Issue of Credit Cards by Scheduled Urban Cooperative Banks

RBI/2014–15/577 DCBR.CO.BPD.(SCB).No.1/13.05.000/2014–15

April 30, 2015

Please refer to para 26 of First Bi-month­ly Mon­e­tary Pol­i­cy State­ment 2015–16 (extract append­ed) by Reserve Bank of India on April 07, 2015 on the cap­tioned subject.

2. With a view to enlarg­ing the scope of Urban Coop­er­a­tive Banks to expand their busi­ness and serve their cus­tomers, it has been decid­ed to allow Finan­cial­ly Sound and Well Managed(FSWM) Sched­uled Urban Coop­er­a­tive Banks which are CBS enabled and hav­ing min­i­mum net-worth of ₹ 100 crore to issue Cred­it Cards in affil­i­a­tion with enti­ties autho­rized by Depart­ment of Pay­ment and Set­tle­ment Sys­tems, Cen­tral Office.

3. Urban Coop­er­a­tive Banks ful­fill­ing the above cri­te­ria and desirous of issu­ing cred­it cards may sub­mit their appli­ca­tion to the respec­tive Region­al Office with a copy of Board res­o­lu­tion to that effect. The eli­gi­bil­i­ty cri­te­ria will be assessed based on the find­ings of the last inspection.

4. The detailed guide­lines in this regard is giv­en in Annex.

Yours faith­ful­ly,

(Suma Var­ma)
Prin­ci­pal Chief Gen­er­al Manager

Encl : As above

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Extract from the First Bi-Month­ly Pol­i­cy State­ment 2015–16

26. With a view to enlarg­ing the scope of urban co-oper­a­tive banks for expand­ing their busi­ness, it has been decid­ed to allow finan­cial­ly sound and well man­aged (FSWM) sched­uled urban co-oper­a­tive banks, which are CBS-enabled and hav­ing min­i­mum net worth of ₹ 100 crore, to issue cred­it cards. Detailed guide­lines in this regard will be issued separately.