The Reserve Bank of India (RBI) on Wednesday lifted the restrictions on American Express Banking Corp (AmEx), permitting it to restart onboarding of recent home clients on its card community.
The central financial institution had put the curbs on American Express in May 2021 for not complying with a round it had issued on storage of funds knowledge in 2018. The RBI had in June lifted related restrictions on Mastercard after 11 months.
“In view of the satisfactory compliance demonstrated by American Express Banking Corp … the restrictions imposed, vide order dated April 23, 2021, on on-boarding of new domestic customers have been lifted with immediate effect,” the central financial institution mentioned in a notification.
“American Express Banking Corp and Diners Club International are Payment System Operators authorised to operate Card Networks in the country under the Payment and Settlement Systems Act, 2007,” it added.
This order had not impacted clients of American Express who had been onboarded previous to the ban, which was imposed by the Reserve Bank underneath Section 17 of the Payment and Settlement Systems Act, 2007. FE
