RBI Master Direction Circular: Keeping in customer interest, the Reserve Bank of India (RBI) has issued a Master Direction Circular regarding debit and credit cards.

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In the Master Direction Circular, the central bank talks about customer interest. 

The new rules apply to all banks and NBFCs that issue credit cards.

RBI's new rules for debit and credit cards

The total amount due for the credit card holder will be the credit amount that they used till the end of their billing cycle- a refund amount and reversed transactions will not be counted in this.

If the bill is not paid by the due date, the credit card issuer will charge interest only on the outstanding amount. The outstanding amount will be the outstanding amount of the bill which remains after refund, reverser payments and partial payment of the customer.

A business credit card will be used only for business-related expenses, and the card issuing bank or NBFC will have to monitor which account the payment made through the credit card is going to.

If the bank or NBFC is blocking, deactivating, or suspending the credit card or withdrawing the rewards, then it will have to tell the reason to the customer through SMS, mail, etc., and this action should be under the board approved standard SOP.