RBI restricts American Express, Diners Club from boarding new customers
The supervisory action has been taken in exercise of powers vested in RBI under Section 17 of the PSS Act
Saturday April 24, 2021 0:30 AM, IANS
Mumbai: The Reserve Bank of India (RBI) has imposed restrictions on American Express Banking Corp and Diners Club International Ltd from on-boarding new domestic customers onto their card networks from May 1, 2021.
These entities have been found non-compliant with the directions on storage of payment system data, said an RBI statement. It added that the order will not impact existing customers.
American Express Banking Corp and Diners Club International Ltd are payment system operators authorised to operate card networks in the country under the Payment and Settlement Systems Act, 2007 (PSS Act).
RBI bars American Express, Diners Club from onboarding new domestic credit card customers
RBI said American Express Banking Corp and Diners Club International Ltd were found to be non-compliant with the directions on storage of payment system data.
BusinessToday.In | April 23, 2021 | Updated 19:21 IST
RBI had asked payment system providers to ensure that the entire data relating to payment systems operated by them is stored in a system only in India.
The Reserve Bank of India has barred American Express and Diners Club from onboarding new domestic credit card customers from May 1 for violating the central bank s norms on storage of payment systems data.
The Reserve Bank of India has barred American Express Banking Corp (American Express) and Diners Club International Ltd (Diners Club) from taking on new credit card customers after they failed to comply with the banking regulator s directive to store payments data only in the country.
“The RBI has, by order dated April 23, imposed restrictions on American Express and Diners Club from on-boarding new domestic customers onto their card networks from May 1. These entities have been found non-compliant with the directions on Storage of Payment System Data. This order will not impact existing customers,” the central bank said in a statement today.
RBI imposes restrictions on American Express, Diners Club (Ld)
By IANS |
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Reserve Bank Of India. Image Source: IANS News
Mumbai, April 23 : The Reserve Bank of India (RBI) has imposed restrictions on American Express Banking Corp and Diners Club International Ltd from on-boarding new domestic customers onto their card networks from May 1, 2021.
These entities have been found non-compliant with the directions on storage of payment system data, said an RBI statement. It added that the order will not impact existing customers.
American Express Banking Corp and Diners Club International Ltd are payment system operators authorised to operate card networks in the country under the Payment and Settlement Systems Act, 2007 (PSS Act).