New UPI feature lets you deposit cash directly at ATMs
The Reserve Bank of India (RBI) and the National Payments Corporation of India (NPCI) have jointly launched a new feature called UPI Interoperable Cash Deposit (UPI-ICD). This innovative service is set to transform the way cash deposits are made at ATMs. The UPI-ICD allows users to deposit cash into their bank accounts or any other bank account, using the Unified Payments Interface (UPI) at ATMs equipped with cash recycler machines (CRMs).
UPI-ICD simplifies deposit process, eliminates need for cards
The UPI-ICD feature simplifies the cash deposit process by eliminating the need for physical cards. To use this service, customers must first locate an ATM equipped with a CRM that supports UPI-ICD. They then select the cash deposit option on the ATM screen and enter their mobile number linked to UPI, Virtual Payment Address (VPA), or account IFSC. After inserting cash into the machine, it is instantly credited to their chosen bank account.
Banks begin to implement UPI-ICD feature
The UPI-ICD feature is being gradually implemented across various banks and ATMs in India. Axis Bank and Union Bank of India are among the first to showcase this technology. Axis Bank has introduced an advanced Android Cash Recycler that supports both UPI-ICD and UPI-based cash withdrawals. Union Bank of India has also launched its pilot for the UPI Interoperable Cash Deposit, allowing customers to deposit cash into Union Bank's CRM using a UPI app by scanning a QR code displayed on the machine.
UPI-ICD offers enhanced security and convenience
The UPI-ICD feature offers several benefits to users. It eliminates the need for physical cards, thereby reducing risks associated with card loss or theft. The feature is easily accessible and user-friendly as it integrates with existing UPI infrastructure. Additionally, UPI-ICD supports both self and third-party deposits, further enhancing its utility for various banking needs.
