Lok Sabha Question No. 1229 (UNSTARRED), answered on 2020-09-19
Subject: Debit Cards
Ministry: FINANCE
Asked by: Subhash Ramrao Bhamre, Supriya Sadanand Sule, Manickam Tagore B, Kuldeep Rai Sharma, DNV Senthilkumar. S., Amol Ramsing Kolhe

## GOVERNMENT OF INDIA

## MINISTRY OF FINANCE DEPARTMENT OF FINANCIAL SERVICES

## LOK SABHA UNSTARRED QUESTION NO. 1229

ANSWERED ON SATURDAY, SEPTEMBER 19, 2020/BHADRAPADA 28, 1942 (SAKA)

## Debit Cards

1229. DR SUBHASH RAMRAO BHAMRE: SHRIMATI SUPRIYA SULE: SHRI MANICKAM TAGORE B= DR AMOL RAMSING KOLHE:

Will the Minister of FINANCE be pleased to state:

- (a) the amount of money transacted or through debit cards in the country during the last three years and the current year; bank-wise; paid
- (b) whether there is heavy demand for new debit cards months of the lockdown due to COVID-19 pandemic and if So, the number of new debit cards issued by Public Sector Banks and Private Sector banks; during peak
- (c) whether the Government is encouraging the use of debit cards among bank customers to boost digital mode of payment and if SO, the details thereof and the outcome thereof;
- by making false lucrative offers and charging exorbitant and if SO, the details thereof; and fee.
- (d) whether the Government has received any complaints against banks for selling their debit cards
- (e) the steps taken/being taken by the Government to laid down guidelines in this and to curb such lucrative offers by banks? regard

## ANSWER

THE MINISTER OF STATE NN THE MINISTRY OF FINANCE (SHRI ANURAG SINGH THAKUR)

- (a) As informed by Reserve Bank of India, for Public Sector Banks, value of transactions done through debit cards at the Point of Sale (PoS) terminals including e-commerce terminals the last three financial years and the current financial (till July 2020) is given in Annex: during year
- (6) As reported by RBI, monthly data on number of outstanding debit cards since March 2020 is as below:

| Number of outstanding Debit Cards (in Lakhs)   | Number of outstanding Debit Cards (in Lakhs)   | Number of outstanding Debit Cards (in Lakhs)   |
|------------------------------------------------|------------------------------------------------|------------------------------------------------|
| Month                                          | Public Sector Banks                            | Private Sector Banks                           |
| Mar-20                                         | 5851.35                                        | 2434.27                                        |
| Apr-20                                         | 5856.19                                        | 2438.28                                        |
| May-20                                         | 5900.59                                        | 2452.90                                        |
| Jun-20                                         | 5971.05                                        | 2483.09                                        |
| Jul-20                                         | 6005.34                                        | 2518.21                                        |

(c As per the recently inserted Section 269SU in the Income Tax Act, every person, carrying on business is required to provide facility for accepting payment through prescribed electronic modes; including RuPay debit card, in addition to the facility for other electronic modes, of payment, if any, being provided by such person, ifhis total sales; turnover Or gross receipts, in business exceeds fifty crore rupees during the immediately preceding previous year:

Also, as per recently inserted Section IOA in the Payment and Settlement Systems Act 2007, Banks or system providers shall not impose any charge on a payer making payment, r & beneficiary receiving payment; through electronic modes including through RuPay debit card.

Further; in order to promote digital payment; inter-alia, including payments through debit cards, Digital Apnayen' campaign is held across  India by the Public   Sector Banks   since 15.08.2020. being

(d) & (e) As per RBI'$ circular dated 01.07.2015, banks are permitted to fix service charges on various services rendered by them, as per their Board approved policy, while ensuring that the charges are reasonable and not out of line with the average cost of providing these services The charges of various products offered by banks are also available on bank'$ website.

As per RBI $ Banking Ombudsman Scheme, 2006 (as amended from time to time) for resolution of complaints   relating to to the instructions of RBI on ATMDebit Card operations by the bank; one can file & complaint before the Banking Ombudsman if the reply is not received from the bank within a of one month after receiving the complaint by the bank concerned, or the rejection of the complaint; by the bank or if the complainant is not satisfied with the reply by the bank: period given

Further; RBI vide circular dated 06.08.2020, has advised authorised Payment System Operators (PSOs) banks and non-banks and their participants, to in place system/s for Online Dispute Resolution (ODR) for resolving disputes and grievances of customers: put

