IRCTC E-Wallet Funds Restricted to Ticket Purchases Only: Railway Minister Confirms No Cash Withdrawal Option

Funds deposited into the IRCTC e-wallet are restricted solely for ticket purchases and cannot be withdrawn as cash, Railway Minister Ashwini Vaishnaw confirmed in the Lok Sabha on Wednesday.

In his written response to BJP MP Janardan Singh Sigriwal's inquiry, Vaishnaw clarified that the e-wallet operates as a closed system Prepaid Payment Instrument (PPI), in compliance with Reserve Bank of India guidelines.

The Minister explained that such closed system accounts only permit transactions within the issuing entity's ecosystem, making cash withdrawals impermissible under current regulations.

Sigriwal had questioned whether users could retrieve funds from their IRCTC e-wallets back to their original payment sources, preventing money from remaining unused for extended periods. He also inquired about potential interest benefits for idle funds in these wallets.

Addressing these concerns, Vaishnaw stated, "The amount deposited in this account can be used only for the purchase of train tickets." However, he confirmed that IRCTC has implemented a policy to return remaining e-wallet balances to users' bank accounts upon closure of their e-wallet accounts.

This arrangement ensures that while funds remain dedicated to railway ticketing during the wallet's active period, customers will not lose their money if they decide to terminate their IRCTC e-wallet service.

The clarification comes as digital payment systems continue to evolve across India's transportation sector, with IRCTC serving as one of the government's major online transaction platforms for public transportation services.