RBI Directs Card Issuers to Provide Customers With an Option to Choose from Multiple Card Networks at Time of Issue
- Blog|News|FEMA & Banking|
- < 1 minute
- By Taxmann
- |
- Last Updated on 7 March, 2024
Circular No. RBI/2023-24/131 CO.DPSS.POLC.No.S1133/02-14-003/2023-24; Dated: 06.03.2024
The RBI, upon review, has observed that some arrangements existing between card networks and card issuers are not conducive to the availability of choice for customers. In this regard, the RBI has directed card issuers to provide an option to their eligible customers to choose from multiple card networks at the time of issuance. For existing cardholders, this option may be provided at the time of the next renewal. This directive will be effective 6 months from the date of the circular.
This directive is made in the interest of the payment system and the public interest. Further, the RBI has instructed card issuers not to enter into any arrangement or agreement with card networks that restrains them from availing the services of other card networks.
The authorised card networks include American Express Banking Corp., Diners Club International Ltd., MasterCard Asia/Pacific Pte. Ltd., National Payments Corporation of India–Rupay, and Visa Worldwide Pte. Limited.
Click Here To Read The Full Circular
Disclaimer: The content/information published on the website is only for general information of the user and shall not be construed as legal advice. While the Taxmann has exercised reasonable efforts to ensure the veracity of information/content published, Taxmann shall be under no liability in any manner whatsoever for incorrect information, if any.
Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.
The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:
- The statutory material is obtained only from the authorized and reliable sources
- All the latest developments in the judicial and legislative fields are covered
- Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
- Every content published by Taxmann is complete, accurate and lucid
- All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
- The golden rules of grammar, style and consistency are thoroughly followed
- Font and size that’s easy to read and remain consistent across all imprint and digital publications are applied