Explained | Why has the RBI barred Mastercard from issuing new cards in India?
3 years, 5 months ago

Explained | Why has the RBI barred Mastercard from issuing new cards in India?

The Hindu  

The story so far: The Reserve Bank of India on Wednesday banned Mastercard from issuing new debit and credit cards to customers in India with effect from July 22. In 2018, the Indian central bank had issued a circular ordering card companies such as Visa, Mastercard, and American Express to store all Indian customer data locally so that the regulator could have “unfettered supervisory access”. Consequently, Mastercard deleted Indian customer data from its foreign servers and promised to invest in building local servers in India to store local customer data. In 2018, Mastercard had launched a complaint with the U.S. government that Prime Minister Narendra Modi was actively promoting Indian cards like RuPay and that it was affecting the business of foreign card companies. The RBI’s data localisation policy, as it burdens foreign card companies, may end up favouring domestic card issuers like RuPay.

India Data Local Indian Companies Visa Rules Card Cards Foreign Mastercard Rupay Foreign Card Companies New Cards Rbi Barred  explained  issuing  local  cards  india  mastercard  rules  rbi  barred  indian  companies  foreign  data  card

History of this topic

Why Kotak Mahindra Bank faces strict RBI curbs: How does it affect you?
8 months ago

Why Kotak Mahindra Bank faces strict RBI curbs: How does it affect you?

Hindustan Times  

Kotak Mahindra Bank News: On Wednesday, the Reserve Bank of India directed Kotak Mahindra Bankto immediately stop onboarding new customers through its online and mobile banking channels and issuing fresh credit cards. REUTERS/Adnan Abidi/File Photo Why RBI took action against Kotak Mahindra Bank? • RBI said that it placed restrictions in the “interest of customers and to prevent any possible …

Visa halts intermediated commercial card payments in India after RBI’s directive
10 months, 1 week ago

Visa halts intermediated commercial card payments in India after RBI’s directive

The Hindu  

Visa said on February 14 that the Reserve Bank of India, which is also the country's financial market regulator, had directed it last week to halt all domestic transactions for Business Payment Solution Providers. The RBI's directive will not impact all commercial card payments but only those intermediated by BPSPs. "Visa received a communication from the RBI on February 8, …

Rupay prepaid forex cards now permitted for issuance by banks, says RBI Governor
1 year, 6 months ago

Rupay prepaid forex cards now permitted for issuance by banks, says RBI Governor

Hindustan Times  

Banks will now be able to issue RuPay Prepaid Forex cards, Reserve Bank of India Governor Shaktikanta Das announced on Monday while reading out the monetary policy statement after a three-day deliberation. Meanwhile, RBI's monetary policy committee unanimously decided to keep the repo rate unchanged at 6.5 per cent. Barring the April pause, the RBI raised the repo rate by …

20% TCS on Credit Card Usage Outside India: What are the Changes & Why Have they Been Made?
1 year, 7 months ago

20% TCS on Credit Card Usage Outside India: What are the Changes & Why Have they Been Made?

News 18  

The Centre has changed the Foreign Exchange Management Act guidelines to include international credit card purchases made outside of India in the Liberalised Remittance Scheme. The finance ministry on Thursday said the changes in FEMA rules, which brings overseas international credit card spending under RBI’s liberalised remittance scheme, are intended to bring in parity in tax treatment of remittances using …

RBI unlikely to extend 30 September deadline for credit, debit cards
2 years, 2 months ago

RBI unlikely to extend 30 September deadline for credit, debit cards

Live Mint  

India's central bank is unlikely to extend a Friday deadline for businesses to set up an additional layer of security for consumers' credit card data even after some concerns remain over payments failing and revenue losses, say bankers and merchants. Three years ago, India embarked on a mammoth exercise to secure card data by requiring businesses to tokenise cards by …

RBI lifts restrictions on American Express; allows onboarding new domestic customers
2 years, 4 months ago

RBI lifts restrictions on American Express; allows onboarding new domestic customers

India TV News  

Highlights RBI allowed American Express Banking Corp to onboard new customers on its card network The central bank had imposed the restrictions on May 1, 2021 They were also required to report compliance to RBI The Reserve Bank on Wednesday lifted the restrictions on American Express Banking Corp and allowed the onboarding of new domestic customers on its card network. …

Relief for Mastercard as RBI Lifts Restrictions, No Change for American Express and Diners Club
2 years, 6 months ago

Relief for Mastercard as RBI Lifts Restrictions, No Change for American Express and Diners Club

News 18  

The Reserve Bank of India removed a ban on Mastercard on Thursday, allowing the card network to on-board new clients for debit, credit, or prepaid cards, citing the company’s compliance with payment data storage regulations. It should be noted that RBI stopped Mastercard, American Express, and Diners Club from issuing new debit, credit, or prepaid cards to clients indefinitely last …

What is RuPay - India's card payment network?
2 years, 7 months ago

What is RuPay - India's card payment network?

