After the announcement of the Reserve Bank of India (RBI), now banks or digital platforms will seek permission from the customer before auto-paying any bill through debit card, credit card and UPI.
This arrangement will come into effect from October 01. Banks and digital platforms have made full preparations to implement the new system from October 01. Now banks as well as digital platforms like Paytm and Google Pay will take permission from the customer before making auto payment of any installment or bill.
Without permission, they will not be able to deduct the amount from the bank account. According to the guidelines issued by RBI in this regard earlier, the bank or digital platform will have to inform the customers by sending a message on the mobile phone five days before the date of payment.
The customer has to be informed even 24 hours before the payment
Also, the customer has to be informed 24 hours before the payment. The date of payment, to whom the money is to be sent, all the information will be made available in the message sent to the customers. It is noteworthy that the main purpose of making changes in the auto debit system of RBI is to protect the customers from possible fraud.
