Transactions sans net, cash: Digital adoption in focus

If you happen to be in a remote village without any cash and poor/or no internet connectivity, you can still buy something or do any transaction up to a limit of Rs 200 using the mobile phone or wallet. This is possible now as the Reserve Bank of India (RBI) has allowed offline mode of small-value payments using any channel or instrument like cards, wallets or mobile devices with immediate effect.

The process

Offline transactions are subject to a limit of Rs 200 per transaction and an overall limit of Rs 2,000 for all transactions until balance in the account is replenished. Customer should store Rs 2,000 in the mobile device, wallet or card.

An offline digital payment means a transaction which does not require internet or telecom connectivity. Under this new framework, such payments can be carried out face-to-face (proximity mode) using any channel or instrument like cards, wallets and mobile devices. Such transactions would not require an Additional Factor of Authentication (AFA).

No alerts

Since the transactions are offline, alerts (by way of SMS or e-mail) will be received by the customer after a time lag. The offline mode of payment can be enabled only after obtaining specific consent of the customer.


There has been considerable growth in digital payments using mobile phones, cards and wallets. Lack of internet connectivity or low speed of internet, especially in remote areas, is a major impediment in adoption of digital payments. Against this backdrop, providing an option of off-line payments through cards, wallets and mobile devices is expected to further the adoption of digital payments.

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