The Reserve Bank of India allows customers to make recurring payments of less than Rs.2000 without the two-factor authentication process
The changing payment needs and the requirement to balance the safety and security of card transactions with customer convenience decided to permit processing of e-mandate on cards for recurring transactions (merchant payments).
The move has been made to make digital payments to merchant, typically at kirana and grocery stores where ticket sizes are small, more convenient. The circular is applicable for transactions performed using all types of cards – debit, credit and Prepaid Card.
The Reserve Bank of India (RBI) is India’s central banking institution, which controls the issuance and supply of the Indian rupee. Until the Monetary Policy Committee was established in 2016, it also controlled monetary policy in India.It commenced its operations on 1 April 1935 in accordance with the Reserve Bank of India Act, 1934.