India is witnessing a Fintech revolution owing to technological advancements and various Government initiatives. One of the most talked about initiatives is Pradhan Mantri Jan Dhan Yojana which aims to ensure access to various financial services — savings bank accounts, availability of need based credit, remittances facility, insurance and pension to low income groups across India. However, the last-mile of cash-disbursal remains a challenge even today with only 2,25,000 ATMs for all banks against the population of about 1.2 billion.
Cash Withdrawal using ATM – A challenge to unravel
Though the number of ATM per million population is increasing i.e. from 105 in 2012 to about 300 in 2017, yet ATM market is underpenetrated in India. The country has approximately 120 ATMs per million people.
ATM Market Comparison
- US has about 1,500 ATMs per million people
- China has about 350 ATMs per million
- India has only 120 ATMs per million people
Also, the cost of operating and maintaining a conventional ATM is higher and includes factors such as 24*7 power availability and security. These factors make ATM an unviable option to scale up cash out facility in semi urban/ rural areas.
New Age Banking Solution – Spice Digital launches Aadhaar enabled Mini-ATMs
With continuous efforts to bridge the divide between the served and the underserved, Spice Digital has launched Aadhaar enabled Mini-ATMs and will be shortly offering the services to customers at Spicemoney retail counters. We have been authorized by the National Payments Corporation of India (NPCI) to offer Aadhaar Enabled Payment System (AEPS) services.
This service shall bring rural masses and low income groups at par with their urban counterparts. Technology and Aadhaar would play an imperative role in bridging the digital divide in India by extending banking services to all including low income groups.
A user can visit any Spicemoney retail outlet near to their home or work to withdraw cash by providing the following details –
- Issuer Identification Number (IIN)– It is a unique, six digit number issued by NPCI to bank. Previously known as BIN or Bank identification number, IIN identifies the bank to which the customer has mapped his/her Aadhaar number.
- Aadhaar Number
- Fingerprint captured during their enrollment
- Amount to be withdrawn
With mini-ATMs withdrawing cash is now easy, secure and convenient. Read our blog – AEPS – Leading a Way to New Age Banking to know more about Aadhaar enabled payments.
Interested to join our team! Visit our page – b2b.spicesafar.com