It’s a welcome move by RBI to safeguard the interest of card holder. Now a days plastic money in the form of ATM card has become a common mode of money transaction for any Banking activity. If some one looses the ATM card or Credit card risk to mis-use is more. The lost card would be used to purchase some item and swipe doesn’t ask for any passcode to validate the card holder. This puts card holder money in trouble. Effective from December 1st 2013 one must put his ATM pin to validate the merchant transaction which will safeguard the card in case of lost.
The same has to be added to credit card as well which is a huge risk in case card is lost.
All transactions at retail need to be validated using ATM PIN:
As per RBI guidelines and to enhance your Debit Card security, effective 1st December 2013, all transactions at retail outlets will need to be validated using your existing ATM PIN.
The PIN will add another layer of security for your Debit Card transactions.
Step 1. The merchant swipes/inserts your Debit Card into a Point Of Sale (POS) machine.
Step 2. The merchant then enters the transaction amount.
Step 3. The POS machine prompts for a PIN to be entered by you.
Step 4. You enter your Debit Card ATM PIN in the POS machine to complete the transaction.
Never share your Debit Card ATM PIN with anyone, including the merchant.
You should always insist on entering the PIN yourself.
Use your hand or body to shield your PIN from onlookers while you are entering the PIN.
Keep your Debit Card in sight during any transaction, especially at restaurants and fuel stations.
Remember to take your Debit Card back when the transaction is complete.