RBI's security measures for debit and credit cards | Fusion - WeRIndia

RBI’s security measures for debit and credit cards

RBI's security measures for debit and credit cards

To improve security, the Reserve Bank of India (RBI) introduced various new measures.

With the new guidelines of RBI, your debit and credit cards will be more secure.

Certain transactions may not be possible soon as the banking regulator tightened security measures and customers will have to ask their banks to enable them.

For instance, from March 16, all new cards and cards that have been reissued will only work in India. Customers will have to request their banks if they want to use their cards outside the country.

The new cards will work only at the point of sale (PoS) terminals and ATMs. If customers want to use their cards for online payments, they will have to approach their bank to enable the transactions.

Now contactless cards are also offered by the banks. These cards work on near field communication (NFC) technology.

Merchants need not swipe such cards at the PoS terminal. So far, this facility is available by default for such cards.

But, RBI directed the banks that such a facility should not be enabled by default. Customers will have to request the banks for such a facility.

All these measures will make your cards more secure and control misuse. Normally, fraudsters use cards at international websites and for online payments. It is difficult to trace them due to the involvement of international payment gateways.

Now these features are enabled only with the request of customers, the misuse can be curbed as many people who do not use online payments will not be at risk due to provision of the facility by default.

RBI left the decision to the banks on how to deal with the existing cards. Banks can deactivate the existing cards and reissue them as per the risk. If you have any international debit or credit cards and you have never used them for online payments or outside the country, then your bank may disable these options.

A cardholder can set their transaction limits online and can switch his/her cards on and off whenever required.

Image by Roman Ivanyshyn from Pixabay (Free for commercial use)

Image Reference: https://pixabay.com/photos/credit-card-credit-cards-cards-5141614/

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