Fair
22°CThu :Mostly Clear. High: 28 Low: 13

Impose limit on global transactions of cards, RBI tells banks

Impose limit on global transactions of cards, RBI tells banks

Mumbai: In order to check frauds, the RBI has asked banks to impose monetary limit for international transactions on credit and debit cards and refrain from issuing cards with global access unless specifically sought by the customer.

The Reserve Bank said that a monetary limit of USD 500 be imposed by issuing bank on all global cards which has not been used in the past.

“All the active magstripe international cards issued by banks should have threshold limit for international usage. The threshold should be determined by the banks based on the risk profile of the customer and accepted by the customer by June 30,” it said.

Till the time of completion of the process a threshold limit not exceeding USD 500 may be put in place for all debit cards and all credit cards that have not been used for international transactions in the past, it said.

The notification has been issued following cyber attacks, which according to RBI has become “more unpredictable and electronic payment systems becoming vulnerable to new types of misuse, it is imperative that banks introduce certain minimum checks and balances to minimise the impact of such attacks and to arrest or minimise the damage.”

Besides introducing additional security features in the card, the bank would also be required to put in place a real time fraud monitoring system and a mechanism to ensure that cards can be blocked through an SMS by the cardholder.

These initiatives, RBI said are needed to ensures that transactions effected through such channels are safe and secure and not easily amenable to fraudulent usage.

The announcement come in the backdrop of a slew of card frauds that has taken place in the recent past leading to unauthorised withdrawal of sums by unscrupulous agents.

 

Top Stories

wwq

Bigg Boss going to be much more hotter than before : Expected Contestants List

August-28-2014
All Bigg Boss 8 fans are excitedly sitting tight for the Bigg Boss 8 Contestants? How about we go to swing in
Inside Gold Bars Refining Plant As Gold Declines

Gold, silver bounce back on global cues, regular interest

August-28-2014
Gold costs recuperated by Rs. 55 to close at Rs. 28,230 for every ten gram in the national capital on Thursday, generally
0

Sonia Gandhi’s special Birth Day present to be in Court? Issued Summons to Appear on Dec. 9 in National Herald Case

August-28-2014
In an uncommon incident, a Delhi court on Thursday issued summons to Congress President Sonia Gandhi to show up in the court
MODI-BIG-AUG-28

Narendra Modi introduced Pradhan Mantri Jan Dhan Yojana

August-28-2014
The plan, about which Modi made the report in his Independence Day discourse, was propelled the nation over at the same time
0204-iwatch-1

Apple’s Iwatch anticipated that will be uncovered close by iphone 6 on September 9

August-28-2014
New Delhi: Apple is relied upon to disclose the greatly anticipated iwatch close by the iphone 6 dispatch on September 9. As
virus-ebola

Ebola’s re-development, a wake-up call

August-28-2014
Researchers, specialists and the pharmaceutical business ought to treat Ebola as a typical foe that must be vanquished with advanced solution and