RBI Directs Banks to Waive off Transactions Charges and Decrease Interest Rate for Credit Cards

RBI Directs(निर्देशन)  Banks to Waive(माफ)  off Transactions Charges and Decrease Interest Rate for Credit Cards  The Reserve Bank of India has directed banks on February 3, 2017 to waive off transaction charges and lower interest rates on credit cards as a move to encourage digital transaction. RBI has decided that customers would not be levied any charges by banks and prepaid

payment instrument issuers for transactions up to Rs. 1,000 settled on Immediate (तुरंत) Payment Service (IMPS), Unstructured Supplementary Service Data (USSD) and Unified Payments Interface (UPI) till March 3, 2017.It has also directed banks to lower the interest on credit card dues(देय धन) . Interest rates are determined by banks with the approval of their respective Board of Directors subject to regulatory guidelines on the interest rate on advances issued by RBI from time to time. Transaction settled on IMPS and UPI above Rs. 1000 would not be levied any fee charge however the service tax will be charged at actual. For USSD transactions above Rs. RBI1,000 a further 50 paise discount is provided.  Credit card, debit card, charge card and other payment card services by banks have been exempted(छूट प्राप्त)  from payment of service tax for transactions of up to Rs. 2,000.