MUMBAI: The Reserve Bank of India (RBI) on Tuesday reiterated the existing information on cash withdrawals from point of sale (PoS) terminals in form of frequently asked questions (FAQs).
RBI said under this facility, cardholders can withdraw cash using their debit cards and open system prepaid cards issued by banks in India. However, credit cards cannot be used in this facility. Moreover, RBI said cash can also be withdrawn at PoS terminals through Unified Payments Interface (UPI) as well as through use of electronic cards that are linked to overdraft facility provided with Pradhan Mantri Jan Dhan Yojana (PMJDY) accounts.
“Under this facility, a cardholder can withdraw cash up to ₹2,000 per day, per card in tier III to VI centres. At tier I and II centres, the withdrawal limit is ₹1,000 per day, per card," it said, adding that withdrawal charges will not exceed 1% of the transaction amount.
However, this facility is not available at all PoS terminals. “The designated merchant establishments have to clearly indicate the availability of this facility along with the charges, if any, payable by the customer," RBI said.
The central bank said customers can withdraw cash at such designated merchant establishments, irrespective of the fact whether the card issuer and the acquiring bank are same or not. While the acquiring bank is the lender, which has installed the PoS terminal at the merchant location, the card issuer is the bank whose card the customer uses to withdraw money. This means that just like in automated teller machines (ATMs), customers can use any bank’s card to withdraw money.
RBI said a cardholder can lodge a complaint with the card issuer in case of customer grievances. If the card issuer does not respond within the stipulated time, the cardholder can lodge a complaint under the Banking Ombudsman Scheme, it said.