MDR charges to be linked with merchant revenue
Friday, February 17, 2017, 10:22 AM
The RBI released draft norms that seek to overhaul the rules governing how much banks can charge merchants for providing debit card services. According to the draft norms, the Reserve Bank of India has proposed to link the merchant discount rate (MDR) to the annual revenue of the merchant. This marks an exit from the current flat MDR charged on all such transactions.