Master Direction – Reserve Bank of India (Bharat Bill Payment System) Directions, 2024
UR
- Applies toAll regulated entities
- StatusIn force
- IssuedFeb 29, 2024
- Amendmentsnone tracked
- Length28 points in 5 sections · 3 min read
The four dates on this rule
- PublishedFeb 29, 2024The day RBI put this document out. This is the same day as the Issued date on this rule.
- Starts to applyApril 01, 2024The day this rule starts to apply, as RBI's own text states it.
- Time to get ready32 daysThe room between the day it was published and the day it starts to apply.
- Last date to actNot statedNo date to act by was found in this document. Other dates may sit inside single paragraphs.
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What it says
How firm is each point
Stated by RBI — RBI’s own paragraph says this. We have only made it plainer.
Our reading — BankPulse read RBI’s paragraph and shortened it. The paragraph is the authority, not this line.
Needs judgement — RBI leaves this to the bank to settle, so nobody can give you a fixed number here.
Must know
1. Who this covers
This covers NBBL and all Bharat Bill Payment Operating Units.
2. Outside billers need authorisation
Anyone else running a bill-payment system outside BBPS needs RBI's authorisation.
3. BBPCU guarantees settlement
BBPCU guarantees settlement of every transaction routed through it.
4. Money must bypass the TSP
No money in the system may flow through any TSP.
5. Customers reach every biller
A COU must give customers access to every biller on BBPS.
6. COU answers for its agents
A COU is responsible for what its agent institutions do.
Do it
1. Tell RBI before starting
A new operating unit must tell RBI's department before starting work.
2. Check billers from aggregators too
A BOU must also check billers who came through an aggregator.
3. Open a dedicated escrow account
A non-bank operating unit must open its own escrow account at a bank.
4. Build a dispute resolution system
NBBL must set up one system for handling every complaint.
5. Join the complaint system
Every operating unit must join that complaint system and use it.
6. Meet failed-transaction timelines
Operating units must fix failed transactions within RBI's set timelines.
Background
1. Only NBBL may run this
Only NBBL is authorised to operate the Bharat Bill Payment System.
2. What an Agent Institution is
An Agent Institution gives customers a way to pay bills.
3. What BBPCU means
BBPCU is the single entity that runs BBPS.
4. What a BBPOU is
A BBPOU is a system participant inside BBPS.
5. What a BOU does
A Biller Operating Unit brings billers onto the BBPS platform.
6. What a COU does
A Customer Operating Unit gives customers a way to pay bills.
7. What BBPS itself is
BBPS is one platform for paying bills through many channels.
8. What counts as a Bill
A Bill is any payment notice a biller raises.
9. Who counts as a Biller
A Biller is whoever raises the bill, including government bodies.
10. What a Biller Aggregator does
A Biller Aggregator groups billers together to connect them to a BOU.
11. What a Sponsor bank does
A Sponsor bank helps a non-bank operating unit settle with NBBL.
12. What a TSP does
A Technology Service Provider helps others connect their systems to BBPS.
13. BOU brings billers on board
A BOU is the one that onboards billers to BBPS.
14. When it acts as PA
A non-bank operating unit acts as a Payment Aggregator when it collects or settles funds.
15. Other escrow rules still apply
Every other escrow-account rule under RBI's payment aggregator guidelines still applies.
16. Old BBPS rules replaced
These Directions replace four earlier BBPS circulars.