RBI changing debit and credit card rules these entities will not be able to store data

Using credit cards and debit cards will become more secure in the coming days. Banking regulator RBI constantly keeps changing the rules to ensure the protection of customers' interests. Now the Reserve Bank is making another such preparation, which will make the use of credit cards and debit cards safer than before.

Proposal for implementation from next August

RBI is preparing that payment aggregators should not be able to store information related to credit cards and debit cards used by customers. For this, the Reserve Bank has issued a draft circular. It has been said in the draft circular that the new rules related to storing credit card and debit card information will be implemented from August 1, 2025.

What do the proposed rules say?

It has been provisioned in the new rules that payment aggregator companies will not save the card details of the customers. According to the new draft rules, payment aggregator companies will not be allowed to store debit and credit cards on file (COF) data with themselves. After the implementation of the rules, card information can remain only with the card issuer and the card network provider.

They will continue to get the freedom to keep data

Credit cards and debit cards are issued by banks. Among those providing card networks, the prominent names are Visa, Mastercard, Diners Club, Rupay etc. Meaning, after the implementation of the new rules from August 1, 2025, only banks and card network providers like Visa, MasterCard, Diners Club, RuPay etc. will be able to store the cards on file data with them.

Will be able to store only this information

RBI has also said in the draft rules that if payment aggregator companies or other bodies have already stored any information related to the card, then they will have to delete the data. They can only store limited information, such as the last four digits of the card number or the cardholder's name, to track or match transactions.

These rules are not final yet

However, RBI has not yet finalized these rules. Right now only the draft of the rules has been released. Now various parties will get an opportunity from RBI to give their suggestions on the proposed rules. After considering their suggestions, these rules will be finalized by RBI and after that the final circular will be issued.

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