Business Standard  

A product of the National Payments Corporation of India, RuPay is India’s indigenous payment network. One of the intentions behind RuPay is to facilitate India’s entry into the global payments market through an indigenous card facility.So, why was RuPay launched?RuPay is meant to fulfil RBI’s vision of creating a ‘less cash’ economy. To this end, RuPay helped reach rural India …

RBI new rules on issue of credit cards, debit cards: All you need to know
2 years, 8 months ago

RBI new rules on issue of credit cards, debit cards: All you need to know

Hindustan Times  

The Reserve Bank of India on Thursday announced new rules for the issue of credit cards and debit cards, as well as directions to issuing agencies. these Directions relating to debit cards shall apply to every bank operating in India." Consent for the issue of cards must be explicit; written consent is needed before a credit card can be issued. …

RBI's push for card security to hit merchants, lenders
3 years ago

RBI's push for card security to hit merchants, lenders

The Hindu  

The Reserve Bank of India's plans to move towards card tokenisation is likely to hit a wide range of companies from major e-commerce firms and food delivery firms to lenders, while increasing the use of cash, said industry sources and bankers. "Introducing an additional step in payments adds friction and several studies show that customers may end up dropping out …

US official privately criticised RBI ban on Mastercard
3 years, 3 months ago

US official privately criticised RBI ban on Mastercard

India TV News  

A senior US trade official privately criticised India's July decision to ban Mastercard Inc from issuing new cards, calling it a "draconian" move that caused "panic", a global news wire reported. The documents show frustration within the US government after India's central bank banned new card issuance by American Express and Diners Club International in April, then took similar action …

MasterCard Ban to Hit SBI, Yes Bank, 5 Others. Will Your Debit, Credit Card be Blocked?
3 years, 5 months ago

MasterCard Ban to Hit SBI, Yes Bank, 5 Others. Will Your Debit, Credit Card be Blocked?

News 18  

The Reserve Bank of India had said in a statement that a ban on Mastercard would be imposed effective from June 22. A little further down the spectrum, Induslnd Bank, ICICI Banks and Axis Bank will be the second most affected as they have around 35 to 40 per cent of their credit card schemes tied to the banned card, …

Fresh card issuance by five private banks to be impacted due to ban on Mastercard by RBI: Report
3 years, 5 months ago

Fresh card issuance by five private banks to be impacted due to ban on Mastercard by RBI: Report

The Hindu  

As many as five private sector banks, including Axis Bank, Yes Bank, and IndusInd Bank, are to be impacted by the Reserve Bank of India’s decision to ban Mastercard from issuing new cards for not complying with local data storage guidelines, according to a report. “Among credit card issuers including co-brand partners, RBL Bank, Yes Bank and Bajaj Finserv lending …

Do you have Mastercard's Debit, Credit Card? What will happen to existing customers after RBI's ban
3 years, 5 months ago

Do you have Mastercard's Debit, Credit Card? What will happen to existing customers after RBI's ban

India TV News  

Mastercard banned in India: The Reserve Bank of India on Wednesday, July 14, barred Mastercard from on-boarding new domestic customers includig debit, credit or prepaid cards users onto its network. Citing the violation of norms on storage of payment systems data, the Reserve Bank of India has prohibited Mastercard from issuing debit cards, credit cards or prepaid cards to new …

RBI Restricts Mastercard: How Will It Impact Existing Customers?
3 years, 5 months ago

RBI Restricts Mastercard: How Will It Impact Existing Customers?

