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बेसिक इंग्लिश का दूसरा सत्र (कक्षा प्रारंभ : 22 अक्तूबर, शाम 3:30 से 5:30)
Reserve Bank Allows Banking at ATMs
Jan 19, 2016

The Reserve Bank of India (RBI) has allowed banks to offer the whole array of services, even at off-site automated teller machines (ATMs). Off-site ATMs are set up on a standalone basis and are not on the premises of a bank’s branch.

  • With a view to providing operational freedom to banks, it is advised that banks are now free to offer all their products and services through the ATM channels, provided the technology permits the same, and adequate checks are put in place to prevent the channel from being misused to perpetuate frauds on the banks/other genuine customers.

  • In view of the above, all the banks participating in National Financial Switch (NFS) should carry out necessary changes in their respective ATM switches and enable the capability of customer registration for mobile banking at all their ATMs latest by March 31.

  • Besides, the RBI asked banks that they should also strive to facilitate customer registration for mobile banking through other channels including internet banking, IVR, phone banking.

  • It said customer registration is important pre-requisite for offering mobile banking services and the banks should use multiple channels to create awareness among their customers regarding mobile banking services and options available for customer registration.

  • The RBI said India has high mobile density and it is focusing to encouraging banks to leverage on the mobile channel for widening the access to banking services.

  • Irrespective of whether the services are offered through SMS, USSD or application channels, customer registration for mobile banking is critical.

  • The National Payments Corporation of India (NPCI) has developed the mobile banking registration service/option on the NFS and the service is ready to be deployed on ATMs of all the NFS member banks.

  • Earlier, the banking regulator had allowed all services to be offered only at onsite automated teller machines or the ones that are on the premises of a bank’s branch.

The RBI said there is a need for simplification of procedure and greater degree of standarisation in procedures relating to registering of customers for mobile banking.

National Payment Corporation of India/National Payment Switch

Reserve Bank of India, after setting up of the Board for Payment and Settlement Systems in 2005, released a vision document incorporating a proposal to set up an umbrella institution for all the Retail Payment Systems in the country. The core objective was to consolidate and integrate the multiple systems with varying service levels into nation-wide uniform and standard business process for all retail payment systems. The other objective was to facilitate an affordable payment mechanism to benefit the common man across the country and help financial inclusion.

National Payments Corporation of India (NPCI) was incorporated in December 2008 and the Certificate of Commencement of Business was issued in April 2009. It has been incorporated as a Section 8 company under Companies Act, 2013 and is aimed to operate for the benefit of all the member banks and their customers. The authorized capital has been pegged at Rs 300 crore and paid up capital is Rs 100 crore so that the company can create infrastructure of large dimension and operate on high volume resulting payment services at fraction of the present cost structure.

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