You are here: Home » Finance » News » Banks
Business Standard

RBI caps charges on debit card transaction at Rs 200 for small merchants

Charges capped at Rs 1,000 for merchants with over Rs 20 lakh annual turnover

BS Web Team  |  New Delhi 

Will cash disappear?

Reserve Bank of India today announced capping of charges on at Rs 200 for small merchants (with turnover upto Rs 20 lakh).

Charges are capped at Rs 1,000 for merchants with over Rs 20 lakh annual turnover.

For small merchants, merchant discount rate for debit transactions should not exceed 0.4% for physical POS infrastructure.

For small merchants, merchant discount rate  for debit transactions should not exceed 0.3% for QR-based card acceptance infrastructure.

For other merchants, for debit transactions should not exceed 0.8% for QR-based card acceptance infrastructure.

For other merchants, for debit transactions should not exceed 0.9% for physical POS infrastructure.

The above instructions shall be effective from January 1, 2018.

First Published: Wed, December 06 2017. 18:25 IST
RECOMMENDED FOR YOU