RBI Directs Card Issuers to Provide Customers With an Option to Choose from Multiple Card Networks at Time of Issue
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- Last Updated on 7 March, 2024
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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
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