MULTI-CURRENCY FOREIGN TRAVEL CARD, PREPAID CARDS, PPIs, CLASSFICATION OF PPIs, CLOSED SYSTEM PAYMENT INSTRUMENTS, FULL KYC PPIs, FOREIGN EXCHANGE PPIs, PPIs FOR CROSS BORDER INWARD REMITTANCES, RUPEE DENOMINATED PPIs
Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Foreign Exchange Facilities for Individuals — Foreign Exchange Facilities for Individuals.
One-liners from this chapter
Free sample — 8 of 65 rapid-fire Q&A cards.
What is a Multi-Currency Foreign Travel Card?
A Multi-Currency Foreign Travel Card is a prepaid card that can be loaded with multiple foreign currencies, allowing travellers to make payments abroad in local currencies without carrying cash.
What is the maximum number of currencies that can be loaded on a Multi-Currency Foreign Travel Card?
Typically up to 16 currencies can be loaded simultaneously.
Which regulatory authority governs the issuance of Prepaid Payment Instruments (PPIs) in India?
The Reserve Bank of India (RBI) governs the issuance and operation of Prepaid Payment Instruments (PPIs) under the Payment and Settlement Systems Act, 2007.
What type of PPI is a gift card issued by a retail store usable only at that store's outlets?
It is a Closed System Payment Instrument.
What are the three broad classifications of PPIs as per RBI guidelines?
RBI classifies PPIs into three categories: Closed System PPIs, Semi-Closed System PPIs, and Open System PPIs, based on their usability and redemption scope.
What is the maximum outstanding balance allowed in a Full KYC PPI at any point in time?
The maximum outstanding balance is Rs. 2 lakh.
What is a Closed System Payment Instrument?
A Closed System Payment Instrument is a PPI issued by an entity for purchasing goods and services only from that issuer, and such instruments do not permit cash withdrawal or transfer to other PPIs or bank accounts.
Which category of PPI allows cash withdrawal at ATMs and point-of-sale terminals?
Open System PPIs allow cash withdrawal at ATMs.
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