Data breach: Business models of payment platforms under RBI scrutiny

Seeks info on lending ops after cases of data breach

The Reserve Bank of India (RBI) has decided to review the business models of payment aggregators in view of a spate of frauds hitting customers due to unauthorised sharing of financial data, sources aware of the development said. The banking regulator has sought information from these entities on their activities, including the sharing of customer data, the sources said.

Payment aggregators are entities that enable e-commerce sites and merchants to accept various payment instruments from customers for completion of their payment obligations. The RBI’s approval is needed to become a payment aggregator. The central bank had mandated a minimum net worth