| Annexure as referred in reply to part (a) of the Lok Sabha unstarred Q. No. 1229 for answer on 19.09.2020   | Annexure as referred in reply to part (a) of the Lok Sabha unstarred Q. No. 1229 for answer on 19.09.2020   | Annexure as referred in reply to part (a) of the Lok Sabha unstarred Q. No. 1229 for answer on 19.09.2020   | Annexure as referred in reply to part (a) of the Lok Sabha unstarred Q. No. 1229 for answer on 19.09.2020   | Annexure as referred in reply to part (a) of the Lok Sabha unstarred Q. No. 1229 for answer on 19.09.2020   | Annexure as referred in reply to part (a) of the Lok Sabha unstarred Q. No. 1229 for answer on 19.09.2020   |
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| Sr. No.                                                                                                     | Bank Name                                                                                                   | 2017-18                                                                                                     | 2018-19                                                                                                     | 2019-20                                                                                                     | 2020-21                                                                                                     |
| Sr. No.                                                                                                     | Bank Name                                                                                                   | POS"                                                                                                        | POS"                                                                                                        | POS"                                                                                                        | POS"                                                                                                        |
|                                                                                                             | ALLAHABAD BANK                                                                                              | 255,862.81                                                                                                  | 382,765.20                                                                                                  | 432,809.71                                                                                                  | Bank merged with Indian Bank                                                                                |
| 2                                                                                                           | ANDHRA BANK                                                                                                 | 476,509.94                                                                                                  | 974,010.20                                                                                                  | 1,118,089.36                                                                                                | Bank merged with Union Bank of India                                                                        |
|                                                                                                             | BANK OF BARODA                                                                                              | 1,232,436.81                                                                                                | 1,671,254.93                                                                                                | 2,913,059.28                                                                                                | 683,471.16                                                                                                  |
|                                                                                                             | BANK OF INDIA                                                                                               | 951,774.14                                                                                                  | 1,168,273.27                                                                                                | 1,366,782.87                                                                                                | 349,318.37                                                                                                  |
|                                                                                                             | BANK OF MAHARASHTRA                                                                                         | 479,826.36                                                                                                  | 529,161.42                                                                                                  | 642,972.14                                                                                                  | 156,542.57                                                                                                  |
|                                                                                                             | CANARA BANK                                                                                                 | 1,314,704.55                                                                                                | 1,740,228.25                                                                                                | 2,097,426.24                                                                                                | 728,579.99                                                                                                  |
|                                                                                                             | CENTRAL BANK OF INDIA                                                                                       | 600,334.68                                                                                                  | 796,696.74                                                                                                  | 999,808.56                                                                                                  | 241,446.67                                                                                                  |
| 8                                                                                                           | CORPORATION BANK                                                                                            | 472,971.84                                                                                                  | 543,182.36                                                                                                  | 615,565.84                                                                                                  | Bank merged with Union Bank of India                                                                        |
| 9                                                                                                           | DENA BANK                                                                                                   | 180,878.05                                                                                                  | 275,292.31                                                                                                  | Bank merged with Bank of Baroda                                                                             | Bank merged with Bank of Baroda                                                                             |
| 10                                                                                                          | INDIAN BANK                                                                                                 | 631,646.34                                                                                                  | 815,619.00                                                                                                  | 1,094,889.98                                                                                                | 386,727.36                                                                                                  |
| 11                                                                                                          | INDIAN OVERSEAS BANK                                                                                        | 945,360.13                                                                                                  | 745,459.08                                                                                                  | 848,748.02                                                                                                  | 199,051.50                                                                                                  |
| 12                                                                                                          | ORIENTAL BANK OF COMMERCE                                                                                   | 360,931.67                                                                                                  | 467,813.58                                                                                                  | 559,200.59                                                                                                  | Bank merged with PNB                                                                                        |
| 13                                                                                                          | PUNJAB AND SIND BANK                                                                                        | 56,283.62                                                                                                   | 76,271.92                                                                                                   | 118,833.97                                                                                                  | 40,322.39                                                                                                   |
| 14                                                                                                          | PUNJAB NATIONAL BANK                                                                                        | 1,713,809.75                                                                                                |                                                                                                             | 2,455,275.15                                                                                                | 813,005.86                                                                                                  |
| 15                                                                                                          | SYNDICATE BANK                                                                                              | 493,911.00                                                                                                  | 656,339.69                                                                                                  | 773,490.44                                                                                                  | Bank merged with Canara Bank                                                                                |
| 16                                                                                                          | UCO BANK                                                                                                    | 320,021.03                                                                                                  | 417,732.50                                                                                                  | 536,862.81                                                                                                  |                                                                                                             |
| 17                                                                                                          | UNION BANK OF INDIA                                                                                         | 839,597.10                                                                                                  | 953,681.70                                                                                                  | 1,373,539.23                                                                                                | 790,318.01                                                                                                  |
| 18                                                                                                          | UNITED BANK OF INDIA                                                                                        | 214,727.83                                                                                                  | 297.181.60                                                                                                  | 375,757.22                                                                                                  | Bank merged with PNB                                                                                        |
| 19                                                                                                          | VIJAYA BANK                                                                                                 | 259,610.29                                                                                                  | 373,880.31                                                                                                  | Bank merged with Bank of Baroda                                                                             | Bank merged with Bank of Baroda                                                                             |
| 20                                                                                                          | IDBI LTD #                                                                                                  | 746,122.47                                                                                                  | 903,263.05                                                                                                  | 984,310.21                                                                                                  | 211,123.71                                                                                                  |
| 21                                                                                                          | STATE BANK OF INDIA                                                                                         | 13,871,473.70                                                                                               | 17,696,097.62                                                                                               | 20,510,413.58                                                                                               | 4,721,441.59                                                                                                |
|                                                                                                             | Total                                                                                                       | 26,418,794.14                                                                                               | 33,602,477.68                                                                                               | 39,817,835.19                                                                                               | 9,465,740.50                                                                                                |

Source: RBI

Note Card transactions done at PoS terminals includes e-commerce online transactions #IDBl is now an Private Sector Bank