RBI bans American Express and Diners Club, will not be able to issue cards to Indian customers


American Express Banking Corporation and Diners Club International Limited will not be able to issue cards to domestic customers from May 1. RBI has stopped these two from issuing new cards. This restriction has been imposed due to violation of rules for maintenance of data and other information. However, RBI has said that this order will not affect its existing customers. The RBI has issued a notification banning American Express Banking Corp and Diners Club International Limited on 23 April. It states that from 1 May 2021, he will not issue his card to any domestic customers.

Payment operators did not follow the rules for storage of payment system data

American Express Banking Corporation and Diners Club International Limited are payment system operators. Card networks can be operated under the Payment and Settlement Systems Act, 2007 (PSS Act) in Yedesh. This means that both companies can issue credit cards in the country under this act. But according to the order issued on April 23, both these payment operators have been found guilty of violating the instructions related to the storage of payment system data. After this, they were banned from issuing new cards. The RBI has taken this action under the PSS Act.

Approved audit report was also not submitted
& nbsp;
RBI issued a circular in April 2018 on the storage of payment system data. As a matter of fact, all payment system providers had to store their data only in India. & nbsp; Along with this, companies had to submit system approved audit report to RBI in a fixed timeline. The RBI gave the payment service provider companies time to comply with the rules within six months, that is, by October 15, 2018. According to the April 2018 circular, the approved audit report from the board was to be submitted by 31 December 2018. But these two companies have not followed these two rules. RBI then took this step.

IRDAI said – Hospital cannot refuse to give cashless Kovid claim.

Corona effect: Working hours may decrease in banks, IBA hired mother c & nbsp;

& nbsp;

& nbsp;

.

Leave a Reply

Your email address will not be published. Required fields are marked *