What changed
RBI issued a master circular consolidating all previous mobile banking instructions up to June 30, 2013. It brings together earlier circulars into a single reference document for banks. The guidelines remain statutory under the Payment and Settlement Systems Act, 2007.
What it means for you
Banks now have a single source for all mobile banking rules, reducing confusion from multiple circulars. The circular reaffirms that only banks with core banking solutions and RBI approval can offer mobile banking. It also sets clear standards for security, interoperability, and customer grievance handling.
What you must do
- Ensure your bank has implemented core banking solutions before offering mobile banking services.
- Obtain necessary permission from RBI's Department of Payment and Settlement Systems before launching mobile banking.
- Update your mobile banking application to comply with the technology and security standards in Annex I.
- Set up a customer grievance redressal mechanism as per the guidelines in Annex II.
- Review and adhere to transaction limits and other operational guidelines specified in the circular.
Who it affects
All scheduled commercial banks including RRBs, Urban cooperative banks, State cooperative banks, District central cooperative banks
Do we need separate RBI approval for mobile banking?
Yes, banks must obtain permission from RBI's Department of Payment and Settlement Systems before offering mobile banking services.
What are the key security requirements for mobile banking?
Banks must follow the technology and security standards detailed in Annex I of the master circular, which include encryption, authentication, and secure data transmission.
Are mobile banking services limited to certain customers?
Services are restricted to bank customers and holders of debit/credit cards issued as per RBI guidelines. Only Indian rupee-based domestic transactions are permitted.