Reserve Bank of India ( RBI ) has permitted banks and non-banks to carry out off-line payments under cards , wallets or mobile payments without OTP only for small value transaction (SEE RBI NOTIFICATION) . Transaction limit is just Rs 200 and it should be only in face to face mode .
- In this regard , RBI has following guidelines to the financial entities desirous of providing such facilities to their customers Offline payments may be made using any channel or instrument like cards, wallets, mobile devices, etc.
- Offline payments shall be made in proximity (face to face) mode only.
- Offline payment transactions may be offered without Additional Factor of Authentication (AFA).
- Payment instruments shall be enabled for offline transactions based on explicit consent of the customer. Such transactions using cards shall be allowed without a requirement to switch on the contactless transaction channel, in relaxation of earlier guidelines issued in January 2020 .
- The upper limit of an offline payment transaction shall be ₹200. The total limit for offline transactions on a payment instrument shall be ₹2,000 at any point in time. Replenishment of used limit shall be allowed only in online mode with AFA.
- The issuer shall send transaction alerts to users as soon as transaction details are received. There is no compulsion to send alert for each transaction . However, details of each transaction shall be adequately conveyed.
- The acquirer shall incur all liabilities arising out of technical or transaction security issues at merchant’s end.
- Offline payments shall be covered under the provisions of RBI’s limited customer liability circulars
- The customers shall have recourse to the Reserve Bank – Integrated Ombudsman Scheme, as applicable, for grievance redressal.