Many banks have started a number of new features making transactions easier for their customers. The recent addition to this list is card-less withdrawal. This is a new feature that is now being offered by a number of private and public sector banks including SBI, ICICI Bank, Kotak Bank, HDFC Bank, etc, which allows customers to withdraw cash from ATMs without having to carry their debit or credit cards.
This feature cardless cash withdrawal can be used for self-withdrawal and has a daily transaction limit between ₹10,000 to ₹20,000.
This feature was started by banks during the COVID-19 pandemic when cash withdrawals were considered potential COVID-19 carriers. The card swiped at an unsanitized ATM was also considered unsafe. In order to promote safe necessary cash withdrawals, many lenders came up with this service for their customers.
To withdraw cash without using the card, the only required accessory is a customer’s smartphone with the mobile banking app of their respective lender installed.
Let's understand how this facility works:
Step 1: Download the mobile banking app of your respective bank.
Step 2: After the download is complete, log in to your account and go to services where you would find the cardless cash withdrawal option. Like in the case of SBI, you have to download the YONO app and go to the 'YONO cash option'. In the case of ICICI Bank, download the lender's iMobile app and click on cardless cash. Similarly in other banking mobile apps, this facility will usually come under the 'services' option.
Step 3: The next step is verification. In some banks, you will get an OTP to continue while in others you will have to enter your debit card PIN number.
Step 4: After initial verification select the account you want to use to withdraw money and enter the amount of cash you wish to withdraw.
Step 5: After entering your details, you will be sent an OTP from your lender to your registered mobile number. The OTP of different banks has different validities. This OTP will be used to withdraw money from your lender's ATM. For SBI, you have to withdraw in the next 30 minutes while in ICICI Bank you get 6 hours to withdraw cash without using your card.
Step 6: Visit your bank's ATM. Note that for cardless withdrawal, you cannot use another bank's ATM. Like an SBI customer can use this facility only in an SBI ATM, not in any other lender's ATM, like ICICI Bank or Kotak Bank, etc. When using a debit card to withdraw cash, you can use other banks’ ATMs as well.
Step 7: In the ATM, select cardless withdrawal, in the case of SBI you have to select YONO cash.
Step 8: Enter the amount you wish to withdraw. It should match the amount you submitted in the mobile banking app.
Step 9: Then enter the OTP provided by the bank.
Step 10: If all your parameters match and you do not enter any wrong information, cash will be dispensed from the ATM.
You can follow these simple steps to enjoy a cardless cash withdrawal facility from your lender. One must remember to go to your own bank's ATM for such a withdrawal and send the request for the same on your mobile banking app when you want to withdraw and not very early.
Also, in case of a technical glitch in the ATM and your cash does not get dispensed but gets deducted from your account, please contact the customer care service of your lender immediately.