RBI asks banks to ensure card-less cash withdrawal at ATMs

At the moment, the ability to withdraw money without a card through ATMs is limited to only a few banks.

At the moment, the ability to withdraw money without a card through ATMs is limited to only a few banks.

The RBI has proposed making cardless cash withdrawal facilities available to all banks and ATM networks using the unified payment interface (UPI).

“In addition to increasing the convenience of transactions, the lack of a physical card for such transactions would help prevent fraud such as card skimming and card cloning,” RBI Governor Shaktikanta Das announced as an additional measure.

At the moment, the ability to withdraw money without a card through ATMs is limited to only a few banks.

In order to facilitate greater penetration of bill payments through the Bharat Bill Payment System (BBPS), and to encourage the participation of a greater number of non-bank Bharat Bill Payment Operating Units in the BBPS, it has proposed to increase the net worth requirement of such entities from 100 crore to ₹25 crore.

To ensure Indian payment systems remain resilient to conventional and emerging risks, especially those related to cybersecurity, the RBI has proposed issuing guidelines on cyber resilience and payment security controls for payment system operators.

Separately, for the benefit of those taking advantage of individual home loans, the RBI has decided to continue with risk weights for all new individual home loans sanctioned through March 31, 2023.

The risk weights for individual residential loans were rationalized in October 2020 by only linking them to the Loan to Value (LTV) ratio for all new residential loans sanctioned until March 31, 2022.

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