HomePersonal Finance NewsRBI issues debit, credit card rules to improve security and convenience

RBI issues debit, credit card rules to improve security and convenience

The Reserve Bank of India (RBI) on Wednesday issued new rules for banks and other financial institutions to improve user convenience and increase the security of card transactions.

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By Bivekananda Biswas  January 16, 2020, 9:09:45 AM IST (Updated)

RBI issues debit, credit card rules to improve security and convenience
The Reserve Bank of India (RBI) on Wednesday issued new rules for banks and other financial institutions to improve user convenience and increase the security of card transactions.


The apex bank asked card issuers to allow customers card transactions at ATMs and PoS terminals within India at the time of issuance or re-issuance of card.

For existing cards, issuers can take a decision based on their risk perception whether to disable the card not present (domestic and international) for transactions.

“Issuers shall provide cardholders a facility for enabling card not present (domestic and international) transactions, card present (international) transactions and contactless transactions,” the RBI notification read.

Existing cards, which have never been used for online transactions, should be mandatory disabled to ensure security, it said.

The cardholders should be offered the facility to switch on, off and set, modify transaction limits within the card limit for all types of transactions.

The above facility should be provided on a 24x7 basis through multiple channels -- mobile application, internet banking, ATMs, Interactive Voice Response (IVR). It may also be offered at branches or offices, it said.

Banks should send cardholders alerts, information, status, etc, through SMS, e-mail when there is any change in status of the card.
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