Ans. PPI issuers, including their agents, shall not create new PPIs each time, for facilitating cash-based remittances to other PPIs / bank accounts. PPIs created for previous remittance by the same person shall be used.

Ans. Yes. PPIs can be issued on solo basis by a PPI issuer or on co-branded basis with another entity.

Ans. The co-branding partner shall be a company incorporated in India under the Companies Act, 1956 / 2013. The co-branding partner can also be a Government department / ministry. In case the co-branding partner is a bank, then the same shall be licensed by RBI. In case of co-branding arrangement between a bank and a non-bank entity, the bank shall be the PPI Issuer. In case both the entities are non-banks, one of them will be pre-assigned, in advance, the role of issuer among themselves.

Ans. Between the two partners, one will be designated as a PPI issuer who shall be responsible for addressing all customer service aspects relating to the co-branded PPI.

Ans. Full-KYC PPIs issued by Authorised Dealer Category-I banks, can be used in cross-border outward transactions for permissible current account transactions under FEMA viz. purchase of goods and services. This facility shall be enabled only on explicit request of a PPI holder.

Transaction Limits:

1. Per transaction limit shall not exceed ₹10,000/-.

2. Per month limit shall not exceed ₹50,000/-.

Transactions allowed:

Permissible current account transactions under Foreign Exchange Management Act (FEMA) viz. purchase of goods and services, subject to adherence to extant norms governing such transactions.

Transactions not-allowed:

1. Any cross-border outward fund transfer and / or for making remittances under the Liberalised Remittances Scheme.

2. Prefunding of online merchant’s account.

Ans. Bank and non-bank PPI issuers, who are Indian agents of the authorised Overseas Principal (OP), are permitted to issue full-KYC PPIs to beneficiaries of inward remittance under the Money Transfer Service Scheme (MTSS) of the RBI. It means that the entity undertaking this activity needs to be an authorised PPI issuer as well as an Indian Agent under MTSS (authorised by Foreign Exchange Department, RBI). Amounts upto ₹50,000/- from individual inward MTSS remittances are permitted to be loaded or reloaded in PPIs issued to beneficiaries. Any single transaction amount in excess of ₹50,000/- shall be paid by credit to a bank account.

Ans. No, splitting of credit is not permitted when funds are loaded in PPIs. Since the amount of transaction is more than ₹ 50,000/-, the entire amount has to be credited to bank account.

Ans. All wallet transactions involving debit to the wallet, including cash withdrawal transactions, are permitted only by validation through a 2FA. The AFA requirements for PPI Cards (physical or virtual) shall be same as required for debit cards. 2FA / AFA is not mandatory for PPIs issued under PPI-MTS and Gift PPIs.

Ans. All PPIs shall have a minimum validity period of one year from the date of last loading / reloading in the PPI. PPI issuers are, however, free to issue PPIs with a longer validity. Issuers shall clearly indicate the expiry period of the PPI to the customer at the time of issuance of PPIs.

Ans. A PPI with no financial transaction for a consecutive period of one year shall be made / treated inactive after sending a notice to the PPI holder. It can be reactivated only after validation and applicable due diligence.