Debit cards, NEFT transfers, other rules that changed from January 1

Debit cards, NEFT transfers, other rules that changed from January 1

FPJ Web DeskUpdated: Friday, January 10, 2020, 02:26 PM IST
article-image

As we enter the year 2020 a lot of changes in financial transactions will take place. The New Year 2020 will usher in several new rules for financial transactions cutting across debit cards, PAN cards, withdrawal of cash from ATMs and online transfers.

Debit and ATM cards:

From January 1, all old debit and ATM cards with a magnetic stripe will cease to work. This can be replaced with a new EMV chip debit card from the bank free of cost. According to guidelines issued by the Reserve Bank of India (RBI), all banks have been asked to convert old debit cards into the new EMV-based cards.

"You need to get a new ATM card if your card is a magstripe card, as it will get blocked due to RBI directives to discontinue the operation of magstripe cards. If your card is an EMV chip card, please get in touch with your branch and ascertain that," SBI said in a Facebook post.

NEFT charges waived off:

In another important change, the NEFT charges for online funds transfers have been waived.The Reserve Bank of India (RBI) has made NEFT online transfers a 24x7 system with effect from December 16. Beginning January 1, banks have been instructed to waive off online NEFT charges for savings bank account holders. Several banks had made NEFT free already earlier.

RuPay, UPI charges:

For RuPay, UPI charges, it has been mandated that merchant discount rate (MDR) charges will not be applicable on transactions through homegrown RuPay and UPI platforms from 2020. All companies with a turnover of Rs 50 crore or more will be mandated to provide the facility of payment through RuPay Debit card and UPI QR code to their customers.

SBI ATM withdrawals:

There will be a major change in SBI ATM withdrawals in late hours. For a State Bank of India (SBI) ATM card, OTP (one-time password) will be required to withdraw cash from night to morning to prevent fraud. With effect from January 1, SBI has introduced OTP-based ATM withdrawal for transactions above Rs 10,000 between 8 pm to 8 am. However, if you are withdrawing cash from a non-SBI ATM then OTP will not be required.

Income tax return (ITR) filing:

On income tax return (ITR) filing, if the August 31 deadline has been missed to file an income tax return (ITR), it can be done by the end of this financial year. However, for all belated ITRs filed from January 1, a penalty of Rs 10,000 will be imposed.

PAN card:

If your PAN card is not yet linked to Aadhaar, then don't worry. The last date for linking the Permanent Account Number (PAN) with Aadhaar has been extended till March 2020. "The due date for linking of PAN with Aadhaar as specified under sub-section 2 of section 139AA of the Income-tax Act, 1961 has been extended from December 31, 2019 to March 31, 2020," it said. The Central Board of Direct Taxes (CBDT), that frames policy for the I-T department, said a notification has been issued in this context.

(Inputs from Agencies)

RECENT STORIES

Game-Changing Alliance: Ambani's Reliance Ventures Into Adani's Power For The First Time; Acquires...

Game-Changing Alliance: Ambani's Reliance Ventures Into Adani's Power For The First Time; Acquires...

SRM Contractors IPO Subscribed 86.57 Times On Last Day Of Bidding

SRM Contractors IPO Subscribed 86.57 Times On Last Day Of Bidding

Tax-Saving Tip From Zerodha CEO Nithin Kamath: 'If You're Married And Hindu..."; Here's How To Save...

Tax-Saving Tip From Zerodha CEO Nithin Kamath: 'If You're Married And Hindu...

Holy Cities Like Ayodhya, Varanasi Attracting Big Retail Brands: Report

Holy Cities Like Ayodhya, Varanasi Attracting Big Retail Brands: Report

A Big Relief For Byju's: NCLT Rejects Investor Plea To Stay Byju's Rights Issue EGM On March 29 Amid...

A Big Relief For Byju's: NCLT Rejects Investor Plea To Stay Byju's Rights Issue EGM On March 29 Amid...