News

Reserve Bank of India loosens operating rules for independent ATM operators

March 8, 2019

The Reserve Bank of India has issued a notification to white label ATM deployers of policy changes meant to "enhance the viability of WLAs."

The relaxed rules will allow WLA operators to implement a number of new practices and ATM features, including:

• Buying wholesale cash above a threshold of 100,000 notes of any denomination, directly from the Reserve Bank.
• Sourcing cash from any scheduled bank, including cooperative banks and regional rural banks.
• Offering bill payment and interoperable cash deposit services, subject to technical feasibility and certification by National Payments Corporation of India.
• Displaying ads for nonfinancial products and services anywhere within the WLA premises — including the WLA screen, when the machine is idle — except on the main signboard.

Additionally, the RBI notice said that banks may now issue co-branded ATM cards in partnership with the authorized WLA operators and may extend the benefit of "on-us" transactions to their ATMs, as well.

And finally, the notice said that WLAs must follow the same guidelines, safeguards, standards and control measures that banks are subject to relating to currency handling, and cybersecurity framework for ATMs.