RBI sets up panel to review ATM interchange fee patterns
Published: Jun 12, 2019
By TIOLCORPLAWS News Service
NEW DELHI, JUNE 12, 2019: THE Reserve Bank of India had announced in the Part ‘B' of the Second Bi-Monthly Monetary Policy for the year 2019-20 on June 6, 2019 that the Reserve Bank of India would constitute a Committee to Review the ATM Interchange Fee Structure with a view to give a fillip to the ATM deployment in the unbanked areas.
Accordingly, the Reserve Bank of India has constituted a Committee to examine the entire gamut of ATM charges and fees. The composition of the Committee is as under:
1 | Mr V. G. Kannan Chief Executive, Indian Banks' Association |
Chairperson |
2 | Mr Dilip Asbe Chief Executive Officer, National Payments Corporation of India |
Member |
3 | Mr Giri Kumar Nair Chief General Manager, State Bank of India |
Member |
4 | Mr S Sampath Kumar Group Head, Liability Products, HDFC Bank Ltd. |
Member |
5 | Mr K Srinivas Director, Confederation of ATM Industry |
Member |
6 | Mr Sanjeev Patel Chief Executive Officer, Tata Communications Payment Solutions Ltd. |
Member |
The Terms of Reference of the Committee are as under -
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To review the existing structures and patterns of costs, charges and interchange fees for ATM transactions;
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To review the overall patterns of usage of ATMs by cardholders and assess the impact, if any, on charges and interchange fees;
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To assess the entire gamut of costs in respect of the ATM ecosystem;
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To make recommendations on the optimal charge/interchange fee structure and pattern; and
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Any other item relevant to the above.
The Committee may submit its report within two months from the date of its first meeting.