Payment and Settlement Systems Act, 2007

Includes (i) a bank in the Second Schedule of the RBI Act, 1934; (ii) a post office savings bank; (iii) a banking company as defined in Sec. 5(c) of the BR Act, 1949; (iv) a co-operative bank as defined in Sec. 5(cci) of the BR Act, 1949; (v) any other bank the RBI may notify.

An instrument settled at a future date whose value is derived from change in interest rate, FX rate, credit rating/credit index, price of securities ("underlying"), or any combination — including interest rate swaps, FRAs, FX swaps, FX-rupee swaps, FX options, FX-rupee options, or any other…

Any transfer of funds initiated by instruction, authorization or order to a bank to debit/credit an account through electronic means — includes POS transfers, ATM transactions, direct deposits/withdrawals, telephone-, internet- and card-payment transfers.

A payment system in which each settlement of funds or securities occurs on the basis of separate or individual instructions (no bunching, no netting). Example — RTGS.

A person who issues a Legal Entity Identifier (LEI) or such other unique identification, as RBI may specify.

A unique identity code assigned to a person by an issuer to identify that person in such derivatives or financial transactions as RBI may specify.

Determination by the system provider of the amount of money/securities due, payable or deliverable, by setting off or adjusting payment obligations among system participants — including claims and obligations arising on insolvency, dissolution or winding-up of any participant — so that only a net…

Any instrument, authorization or order, including by electronic means, to effect a payment — (i) by a person to a system participant or (ii) by one system participant to another.