The Reserve Bank of India (RBI) has issued new guidelines for the Debit card and credit card, which will be effective from 1st October 2020. Before knowing more about the guidelines lets us know:
Why New Rules?
As we all know there is a rise in banking fraud, most of us might have got fraud calls that are looking to steal our credit card or debit card details. Some of us might have to get fooled by them as they are professionals in online fraud. RBI has issued new guidelines to avoid this fraud in digital transactions.
What We Need to Know About New RBI Guidelines on Debit/Credit Card?
- All Debit cards, credit cards at the time of issue or re-issue shall be enabled for only ATM and Point of sale (POS) devices transactions within India.
- If the Debit card, credit cardholder wants to use his/her card outside India, they would need to request their bank for this facility. Before the notification, the issued card by default can be used anywhere in the world.
- For the debit cards, credit cards that have never been used for online or contactless (NFC) transactions have been asked by RBI to the banks to disabled them for online payment.
- Customers are now allowed to set up the transaction limits on their debit cards, credit cards.
- Debit card, credit card holders now have the option for opt-in or opt-out of services on their cards such as online, international, and contactless (NFC) transactions.
These measures will play a significant role in preventing online fraud digital transactions. Debit card, credit card holders can manage all these on their mobile banking app.