With the widespread adoption of
Unified Payments Interface
(UPI), individuals often forego carrying cash when venturing out. However, the prevalence of UPI has led many to forgo carrying their
debit or credit cards
, which can prove inconvenient in situations requiring urgent access to cash, particularly while traveling or in remote areas.
According to a report by the Economic Times, Paymart India, a fintech company based in Chandigarh, is revolutionising
cash withdrawals
with its innovative
Virtual ATM
service.
Amit Narang, the Founder & CEO of
Paymart India
Pvt Ltd, introduces this service as the "Virtual ATM." With Virtual ATMs, users can effortlessly withdraw cash without the necessity of a physical card or visiting a traditional ATM
Here’s all you need to know about this new Virtual ATM
What is virtual ATM
A virtual ATM, also known as cardless cash withdrawal, is a service that allows you to withdraw cash without needing a physical debit or credit card or visiting a traditional ATM.
How it works
In order to make use of the Virtual ATM you need to keep in mind few things which are:
* You only need a smartphone with an internet connection to initiate a withdrawal.
* You have to use your bank's mobile app to request a withdrawal. Ensure your phone number is registered with the bank for the mobile app.
* Upon your withdrawal request, your bank will generate a one-time password (OTP) and send it to your registered mobile number.
* Show the OTP to a nearby shop affiliated with the virtual ATM service (listed in the mobile app) to collect your cash.
How to use virtual ATM
1. Open your mobile banking app and select the virtual ATM option.
2. Enter the amount you want to withdraw.
3. Confirm the transaction.
4. Receive an OTP on your registered mobile number.
5. Locate a participating shop near you (usually kirana stores or other partnered merchants) using the app's list.
6. Show the shop owner the OTP and your mobile number.
7. Receive your cash from the shop owner.
Presently, the virtual ATM service is limited to select cities which include Chandigarh, Delhi, Hyderabad, Chennai, and Mumbai. However, the company is planning to roll out the service nationwide by May this year.
