10 things on new debit card PIN rule

Payment through cards has become increasingly popular in India. To maintain security and keep up with the changing times, the Reserve Bank of India has mandated debit card holders to punch in their PIN numbers during every transaction from December 1.

Here are some things you need to know about debit card usage:

1) The RBI rule was first enforced in June 2013 to act as an additional layer of security in transactions. However, banks had requested for some time to update the back-end infrastructure. The RBI had then extended the deadline to November 30.

2) As part of the rule, customers will now to have punch in the PIN number after the card has been swiped or inserted in the small point-of-sales (PoS) terminal. This is the small machine that shops and merchants use for the payment. Once the PIN has been entered, you will get the transaction charge slip, which has to be signed.

3) If the PoS terminal is not updated to ask for PIN, and the transaction proceeds without it, then the bank will decline the transaction.

4) The PIN being used here is the same that a customer uses at an ATM or Automated Teller Machine to withdraw money. Do not get confused with the ‘transaction password’ used for online banking.

5) You will get only three chances at punching the right PIN number. After that, your transaction will automatically be cancelled. If you manage to remember your PIN number after three attempts, you can still use your debit card. However, the transaction will have to be started all over again from scratch.

6) If you have forgotten your PIN number, call your bank to order for a duplicate PIN number. You will, however, have to verify your personal details like address, email id, date of birth, etc., for security purposes. This will be posted to your address within 7-10 working days.

7) This rule is mainly for debit cards being used for physical transactions only. There is no change in the way internet transactions are undertaken. The rules for credit cards too remain unchanged.

8) This is part of the measures undertaken to deal with frauds and security breaches. Other measures include addition of an Europay, MasterCard or Visa chip on the card, establishment of real-time fraud monitoring system, limit on transactions, immediate notifications, etc.

9) There are over 36 crore debit cards being used in India to conduct as many as 5.54 crore merchandise transactions per month amounting to Rs 8,017.86 crore. There are as many as 52 crore transactions being conducted using ATMs in a month, as per the latest RBI data.

10) In contrast, there are 1.8 million credit cards in use. The total number of transactions being conducted at PoS counters too is less at 4.14 crore. However, the total value of transactions is higher than that for debit cards at Rs 10,748 crore.

This work is produced by Simplus Information Services Pvt Ltd. Customer engagement through content. Like this article? Click here for more articles from the same provider.

Latest News

  • Nokia, Samsung and Reliance Jio: What We Expect to See at MWC 2017
    Nokia, Samsung and Reliance Jio: What We Expect to See at MWC 2017

    The mega mobile event will host global smartphone brands, where new set of products will be revealed. …

  • In Stats: All You Need to Know About Phase Five of UP Elections
    In Stats: All You Need to Know About Phase Five of UP Elections

    Out of 608 candidates, at least 117 face serious criminal charges.  …

  • HSBC being probed for abetting tax evasion in India, elsewhere

    New Delhi, Feb 26 (IANS) Tax authorities in India and other countries are probing HSBC Bank, including its Swiss and Dubai offices, for allegedly abetting tax evasion by four Indians and their families, the multinational lender has disclosed. "Various tax administrations, regulatory and law enforcement authorities around the world, including in the US, France, Belgium, Argentina and India, are conducting investigations and reviews of HSBC Swiss Private Bank and other HSBC companies in …

  • SpiceJet to launch Kolkata-Dhaka service from March 23

    New Delhi, Feb 26 (IANS) Low budget airlines SpiceJet on Sunday announced that it would launch a direct service on the Kolkata-Dhaka-Kolkata sector from March 23. With addition of the Bangladesh capital, the airline will operate to 7 international destinations, a SpiceJet release said. "To celebrate the launch of the new route, the airline has also announced an introductory promotional fare of Rs 3,549 (all inclusive) for Kolkata-Dhaka and BDT 4,325 (all inclusive) for Dhaka-Kolkata," it said. …

  • Bank Strike Likely On Feb 28, May Dent Services
    Bank Strike Likely On Feb 28, May Dent Services

    SBI, PNB, BoB inform customers that functioning of branches will be impacted if strike takes off on Feb 28. …

  • BYPL deploys smart power monitoring system in Delhi locality

    New Delhi, Feb 26 (IANS) BSES Yamuna Power Ltd (BYPL), one of the three electricity distribution companies (discoms) in Delhi, on Sunday deployed an advanced Distribution Management System (DMS) in the Mayur Vihar area of the capital as part of efforts to automate the entire process of electricity management, the company said. "It will intelligently monitor power supply and reduce fault restoration time by over 50 per cent," the company said in a statement. The DMS, which centrally monitors …

  • Lone Star, IL&FS to invest in struggling Indian infrastructure project …

    U.S. private equity firm Lone Star has joined up with Indian infrastructure financier IL&FS to invest in struggling Indian infrastructure projects, the companies said on Sunday. The collaboration will have an investment capital pool of $550 million, which could result in asset purchases of up to $2.5 billion, the partners said. …

  • Each Indian should teach 125 others BHIM payment app: Modi

    New Delhi, Feb 26 (IANS) Declaring digital payments will help fight corruption and proliferation of black money, Prime Minister Narendra Modi on Sunday said each citizen should teach 125 persons how to ... …

DON'T MISS

MARKET MOVERS

  • Most Actives
    Most Actives
    NamePriceChange% Chg
    14.78+0.81+5.80%
    JPASSOCIAT.BO
    18.10+0.40+2.26%
    SUZLON.BO
    119.65+7.20+6.40%
    IDEA.BO
    36.90+1.15+3.22%
    RCOM.BO
    71.30-1.30-1.79%
    SPICEJET.BO
  • Price % Gainers
    Price % Gainers
    NamePriceChange% Chg
    13.12+2.12+19.27%
    RKDL.BO
    18.90+2.80+17.39%
    BMAL.BO
    149.00+19.80+16.10%
    VIAANINDUS.BO
    88.25+8.80+11.08%
    ADLABS.BO
    18.75+1.70+9.97%
    INDOKEM.BO
  • Price % Losers
    Price % Losers
    NamePriceChange% Chg
    51.80-7.40-12.50%
    JIYAECO.BO
    11.02-1.04-8.62%
    STARLIT.BO
    15.00-1.30-7.98%
    TITAANIUM.BO
    23.95-2.05-7.88%
    TAIIND.BO
    336.50-32.85-7.32%
    SHRISTI.BO

QUOTES

 
Recent Quotes
Symbol Price Change % Chg 
Your most recently viewed tickers will automatically show up here if you type a ticker in the "Enter symbol/company" at the bottom of this module.
You need to enable your browser cookies to view your most recent quotes.
 
Sign-in to view quotes in your portfolios.