After the demonetisation of the Rs 500 and Rs 1000 notes and the reintroduction of Rs 500 (which are yet to come) and Rs 2000 notes, the government issued orders to banks to give out RuPay debit cards to their customers. The RuPay cards are touted to address the needs of consumers, merchants and banks.
The National Payment Corporation of India (NPCI) website writes – The benefits of RuPay debit card are the flexibility of the product platform, high levels of acceptance and the strength of the RuPay brand-all of which will contribute to an increased product experience.
The name RuPay, that is a combination of the words ‘Rupee’ and ‘Payment’, is an Indian version of a debit/credit card. It is similar to the Visa/Master cards. The NPCI, in association with Discover Financial Services firm, introduced the RuPay cards with the intention of integration of a new payment system in our country.
The RuPay debit cards are similar to any other credit/debit cards. You can access them at all the ATMs and POS machines, even the e-commerce websites. All major banks, including SBI, have begun the usage of these cards that comes with a high end technology chip named EMV (Europlay, Mastercard, Visa). It also has an embedded micro processor circuit holding information about the card holder.
The transaction costs of international transactions can be reduced by using the RuPay card. SMS alerts will be issued for the same, just like any other card and the time taken for transactions will be lesser. The processing fees for RuPay cards will be lower compared to other cards.
For more information, check out the NPCI website.