Mastercard has submitted its audit report to the Reserve Bank of India. The company says that we are continuously cooperating with the central bank and currently our focus is on our existing card holders. They won’t have any problem.
The ban came into effect from 22 July.
US-based payments technology company MasterCard on Friday said it has submitted an audit report to the Reserve Bank of India on compliance with local data storage norms. On July 14, the RBI had indefinitely banned MasterCard from issuing new credit, debit and prepaid cards for non-compliance with rules related to local data storage. The ban came into effect from 22 July.
Under the rules for keeping data at the local level, the company is required to keep the data of Indian customers in the country itself. Mastercard said, “When the RBI asked us in April 2021 for additional clarification on keeping data locally, we hired Deloitte to demonstrate compliance.” We have been in constant touch and on July 20, 2021, we submitted the report to RBI.
In 2018 RBI gave instructions related to data localization
The Reserve Bank of India had issued instructions in 2018 regarding the data localization of customers. It was said on behalf of the company that since that time we are in constant touch with the government and RBI. We are strictly following the rules while doing business here.
Cooperation with the Central Bank continues
Mastercard said that we are continuously cooperating with the Reserve Bank. If the Central Bank needs any other kind of information, then we will cooperate fully and will settle this matter as soon as possible. Right now our focus is on our current customers. Efforts are being made by the company to ensure that the current customers do not face any kind of problem.
Two more card companies banned before Mastercard
Earlier, the Reserve Bank has banned two more card issuing companies. The Reserve Bank had first issued an order prohibiting the issuance of new cards to American Express Banking Corp and Diners Club International. Both the companies were banned due to irregularities related to data localization.
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