Key Highlights: RBI Draft Guidelines on Digital Banking Channels (July 2025)

1. Definitions

Digital Banking Channels: Banking via internet, mobile, or other digital platforms.

Mobile Banking: Services via apps, USSD, or SMS.

View-Only Facility: Allows balance checks and statement views without financial transactions.

2. View-Only Services

Eligibility: Banks with full CBS and IPv6-enabled infrastructure.

Requirement: Submit GAICA (Gap Assessment and Internal Controls Adequacy) report to RBI within 30 days of launch.

3. Transactional Services

Prior RBI Approval Required

Full CBS and IPv6 readiness.

Minimum CRAR compliance.

Net worth ≥ ₹500 million or regulatory minimum (whichever is higher).

Strong financial/technical capabilities.

Positive cybersecurity audits and GAICA report by CERT-In empanelled auditor.

4. Third-Party Products

Only permitted under RBI’s Master Directions (Paras 18 & 19) on agency/referral norms for mutual funds, insurance, etc.

5. Technology Guidelines

Follow updated RBI tech standards.

Separate approval needed for each digital banking channel (e.g., mobile, internet).

6. Customer Conduct

Explicit consent must be recorded.

Multiple, accessible onboarding channels.

Clear T&Cs in English, Hindi, and local languages.

Compliance with RBI norms on alerts, unauthorized transactions, and customer liability.

7. Risk Management

Implement fraud controls: limits, velocity checks, and behavior monitoring.

Mobile banking (non-app) must be network-independent.

8. General Compliance

Adhere to:

IT Act, 2000; Digital Personal Data Protection Act, 2023

FEMA, 1999; PSS Act, 2007

KYC/AML/CFT and RBI’s customer service and domestic remittance guidelines.

9. Exemptions & Finality

RBI may allow exemptions/time extensions.

RBI’s interpretations are final.

10. Repeal

Earlier circulars repealed; prior approvals remain valid.

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