To enhance security of digital payment systems, the Reserve Bank of India proposes to issue Reserve Bank of India (Digital Payment Security Controls) Directions, 2020 for regulated entities to set up a robust governance structure for such systems and implement common minimum standards of security controls for channels like internet, mobile banking, card payments, among others.
“While the guidelines will be technology and platform agnostic, it will create an enhanced and enabling environment for customers to use digital payment products in more safe and secure manner. Necessary guidelines will be issued separately,” said the Statement on Developmental and Regulatory Policies of the RBI on Friday.
Grievance redressal framework
RBI Governor Shaktikanta Das said the directions will contain requirements for robust governance, implementation and monitoring of certain minimum standards on common security controls for channels such as internet and mobile banking and card payments.
Meanwhile, the RBI has also decided to put in place a comprehensive framework for grievance redressal in banks.
“With a view to strengthen and improve the efficacy of the internal grievance redress mechanism of the banks and to provide better customer service, it has been decided to put in place a comprehensive framework comprising inter-alia of enhanced disclosures on customer complaints by the banks, a monetary disincentive in the form of recovery of cost of redress of complaints from banks when maintainable complaints are comparatively high, and undertaking intensive review of grievance redress mechanism and supervisory action against banks that fail to improve their redress mechanism in a time bound manner,” the Statement said, adding that it would be put in place during January 2021.
At present, the Ombudsman mechanism instituted by the Reserve Bank is an alternate grievance redress mechanism.