RBI has taken a host of measures to increase the use of pre-paid payments instruments by making them safer for customers. And here have been detailed some of the new steps taken in the regard:
1. Limit on customer's liability in case of fraud: In case the fraud is owing to the negligence of the prepaid instrument company, then customer will not be held liable for the loss. And in case the event is also reported within three days time with no involvement of either the customer or the company. And in case the incident is brought to the notice in seven day's time, customer's liability will be limited to maximum Rs. 10,000.
Nonetheless, in case the reporting is done beyond this time, it will be on the company's discretion.
2. Prepaid instrument issuing company now are held liable for unauthorized transaction: As per the latest rule effected in the year 2017, now the prepaid instrument issuing company are held liable in case of any unauthorized transaction and this way there is a shift in the burden of proving customer liability.
3. Mandatory requirement to register for mobile updates against different transactions: And after the RBI notified that pre-paid instrument issuing companies ask their customers to mandatorily sign up for transaction alerts over their mails or contact numbers. "The transaction alert should have a contact number and/or e-mail ID on which a customer can report unauthorised transactions or notify the objec objection," the RBI notification states
4. Reporting against fake transactions is being made easier: "Longer the time taken to notify the PPI issuer, higher will be the risk of loss to the PPI issuer/customer," the notification says. And also the apex bank has asked pre-paid instrument issuers to inform people of reporting the fraud hastily as along with its benefits to the card bearer.
And for it round the clock access is provided by way of toll free numbers, smses, websites etc.
As a matter of fact these companies also need to acknowledge and address customer's complaints swiftly.
So, though the bulk of the responsibility has now been shifted over to companies, this does not absolve customers of all responsibility.