No searching for an ATM, no waiting in line... a new way to withdraw cash, you'll get crisp notes in your hand as soon as you scan the QR code

Digital payments have certainly reduced the need for ATM visits, but they haven't eliminated them. People still face challenges like finding an ATM or waiting in line at a bank to withdraw cash. Cash withdrawals are especially difficult in smaller areas where ATMs are few and far between. 

To address this issue, the government is considering introducing a service that could potentially eliminate the need for ATMs in the future. 

Have you ever imagined that, just as a QR code transfers money from one account to another, a scan of a QR code could transfer money directly from your account to yours? Yes, something like this is about to happen.

Cash can be withdrawn through UPI

UPI has become a major force in Digital India. It has made transactions more convenient and simple. Consequently, the National Payments Corporation of India (NPCI) has requested the Reserve Bank of India (RBI) to allow Business Correspondents (BCs), or micro-branches in rural areas, to withdraw cash by scanning a QR code from a mobile phone.

Facility will be available in every corner of the country

Currently, cash withdrawals using UPI are only available at certain UPI-enabled ATMs and certain merchants. The limit is ₹1,000 in cities and ₹2,000 in rural areas. 

However, once the new system is implemented, cash withdrawals will be easily available at over 2 million Business Correspondent Points across the country.

How will the process be

To withdraw money using a QR code, you simply need to visit a BC outlet and scan the QR code. A single scan allows you to withdraw up to ₹10,000 in cash. 

If you need to withdraw more, you can scan it again after a 30-minute interval. This doesn't require an ATM card or Aadhaar-based fingerprint.