Executive Summary:
This document mandates the adoption of EMV Chip and PIN card acceptance and processing at all ATMs in India to enhance transaction security and prepare for the EMV Liability Shift. Banks and White Label ATM operators must ensure all existing ATMs are EMV Chip and PIN enabled by September 30, 2017, and all new ATMs from inception. Banks must submit quarterly progress reports to the Reserve Bank of India.
Key Points / Main Content:
EMV Chip and PIN Mandate:
* All existing ATMs must be enabled for EMV Chip and PIN card processing by September 30, 2017.
* All new ATMs must be enabled for EMV Chip and PIN processing from inception.
* Banks should implement EMV Chip and PIN at microATMs.
ATM Network Participation:
* Banks can join any authorized ATM/Card network provider with Board approval for switching, clearing, and settlement of ATM transactions.
Reporting Requirements:
* Banks and White Label ATM operators must submit a quarterly progress report in the prescribed format.
* Reports are due by the 15th of the month following the end of each quarter (June, September, December, March).
Impact Analysis:
Banks in India:
Impact: Banks must upgrade existing ATMs and ensure new ATMs support EMV Chip and PIN. They must also implement these requirements at microATMs.
Action Required: Upgrade ATMs, implement EMV Chip and PIN at microATMs, and submit quarterly progress reports.
White Label ATM Operators:
Impact: WLAOs must upgrade existing ATMs and ensure new ATMs support EMV Chip and PIN.
Action Required: Upgrade ATMs and submit quarterly progress reports.
Card Payment Network Operators:
Impact: Provide support for banks in upgrading ATM infrastructure.
Action Required: Support EMV Chip and PIN card acceptance and processing at ATMs.
Reserve Bank of India:
Impact: Oversee the implementation of EMV Chip and PIN technology at ATMs.
Action Required: Receive and review quarterly progress reports from banks and White Label ATM operators.
Key Entities Referenced
Reserve Bank of India: The central bank of India, responsible for regulating the banking system and payment systems.
Scheduled Commercial Banks: Banks in India that are listed in the Second Schedule of the Reserve Bank of India Act, 1934.
Regional Rural Banks: Regional Rural Banks (RRBs) are financial institutions in India that operate at the regional level.
Urban Cooperative Banks: Financial institutions in India that operate in urban and semi-urban areas.
State Co operative Banks: A type of cooperative bank in India that operates at the state level.
District Central Cooperative Banks: Cooperative banks that operate at the district level in India.
White Label ATM Operators: Non-bank entities that operate ATMs in India.
EMV Chip and PIN: A global standard for authenticating credit and debit card transactions; EMV stands for Europay, MasterCard, and Visa.
RBI/2015-2016/413
DPSS.CO.PD.No./2895/02.10.002/2015-2016 May 26, 2016
The Chairman and Managing Director / Chief Executive Officers
All Scheduled Commercial Banks including RRBs / Urban Co-operative Banks / State Co-
operative Banks / District Central Co-operative Banks/ Authorised ATM Network Operators /
Card Payment Network Operators/White Label ATM Operators
Madam / Sir,
ATMs - Security and Risk Mitigation Measures for Card Present (CP) Transactions
Please refer to our circular RBI/2014-15/589 DPSS(CO) PD.CO.No.2112 / 02.14.003 / 2014-
2015 dated May 07,2015 and RBI/2015-16/163 DPSS CO.PD.No.448/02.14.003/2015-16
dated August 27, 2015 advising banks regarding the timelines for migrating from magnetic
stripe cards to issuance of EMV Chip and PIN based cards.
2. While the POS terminal infrastructure in the country has been enabled to accept and
process EMV Chip and PIN cards, the ATM infrastructure, on the whole, continues to
process the card transactions based on data from the magnetic stripe. As a result, the ATM
card transactions remain vulnerable to skimming, cloning, etc. frauds, even though the cards
are EMV Chip and PIN based. It has, therefore, become necessary to mandate EMV Chip
and PIN card acceptance and processing at ATMs also. Contact Chip processing of EMV
Chip and PIN cards at ATMs would not only enhance the safety and security of transactions
at ATMs but also facilitate preparedness of the banks for the proposed “EMV Liability Shift”
for ATM transactions, as and when it comes into effect.
3. Banks in India and the White Label ATM operators are, therefore, advised to ensure that
all the existing ATMs installed/operated by them are enabled for processing of EMV Chip
and PIN cards by September 30, 2017. All new ATMs shall necessarily be enabled for EMV
Chip and PIN processing from inception. For the purpose of switching, clearing and
settlement of their ATM transactions, banks with the approval of their Board, may join any
authorised ATM/Card network provider.
4. Further, in order to ensure uniformity in card payments ecosystem, banks shall also
implement the above requirements at their micro-ATMs which are enabled to handle card-
based payments.
5. A quarterly progress report should be sent the Chief General Manager, Reserve Bank of
India, Department of Payment and Settlement System, Central Office, Mumbai in the
appended format for the quarter ending June/Sept/Dec/March by 15th of the month following
the quarter end.
6. This directive is issued under section 10(2) read with section 18 of the Payment and
Settlement Systems Act 2007 (Act 51 of 2007).
Yours faithfully
(Nanda S. Dave)
Chief General Manager
भुगतान और िनपटान �णाली िवभाग, क��ीयकायार्लय, 14वीमंिजल, क��ीयकायार्लयभवन,शहीदभगत�सहमाग,र् फोटर्, मम्ुबई - 400001
फोनTel: (91-22) 2264 4995; फैक् सFax: (91-22) 22691557; ई-मेलe-mail : cgmdpssco@rbi.org.in
Department of Payment and Settlement Systems, Central Office, 14th Floor, Central Office Building, Shahid Bhagat Singh Road,
Fort, Mumbai - 400001
�हदी आसान ह,ै इसका �योग बढ़ाइएReport on EMV Chip and PIN processing at ATMs
Name of the Bank/WLA: ……………………………………………………….
Report for the quarter ended: ……………………………………………………
Total no. of ATMs ATMs enabled for EMV Total number of ATMs
installed by the bank Chip and PIN enabled for EMV Chip
processing during the and PIN processing at
quarter the end of the quarter