August 24, 2016
RBI Extends CNP Directive to Cover IVR
May 6, 2010
The Reserve Bank of India extended the reach of a 2009 directive that made it mandatory for banks in the country to put in place additional authentication procedures based on information not visible on the cards for all online card not present (CNP) credit and debit card transactions except those made via IVR (automated telephone systems). “After extensive deliberations with the banks/card companies it has been decided to extend this requirement of additional authentication/validation to all CNP transactions including IVR transactions,” according to an RBI statement. “Accordingly,” the statement continued, “banks are advised to implement the contents of the above circular to all CNP transactions with effect from Jan. 1, 201 1.” Under the rules, banks will also be required to send “Online Alerts” to customers for all transactions worth Rs 5,000 ($111.56) and above, as was directed last year in case of CNP transactions.