Private sector bank RBL Bank in a press release this Wednesday announced that it will start onboarding new credit card customers on Visa’s payment network. The bank had tied up with Visa on July 14th after RBI imposed restrictions on MasterCard from issuing new credit cards. Until now, RBL Bank was issuing only MasterCard credit cards to its customers.
Harjeet Toor, Head – Retail, Inclusion and Rural Business, RBL Bank expressed delight and thanked Visa and its financial partner Fiserv for enabling this partnership in record time. Currently, RBL Bank holds a 5% share in the Indian credit card market, and, in the same press release also announced its plan to leverage this partnership with Visa to offer a wide range of credit cards to a variety of customer segments, adding that the technology integration had been done in record time.
RBL Bank aims to add 1.2 to 1.4 million new credit cards in the financial year 2021-22. This partnership with Visa will certainly help in meeting the target, which otherwise wouldn’t have been possible due to the ban imposed on MasterCard.
Sujai Raina, Head – Business Development, Visa India also welcomed the partnership and said “At a time when consumers are looking for more ways to pay without using cash, we are pleased to announce our partnership with RBL Bank to issue Visa-powered credit cards to their consumers.”
It is worth noting that currently, Visa and Rupay are the only payment networks in the country that are allowed to onboard new credit card customers. All of the other three credit card payment networks- MasterCard, American Express and Diners Club are not allowed to issue new credit cards to Indian customers due to non-compliance with RBI guidelines regarding storage of payments data of Indian customers within the country.