New guidelines from the RBI target Payments Banks emphasizing responsible business conduct and customer protection in electronic transactions, reshaping the risk landscape in financial services.
RBI (Payments Banks - Responsible Business Conduct) Second Amendment Directions, 2026
The Reserve Bank of India has consolidated guidelines for Payments Banks (PBs) concerning customer protection and limitations on liability for unauthorized electronic banking transactions. These new directions form part of a broader initiative to encourage responsible customer engagement and build consumer trust.
Payments Banks are now required to adopt measures that ensure customers are informed of their rights and protections while banking digitally, aiming to create a more secure transaction environment.
“The emphasis on responsible banking conduct in electronic transactions is crucial for maintaining relationships with customers.”
Legal advisors are encouraged to assist their clients in developing compliance strategies in line with these new directives, emphasizing the importance of responsibility in customer service practices within the digital banking space.
Citations
- RBI Directions (2026)