In the circular on arrangements with card networks for the issue of debit, credit and prepaid cards, the central bank said that the existing arrangements between card networks and card issuers i.e. banks and non-banks, are not conducive for customers.
In addition to this, the RBI said that card issuers should not enter into any arrangement or agreement with card networks that restrain them from availing the services of other card networks.
It further added that card issuers and card networks shall ensure that they would follow the existing agreements at the time of amendment or renewal.
The central bank has also invited comments on the draft circular by August 4.
–IANS
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