WHITE LABEL ATMS (Syllabus: GS Paper 3 - Infrastructure)

News-CRUX-10     26th July 2023        
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Context:  The Reserve Bank of India (RBI) has apprised that in order to drive ATM penetration in the country with a greater focus on Tier III to VI centres, non-bank companies have been permitted to set up, own and operate White Label ATMs (WLAs) in the country.

White Label ATMs (WLAs)

  • ATMs set up, owned and operated by non-banks are called WLAs. 
  • Non-bank ATM operators are authorised under the Payment & Settlement Systems Act, 2007 by the Reserve Bank of India (RBI).
  • WLAs provide banking services to the customers of banks in India, based on the cards (debit/credit/prepaid) issued by banks. 
  • In addition to dispensing cash, WLAs may offer many other services / facilities which inter-alia include:
  • Account Information
  • Cash Deposit
  • Regular Bill Payment
  • Mini / Short Statement Generation
  • PIN Change
  • Request for Cheque Book