Debit card, credit card auto-payment: RBI new rule on recurring payment from April. Know details2 min read . Updated: 30 Mar 2021, 07:10 PM IST
- For auto-payments from debit and credit cards or via wallets, an additional authentication will be required by the customer from April
- The new rule will be applicable for transactions performed using all types of cards – debit, credit, UPI and PPIs, including wallets
Starting from next month, the auto-payment rules for mobile, utility and other bills are likely to be changed. The Reserve Bank of India (RBI) earlier stated that recurring transactions using debit cards, credit cards, Unified Payments Interface (UPI) or other prepaid payment instruments (PPIs) will need additional factor authentication (AFA) from 1 April. Under the new norms, banks will be required to inform customers in advance about recurring payment due and transaction would be carried following nod from the customer. This rule is likely to impact your monthly subscription charges for different streaming platforms including Netflix, Amazon Prime, Disney+ Hotstar.
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