New Delhi: Customers can now deposit cash at ATMs using any UPI app, eliminating the need for debit or physical cards. This new UPI Interoperable Cash Deposit (UPI-ICD) feature was introduced by T. Rabi Shankar, the Deputy Governor of the Reserve Bank of India, during the Global Fintech Fest (GFF) 2024 in Mumbai on August 29.
The UPI-ICD feature allows users to deposit cash at ATMs without needing a card, using only UPI services. Currently, this option is available only at ATMs that can handle both deposits and withdrawals, known as cash-recycler machines. It’s also worth noting that cardless cash withdrawals via UPI were first introduced in 2023.
UPI-ICD uses a customer’s mobile number linked to UPI along with virtual payment addresses (VPA) and account IFSC codes to facilitate cash deposits. This allows users to deposit cash into their own accounts or any other bank account, according to a press release from the National Payments Corporation of India (NPCI), which manages UPI.
“The introduction of UPI ICD allows customers to deposit cash at ATMs operated by banks and white label ATM operators (WLAOs) using UPI to their own bank account or any other bank account without the need for a physical card. These ATMs are cash recycler machines which are used for both cash deposits and withdrawals. Leveraging their mobile numbers linked to UPI, virtual payment addresses (VPA) and account IFSCs, customers can now do cash deposits, making the process more seamless, inclusive and accessible,” according to a press release from NPCI.
Here’s how to use UPI for depositing cash:
– Find a CDM: Locate a Cash Deposit Machine (CDM) that supports UPI transactions and select the “UPI Cash Deposit” option.
– Scan QR Code: Use your UPI app to scan the QR code displayed on the CDM.
– Enter Bill Details: Input the number of bills for each denomination (e.g., Rs 100, Rs 500). The CDM might give you a confirmation slip.
– Verify Amount: Check the deposit amount shown on your UPI app to ensure it matches the cash you’re depositing.
– Select and Authorise: Choose the bank account you want to deposit into from your UPI-linked accounts and authorise the transaction with your UPI PIN.//