NEW DELHI: Petrol pumps across the country will not accept credit and debit card payments for fuel sales from tomorrow after banks decided to put transaction (MDR) charge on them instead of consumers.
To promote cash-less transactions, the government had waived the Merchant Discount Rate (MDR) on fuel purchase post demonetisation for consumers. But after the expiry of the 50-day window, the banks have decided to levy MDR on petrol pump owners.
Petrol pump owners association said they have been “informed by HDFC Bank that we will be charged 1 per cent on all credit card transactions and between 0.25 per cent and 1 per cent on all debit card transactions from January 9, 2017. The same will be debited to our account and net transaction value will be credited to our account”.
Ajay Bansal, President, All India Petroleum Dealers Association, said the bank has quoted RBI circular of December 16, 2016, for its action. (AGENCIES)