The action follows after Mastercard failed to comply with RBI’s directive on storing card and customer-related data on servers physically present in India.
“Notwithstanding lapse of considerable time and adequate opportunities being given, the entity has been found to be non-compliant with the directions on Storage of Payment System Data,” the RBI order said.
The order will not impact the existing customers of Mastercard.
The RBI, in its order, has directed all card-issuing banks and non-banks to conform to the directions.
According to the RBI circular issued in April 2018, “all System Providers were directed to ensure that within a period of six months the entire data (full end-to-end transaction details / information collected / carried / processed as part of the message / payment instruction) relating to payment systems operated by them is stored in a system only in India.”
