<h1>RBI Updates Debit Card Rules: Co-Branded Cards Allowed Without Prior Approval; Offline Cards Phased Out; Emphasizes Security.</h1> The Reserve Bank of India issued new guidelines for banks on the issuance of debit cards, allowing them to issue co-branded debit and rupee-denominated prepaid cards without prior RBI approval, subject to conditions. Banks must develop board-approved policies for issuing debit cards, ensuring compliance with security, KYC, AML, and CFT norms. Offline debit cards are to be phased out, and banks must notify customers of the switch to online cards. The guidelines emphasize customer protection, security, and grievance redressal, requiring banks to maintain transparency and accountability in their operations and co-branding arrangements.