Soon people without bank accounts and debit cards will be able to withdraw cash from ATM using their mobile phone. Reserve Bank Governor Raghuram Rajan announced the news at the inaugural session of the three-day NASSCOM Leadership Forum in Mumbai.<\/p>\n
The new service would be helpful especially for people receiving remittances. At present, only bank account holders can withdraw cash from an ATM. Reserve Bank has approved the in-principle setting up of the payment system which will allow funds transfer from bank account holders to non-bank account holders through ATMs.<\/p>\n
With the new payment system, the sender can authorise another person without an account to withdraw cash from his or her account through an ATM. The intermediary bank will process the payment and will send a code via SMS to the mobile phone of the recipient. With the SMS code, recipient will be able to withdraw money from ATM without the card. \u00a0For security, the identity of the recipient will be verified first. The system will also take care of necessary safeguards of transaction validation, velocity checks etc.<\/p>\n
At present services like money order are used to send payments to those who do not have a bank account. The new service will prove to be helpful for relatives and friends living far away and for those without a bank account. Also, the service will be quick so that money matters could be sorted out faster.<\/p>\n
Providing access to unbanked areas in the country has been the top priority of RBI, as almost 40% of the population doesn\u2019t have a bank account. With the new service, RBI aims to increase the reach of financial services in the country.<\/p>\n","protected":false},"excerpt":{"rendered":"
Soon people without bank accounts and debit cards will be able to withdraw cash from ATM using their mobile phone. Reserve Bank Governor Raghuram Rajan announced the news at the inaugural session of the three-day NASSCOM Leadership Forum in Mumbai. The new service would be helpful especially for people receiving remittances. At present, only bank […]<\/p>\n","protected":false},"author":44,"featured_media":16691,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-16584","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general"],"_links":{"self":[{"href":"https:\/\/entecity.com\/news\/wp-json\/wp\/v2\/posts\/16584"}],"collection":[{"href":"https:\/\/entecity.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/entecity.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/entecity.com\/news\/wp-json\/wp\/v2\/users\/44"}],"replies":[{"embeddable":true,"href":"https:\/\/entecity.com\/news\/wp-json\/wp\/v2\/comments?post=16584"}],"version-history":[{"count":0,"href":"https:\/\/entecity.com\/news\/wp-json\/wp\/v2\/posts\/16584\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/entecity.com\/news\/wp-json\/wp\/v2\/media\/16691"}],"wp:attachment":[{"href":"https:\/\/entecity.com\/news\/wp-json\/wp\/v2\/media?parent=16584"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/entecity.com\/news\/wp-json\/wp\/v2\/categories?post=16584"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/entecity.com\/news\/wp-json\/wp\/v2\/tags?post=16584"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}