The RBI has amended directives for Payments Banks regarding customer liabilities in unauthorized electronic banking transactions. This is essential for improving consumer protection.
Payments Banks Responsible Business Conduct Directives
On June 24, 2026, the Reserve Bank of India issued the second amendment directions for Payments Banks, focusing on responsible business conduct and customer protection in unauthorized electronic transactions. These changes aim to provide clearer guidance regarding customer liability for losses incurred during such transactions.
The updated directives emphasize the need for institutions to foster a safe banking environment by limiting customer liabilities effectively, thereby enhancing consumer trust in digital banking practices.
Payments Banks are encouraged to adopt these guidelines promptly to align with industry standards of customer protection and mitigate risks associated with unauthorized electronic banking activities.
Citations
- RBI/2026-27/169
