Cash Withdrawal Through UPI

Several banks offer Instant Cardless Cash Withdrawal using the UPI method:

UPI-ATM is a service called Interoperable Cardless Cash Withdrawal (ICCW) that allows customers of participating banks who use UPI to get cash from any participating bank’s ATM that supports UPI-ATM without needing a bank card.

When customers go to an ATM and choose the ‘UPI cash withdrawal’ option, they are asked to enter the amount of cash they want. Then, a one-time QR code appears on the ATM screen. The customer must scan this QR code with any UPI app and enter their UPI PIN on their phone to confirm the transaction and withdraw the cash.

Let us explore how different banks offer instant cash withdrawal from their respective ATMs using UPI:

HDFC Bank

Steps to use the ICCW services with HDFC Bank are as follows: 

• Look for ‘UPI Cardless Cash’ on the ATM screen and tap it.
• Choose the amount you want to withdraw from the options shown.
• A QR code will appear on the screen. Open a UPI-enabled mobile app like BHIM Pay or HDFC Bank PayZapp.
• Find the ‘Scan & Pay’ section in your UPI app and tap to scan.
• Point your phone’s camera at the QR code on the ATM screen, ensuring it’s fully visible.
• Your UPI app will detect the code. Confirm the payment details, like the amount.
• Approve the payment within your UPI app.
• The ATM screen will show a confirmation message. Tap ‘Proceed’.
• Enter your UPI PIN to authenticate the transaction.

Bank of Baroda

Steps to use the ICCW services with the Bank of Baroda are as follows: 

1. Choose the “UPI Cardless Cash” option on the ATM screen.
2. Enter the amount of money you want to withdraw.
3. Use a UPI app to scan the QR Code shown on the ATM screen.
4. If you have more than one bank account linked to your UPI ID, choose which one you want to use for this transaction.
5. Enter your UPI PIN to confirm the transaction, and then take your cash.

IndusInd Bank

Steps to use the ICCW services with IndusInd Bank are as follows: 

1. Go to the ATM and select the ‘UPI cash withdrawal’ option on the ATM screen.
2. Specify how much money you want to withdraw.
3. A dynamic QR code will appear on the ATM screen. Use any UPI app on your mobile phone to scan this code.
4. Enter your UPI PIN on the mobile app to authenticate the transaction.
5. Once the transaction is verified, the ATM will dispense the cash you requested.

Advantages and Disadvantages of Cardless Cash Withdrawal

Let us explore the advantages and disadvantages of cardless cash withdrawal:

Advantages:

• Convenience: You can get cash without your physical ATM card. This is useful if you forget your card or don’t want to carry it.
• Emergency Situations: Withdraw cash quickly in emergencies using your phone, even without your card.
• Security: You don’t need to insert your card into an ATM, reducing the risk of misplacing your card or theft. Your transaction is secured through your mobile banking app.
• No ATM Fees: Some banks offer cardless withdrawals without extra fees, saving money.

Disadvantages:

• Limited Availability: Not all ATMs support cardless cash withdrawals, so you have to find one that does.
• Dependency on Mobile App: To use cardless withdrawals, you need a compatible mobile banking app installed and set up.
• Transaction Limits: Cardless withdrawals often have lower limits than regular ATM withdrawals. Check your bank’s limits before using.

Network Connectivity: You need a stable internet connection for cardless withdrawals. Poor network coverage can cause issues.