Reserve bank of India denied to give extension to banks for coverting megnatic strip based debit cards to chip based debit cards. So banks can no longer can issue megnatic based debit or credit cards. Full order is as under.
A reference is invited to our circular DPSS (CO) PD No.2112/02.14.003/2014-15 dated May 07, 2015 and DPSS.CO.PD.No.448/02.14.003/2015-16 dated August 27, 2015 on the captioned subject wherein directions were issued with timelines for migration to EMV Chip & PIN cards.
2. Despite the extension of time given to banks in this regard, some banks have approached us seeking further extension of the time line for complying with the above instructions.
3. Keeping in the mind the objective to further enhance the security and risk mitigation in card present transactions, and also the impact it may have on achieving the timeline for complete migration of all existing magstripe cards, it has been decided not to grant any further extension beyond the respective timeline indicated in circular dated August 27, 2015 for new issuances and full migration to EMV Chip and PIN cards.
|Banks no Longer can Issue Megnatic Strip based Debit Cards|
4. The directive is issued under Section 10(2) read with Section 18 of Payment and Settlement Systems Act 2007 (ACT 51 of 2007).
5. Please acknowledge receipt.
(Nanda S. Dave)
Chief General Manager