Mumbai: RBI on Thursday asked banks to replace existing magnetic stripe only cards to EMV Chip and PIN cards by the deadline of December 2018 and no extension will be given.
EMV chip and PIN based cards enhance security and risk mitigation in card transactions.
In August 2015, RBI had extended time for banks to issue cards under the Prime Minister Jan Dhan Yojana (PMJDY)/ Basic Savings Bank Deposit Account (BSBDA)/ other government schemes to September 30, 2016, and for other cards the deadline was January 31, 2016.
Despite the extension of time given to banks, RBI said that some banks have approached it seeking further extension of the timeline for complying with the instructions.
"Keeping in the mind the objective to further enhance the security and risk mitigation in card present transactions, and also the impact it may have on achieving the timeline for complete migration of all existing magstripe cards, it has been decided not to grant any further extension beyond the respective timeline...For new issuances and full migration to EMV Chip and PIN cards," it said.