RBI BARRED MasterCard FROM ADDING NEW CLIENTS IN INDIA FROM JULY 22

RBI imposes restrictions on Mastercard from onboarding new domestic customers (debit, card or prepaid) onto its network from July 22 for non-compliance with ‘directions on Storage of Payment System Data’

The payment system operator has been barred from adding domestic customers under all the three categories of debit, credit as well as prepaid.

RBI has taken action against Mastercard for violating the central bank’s norms in storage of payment system data, the RBI said in a statement.

At the same time though, the statement added that the order will not have any Mastercard’s existing customers and the company will have to inform all card issuing bank’s as well as non-banks to confirm to RBI’s directions.

Earlier this year, RBI had taken similar action against American Express and Diners Club and had baared them from adding new domestic credit card customers from May 1, 2021 onwards.


Input: NDTV

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