If you are afraid to withdraw money from ATMs, then this news is for you. In fact, the cash refund facility will be reintroduced in select ATMs across the country. In this, the ATM machine will pull back the cash not received by the customer within the stipulated time. This step has been taken by the Reserve Bank of India (RBI) ATMs to protect customers and prevent fraud. So let us tell you about this feature in detail?
What is Cash Refund Facility?
Cash withdrawal in ATMs is a facility in which if the customer does not pick up the cash tray within the stipulated time, the machine draws back that cash. Earlier, this facility was misused, where fraudsters would pick up a partial amount but the machine log recorded the withdrawal of the entire amount. This was causing huge losses to the banks. For this reason, the RBI discontinued this facility in the year 2012.
This is how fraud happens to customers
However, after this, the fraudsters found a new way to commit fraud at the ATM booth. They close the ATM by putting a fake cover in front of the cash-tray, so that the cash from the machine gets stuck and the customer does not see it. He thinks the transaction has failed and he goes. After this, the fraudsters reach there and remove the fake cover and withdraw the cash. To deal with this, the RBI has instructed banks to implement the cash withdrawal system with more technical security.
First of all, the facility will be applicable here
The RBI has instructed banks to reactivate this facility in those ATMs where the probability of such fraud is high. Banks have also been asked to upgrade their ATM machines to implement this technology. This technique will be especially effective in cases where customers forget to withdraw money by mistake or are unable to take money for some reason. Also, if a fraudster tries to take money from another customer, then this technique will be helpful in stopping him too.
