Never dispense with your debit/credit card PIN: RBI
Recently, the Reserve Bank of India (RBI) made it compulsory for debit and credit card holders to key in the Personal Identification Number (PIN) while making transactions at retail outlets across the country. While the guideline is followed to curb frauds, cardholders still have a lot of doubt and fear about possible misuse of their cards. Many cases of fraud have happened as many people reveal the recently-obtained PINs, either in good faith or out of ignorance. Earlier, it was easier for fraudsters to create counterfeit cards with magnetic strips, or embed details on stolen cards and misuse them. But now the number of such frauds is likely to decrease as several banks have begun issuing of cards with embedded chips. Besides, if a cardholder enters the wrong PIN three times, the card gets blocked for a day. Banks have also started to provide wireless swiping machines — Electronic Data Capture (EDC) machines.
RBI’s advice to cardholders for a safer transaction:
- While there are no norms against merchants seeking the PIN from customers, it is the right of the customers to key in the PIN themselves.
- Customers should go where the EDC machine is kept and key in the PIN on their own for a safer transaction.
- They should cover the keypad while keying in the PIN, both inside the ATM and while using EDC machines.
- Customers should register their mobile numbers with their banks to get an intimation of the transaction as soon as the card is swiped.
- Customers should keep changing their PIN every 3 months to prevent cyber fraud.
- RBI is also collaborating with various banks to hold electronic banking awareness and training (e-Baat) programmes.
Categories: Banking Current Affairs 2017