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RBI FAQs related to ATMs and White Label ATM

 

  • To increase the awareness of people, financial inclusion, and security of transactions, the Reserve Bank of India (RBI) published important clarifications on ATMs and White Label ATMs (WLAs).
  • What are ATMs and WLAs?
    • ATM (Automated Teller Machine): Cash withdrawal and banking made available without having to go to the branch.
    • White Label ATM (WLA): ATM owned and operated by non-bank organisations and approved by RBI in accordance with the Payment and Settlement Systems Act, 2007.
    • WLAs offer similar services as bank ATMs, which will facilitate accessibility in semi-urban and rural locations.
  • Services Available
    • Withdrawing of cash, checking the balance, mini statement, changing PIN, paying bills.
    • WLAs do not support the mobile recharge.
    • Cards accepted: ATM, Debit, Credit, Prepaid Cards (by issuer authorizations).
    • RBI also allowed card-less withdrawals.
    • PIN (Personal Identification Number) should remain secret and should be changed on a regular basis.
  • Transaction Types
    • On-Us Transaction: This involves own-bank ATM.
    • Off-Us Transactions: ATM or WLA of other bank.
    • Any Indian bank can issue cards whose use can be at any ATM/WLA in India.
  • Free Transaction Limits (Savings Accounts)
    • Location    Free Transactions Off-Us.
    • Metro Cities    3 transactions
    • non Metro Areas 5 transactions.
  • Breakthrough: 5 free On-Us transactions in own bank ATM.    
  • There can be more free transactions provided by banks.
  • There are different rules in BSBDA accounts.
  • Unsuccessful or non-cash payments are excluded in the free limit.
  • In addition to free limit, charge up to 23 + taxes per transaction.
  • Unsuccessful Transactions & Compensation.
    • In the event of amount debited without cash:
    • Refund on or before T +5 days (T = date of charge).
    • Late after 5 days 100 per day compensation, automatically credited.
    • Not resolved in 30 days (then) → Complaints through RBI Integrated Ombudsman through https://cms.rbi.org.in.
  • Security Guidelines
    • Blow out expired/ blocked cards with magnetic strip/chip.
    • Don’t share PIN, be on the lookout of suspicious devices, and report any unauthorised usage.
    • On loss/theft of card on cards - Notify bank and get the card blocked.
  • Security Upgrade
    • EMV Chip Cards and PIN Cards

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