NPCI, the organization set up by India’s central bank to run the domestic debit card network RuPay, is in talks with local banks to launch the country’s first debit cards on the RuPay network. RuPay, a PIN debit network, is intended to provide a local alternative to international card networks such as Visa and MasterCard who currently dominate the India card market.
“The countdown has begun and around 20-25 March we will launch RuPay debit card,” says A.P. Hota, chief executive officer and managing director of NPCI. “It will be a personal identification number (PIN)-based debit card and not a signature-based card.”
The card will be PIN-based and will have a magnetic stripe on the reverse side. Disputes are less in PIN-based transactions,” Hota says.
The RuPay debit card can be used across all ATMs in the country. It can also be used at 200,000 point of sales (PoS) terminals which are expected to come up by March and increase to 600,000 by June. The RuPay debit card can only be used in India as of now.
At least 10 leading banks are expected to launch RuPay debit cards in a few months.
“Since NPCI would be using a rack rate charge, there would be transparency in charges. “The charges for RuPay will be substantially lower than its competitors.”
India is currently modernizing its financial services and payments market.
Read more here: India – RuPay likely to be rolled out in 18 months: Business Standard
Read original story here: http://www.livemint.com/2012/02/0518…debit.html?h=B