The Quint  

In a 2018 statement, MasterCard CEO and President, Ajaypal Singh Banga, said that data localisation may fail to provide safety and security to Indian banks, merchants. Meanwhile, Sharat Chandra, an emerging tech evangelist told The Quint that since there is hardly any money left to be made in payments business, payment data collected can be used by Mastercard to build …

Will your Debit and Credit Card be Valid India after RBI's Ban on Mastercard? Read Here
3 years, 5 months ago

Will your Debit and Credit Card be Valid India after RBI's Ban on Mastercard? Read Here

News 18  

The Reserve Bank of India has imposed restrictions on Mastercard Asia or Pacific Pte. The Reserve Bank of India said that Mastercard had not complied with rules requiring foreign card networks to store payments data in India. The Reserve Bank of India has prohibited Mastercard from issuing debit card, credit card or prepaid cards to new customers, starting from July …

Mastercard barred from adding clients
3 years, 5 months ago

Mastercard barred from adding clients

Hindustan Times  

Barely three months after cracking the whip on American Express and Diners Club for non-compliance with local data storage norms, the Reserve Bank of India on Wednesday barred Mastercard Asia from signing up new card customers on similar grounds. The multinational card network will not be allowed to on-board new credit, debit or prepaid card customers in India beginning July …

RBI restricts Mastercard from acquiring new customers from July 22
3 years, 5 months ago

RBI restricts Mastercard from acquiring new customers from July 22

Hindustan Times  

The Reserve Bank of India on Wednesday barred Mastercard Asia Pacific from onboarding new debit, credit, or prepaid card customers from July 22, 2021, for failing to comply with its data storage norms. The central bank said that Mastercard failed to comply with the “directions on Storage of Payment System Data” even after being given “considerable time and adequate opportunities.” …

RBI Bars Mastercard from Acquiring New Customers in India from July 22
3 years, 5 months ago

RBI Bars Mastercard from Acquiring New Customers in India from July 22

News 18  

The Reserve Bank on Wednesday barred Mastercard Asia Pacific from onboarding new credit, debit and prepaid card customers with effect from July 22 as it failed to comply with data storage norms. Taking action against Mastercard, RBI said, "notwithstanding lapse of considerable time and adequate opportunities being given, the entity has been found to be non-compliant with the directions on …

Debit Card, Credit Card Rule: Can't Use New Card for Online Transactions? Know How to Activate it
3 years, 7 months ago

Debit Card, Credit Card Rule: Can't Use New Card for Online Transactions? Know How to Activate it

News 18  

Amid rising cases of banking frauds in the country, the Reserve Bank of India has introduced several measures for secure debit and credit card transactions. For online transactions: To enable any other facilities including online transactions, international transactions and contactless transactions in the debit and credit cards, customers need to approach the bank. How to activate online transactions in your …

RBI restricts American Express, Diners Club from on-boarding new customers from May 1
3 years, 8 months ago

RBI restricts American Express, Diners Club from on-boarding new customers from May 1

The Hindu  

The Reserve Bank of India has restricted American Express Banking Corp and Diners Club International Ltd from on-boarding new domestic customers onto their card networks from May 1 for violating data storage norms. American Express Banking Corp and Diners Club International Ltd are Payment System Operators authorised to operate card networks in the country under the Payment and Settlement Systems …

RBI bars American Express, Diners from adding new customers for not following data storage rules
3 years, 8 months ago

RBI bars American Express, Diners from adding new customers for not following data storage rules

India Today  

The Reserve Bank of India on Friday barred global card networking giants American Express Banking Corp and Diners Club International Ltd from adding new customers in India from May 1. In an order, the RBI said American Express and Diners Club have been barred from "on-boarding new domestic customers onto their card networks". Ban won't affect existing customers The central …

Banks Can Now Disable Debit Or Credit Cards For Online Transactions. Know What It Means To You
4 years, 2 months ago

Banks Can Now Disable Debit Or Credit Cards For Online Transactions. Know What It Means To You

ABP News  

In order to secure banking transactions and curb misuse of cards, the central bank has issued new guidelines that have been effective starting October. CBDT Extends Belated, Revised ITR Filing Deadline For AY 2019-20 | Check Details From this month onward, all the new debit and credit cards issued by banks will only be enabled for domestic transactions at ATMs …

Debit Card, Credit Card new rules come into force from October 1. All you need to know
4 years, 2 months ago

Debit Card, Credit Card new rules come into force from October 1. All you need to know

India TV News  

In an attempt to make online and card payments more secure, the Reserve Bank of India has issued new guidelines that will be effective from October 1, 2020. RBI's new guidelines for Credit, Debit card holders: As per new rules, people will now be able to register for preferences such as opt-in or opt-out services, spend limits and other services …

Discover Related