What are the liabilities of a bank in case of fraudulent use of a card by an unauthorised person?
Answer
Answer
In case of card not present (CNP) transactions, RBI has mandated providing Additional Factor of Authentication (AFA) for domestic transactions. If a transaction has taken place without AFA and the customer has complained that the transaction is not effected by him/her, then the issuer bank shall reimburse the loss to the customer without objections.