Bank’s Statutory Auditor’s Certificate mandatory for Waiver of Charges on Debit Cards/BHIM UPI/AePS transactions up to Rs 2000/- [Read Notification]

The Central Government today notified that in case of waiver of charges on Debit Cards/BHIM UPI/AePS transactions up to Rs 2000/-, it is necessary to submit certificate from Bank’s Statutory Auditor verifying the claim, volume & value of such transactions.

From 1st January 2018, the Customers will not be charged any transaction charges on payments through debit card, BHIM app and other payment made for up to Rs. 2,000.

With a view to encourage digital transactions, the Government will born such charges for a period of two years by reimbursement of the same to the acquirer banks so that no MDR is payable by the merchant in respect of such transactions. Accordingly, the banks shall not charge any MDR from merchants for all eligible transactions under this scheme and consequently the consumers will not be overcharged citing MDR as a reason.

For this, in every quarter the acquirer banks should submit a report duly certified by their statutory auditors regarding the volume and value of the debit card/BHIM UPI/Aadhaar Pay transactions (showing on-us and off-us transactions distinctly).

Along-with the claim, the acquirer banks should submit to the RBI, a certificate from their auditor confirming that with respect to the claim under examination, MDR has neither been charged from the consumer by the merchant nor charged by the bank from the merchant in respect of the applicable low value transactions.

To Read the full text of the Notification CLICK HERE