Mumbai: Reserve Bank of India (RBI) said on Tuesday that it had raised restrictions on Diners Club International from new domestic customers.
Diners Club, owned by finding financial services, issuing cards in India through partnerships with HDFC Banks.
RBI has banned visitor clubs from new customers up from May 1, through the command on April 23.
Prohibition of following card network failures to comply with central bank orders / norms related to data localization.
In the case of these norms, the RBI-regulated entity must store data related to Indian customers in Indian land.
They can send data abroad to be processed, but the same thing must be removed in 24 hours and certified processes.
In addition to Diners Club, RBI has also prevented the American Express Bank from new customers.
Furthermore, the ban was expanded to the MasterCard.
Although the payment giant has confirmed that it will comply with the central bank guidelines, the RBI decided to issue orders because it failed to meet the expanded schedule.
While Diners Club and MasterCard are network providers, American Express has a banking license that is only used to issue cards.
Amex, in addition to card publishers, also acquires traders and provides a payment network.
The ban on the Mastercard and Diners Club has provided a boost to publishing a visa card.
Visa, already the largest credit card network, has become the biggest enhancer of the MasterCard ban because many issuers have exclusive arrangements with MasterCard shifting to its rivals.
HDFC Bank, which issued more than five lakh cards in less than six weeks, understood has published mostly on the visa platform.
RBI Lifts Tires in Biz New for Diners Clubs
