RBI has issue a notification regarding Cash Withdrawal on POS instruments on prepaid cards. This facility was available only on Debit Cards. For more information the following notification must read.
RBI/2013-14/231
DPSS.CO.PD.No.563/02.14.003/2013-14
September 5, 2013
The Chairman and Managing Director / Chief Executive Officers
All Scheduled Commercial Banks including RRBs /
Urban Co-operative Banks / State Co-operative Banks /
District Central Co-operative Banks /All Card Network Providers
All Scheduled Commercial Banks including RRBs /
Urban Co-operative Banks / State Co-operative Banks /
District Central Co-operative Banks /All Card Network Providers
Madam / Dear Sir,
Cash withdrawal at Point of Sale (POS) - Prepaid Payment Instruments issued by banks
A reference is invited to our circular DPSS.CO.PD.No. 147 /02.14.003/2009-10 dated July 22, 2009
permitting cash withdrawal at Point of Sale (POS) by all debit cards
issued in India upto Rs.1000/- per day, subject to certain conditions.
2. The open system prepaid payment instruments (PPIs)
issued by banks is perceived to be a subset of debit cards. Hence, on a
review of the position, it has been decided that the facility of cash
withdrawal at POS with debit cards may be extended to such open system
prepaid payment instruments issued by banks in India. The limit of cash
withdrawal will remain Rs.1000/- per day subject to the same
conditions as applicable hitherto to debit cards.
3. This circular is being issued in exercise of the powers
conferred on the Reserve Bank under Section 18 of the Payment and
Settlement Systems Act, 2007 (Act 51 of 2007).
Yours faithfully,
(Vijay Chugh)
Chief General Manager
Chief General Manager
