Choosing a card network in India: RuPay, Visa, Mastercard and others under the RBI's 2024 rule
How the RBI's March 2024 card network rule lets you pick the network on a new or renewed credit card, which issuers it covers, and how the network affects UPI, rewards and acceptance.
Since September 2024, eligible credit card issuers in India must offer cards on more than one card network and give you the choice of network when a card is issued, and to existing cardholders at the next renewal. The rule comes from the RBI's circular of 6 March 2024 on arrangements with card networks, which took effect six months after issue. It does not apply to issuers with 10 lakh or fewer active credit cards, or to issuers that issue cards on their own authorised network. The network you pick matters for UPI (at present only RuPay credit cards can be linked to UPI; check NPCI for changes), acceptance abroad and, sometimes, rewards and offers on the same card variant.
This guide belongs to the cashback vs reward points overview. It is general information, not financial advice.
What a card network does
A card network runs the rails between the merchant's bank and the card issuer: authorisation, clearing and settlement. Networks authorised in India include RuPay (operated by the National Payments Corporation of India), Visa, Mastercard, American Express and Diners Club. The issuer — your bank or card NBFC — decides your limit, interest, fees and rewards; the network adds its own features, such as network-level offers, lounge programmes on some variants, and international acceptance.
What the 2024 rule says
| Point | Rule |
|---|---|
| Multiple networks | Issuers must issue cards on more than one network |
| Customer choice | Eligible customers get a choice of network at the time of issue |
| Existing cardholders | The choice may be given at the next renewal |
| Exclusive agreements | Issuers and networks may not enter arrangements that restrict the issuer from using other networks; existing agreements had to comply when amended or renewed |
| Who is exempt | Issuers with 10 lakh or fewer active credit cards; issuers using their own authorised network |
| Start date | Six months from 6 March 2024 |
The rule gives you a choice among the networks your issuer offers; it does not oblige an issuer to offer every network on every card variant. Ask which networks are available for the card you want.
How the network affects you
| What changes with network | Why it matters |
|---|---|
| UPI linking | At present only RuPay credit cards can be linked to UPI apps for merchant payments (NPCI rules; check for changes) |
| Acceptance abroad | Visa and Mastercard are widely accepted overseas; RuPay acceptance abroad depends on partnerships in each country |
| Network offers and benefits | Some features (certain lounge or insurance programmes, merchant offers) are tied to the network, not the issuer |
| Reward rules | The issuer may give different reward rates for spends on the UPI rail, even on the same card |
| Merchant acceptance | Some merchants accept only certain networks; American Express and Diners acceptance can be narrower in smaller towns |
Worked decision (illustrative)
You pay about ₹10,000 a month at small shops and kiosks by scanning UPI QR codes and travel abroad once a year.
- Option 1: one RuPay card. UPI spends can earn rewards on the card, if its terms allow; you may struggle abroad.
- Option 2: one Visa or Mastercard card. Works abroad, but your ₹10,000 of UPI spending stays on your bank account and earns no card reward.
- Option 3: two cards — a RuPay card for UPI and another network for travel — if you can manage both without missing a due date, and if the fees with GST are worth it.
Check the rewards on UPI spends and the forex markup before deciding. See RuPay credit card on UPI and forex markup and DCC.
How to ask for a different network
- When you apply, ask which networks are available for that card variant and request the one you want in writing or through the application form.
- For an existing card, ask at renewal; the issuer may treat a network change as a reissue.
- Before the switch, ask whether the card number, limit, reward balance, standing instructions and tokens change, and update auto-debits and saved cards if they do.
- Confirm that the fees and reward rules on the new network are the same, or get the new KFS.
Common misunderstandings
- "My bank must give me a RuPay version of any card." Not necessarily; the choice is among the networks the issuer offers, and small issuers are exempt.
- "The network sets the interest rate." No, the issuer does.
- "Changing network resets my credit history." The card account stays with the same issuer; ask whether it will be reported as the same account.
Frequently asked questions
Can my bank refuse to change my card's network?
Exempt issuers can. For others, the choice applies at issue or renewal among networks they offer; ask the issuer to explain if it refuses.
Does the rule apply to debit cards?
The 2024 circular dealt with credit cards; check the RBI website for any later instructions on debit and prepaid cards.
Is RuPay accepted abroad?
In many countries through network partnerships, but coverage varies. Check NPCI's international information before you travel.
Will a new network change my rewards?
It can, especially for UPI spends. Read the issuer's terms for the network variant.
Sources
- Reserve Bank of India — circular of 6 March 2024, "Arrangements with Card Networks for issue of Credit Cards"
- National Payments Corporation of India — RuPay and UPI
- RBI Complaint Management System — if the issuer does not respond
