Reserve Bank of India has asked banks and other card-issuing companies to provide facility to customers to switch on and off their debit or credit cards. At the time of issue or re-issue, all cards (physical and virtual) should be enabled for use only at contact based points of usage (ATMs) and Point of Sale (PoS) devices within India. The move aimed at enhancing security for digital transactions.
Issuers should provide cardholders a facility for enabling card not present (domestic and international) transactions, card present (international) transactions and contactless transactions. The channels should include mobile application, internet banking, automated teller machines, or interactive voice response.
For existing cards, issuers may take a decision, based on their risk perception, whether to disable the card not present (domestic and international) transactions, card present (international) transactions and contactless transaction rights. The latest instructions, however, are not mandatory for prepaid gift cards and those used at mass transit systems.