A few significant changes will be introduced from September 30 that will provide debit and credit card users better protection against frauds by allowing them to exercise greater control over these instruments. Your bank might have already activated these risk-mitigation features. If not, it will do so soon.
According to Rajesh Mirjankar, managing director and chief executive officer (CEO), Infrasoft Technologies, a fintech digital solutions provider for the banking and financial sector, “These changes will empower customers and make their cards more secure.”
What’s new: These rules apply to existing cards, new ones and to those that have been renewed recently. Says Adhil Shetty, chief executive officer, BankBazaar: “When cards are issued, you will only be able to use them at points of sale (PoS) and at ATMs within India. You will have to manually enable online, international, and contactless transactions.” These facilities can be activated via mobile, internet banking, ATMs or bank branches. While all this might seem like a pointless burden, remember that these new features will enhance security of card transactions.
Use it or lose it: Existing cards that have never been used for online, contactless or international transactions will be disabled for such transactions. Says Sahil Arora, director, Paisabazaar.com: “For the rest of the cards, banks have been allowed to exercise their discretion on whether to disable them for such transactions based on their risk perception.” Cardholders who require the functionalities of online, contactless or international transactions can reactivate them through the mobile app, internet banking, by visiting branches and ATMs, or by contacting the customer care numbers.
Set limits: You will be able to set and modify transaction limits on your cards for all types of transactions, both domestic and international, including PoS, online transactions and ATM withdrawals. Says Mirjankar: “These limits can be within the one set overall by the issuer.”
On/off switch: Cardholders will have the option to switch on and off their debit and credit cards for any facility, like ATM or online transaction. Imagine the peace of mind you will have when you can switch off the non-requisite facilities temporarily and set a limit for those that you use.
Take, for instance, the ability to switch off ATM, PoS and international transactions on your card, and set a limit on domestic online transactions. If the only thing you do these days is online grocery shopping, then there is no need to expose your entire Rs 3 lakh credit card limit, or all the money in your bank account, to the risk of fraud.
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard