OneCard stops issuing new credit cards as RBI seeks clarifications from partner banks

FPL Technologies, which affords cobranded credit playing cards underneath the OneCard place, is going by a extensive industry setback after the Reserve Monetary institution of India (RBI) requested all its partner banks to quit the issuance of aloof playing cards, essentially essentially based mostly on three people conscious about the pattern.

“The central bank has issued letters to all banking companions of FPL Technologies asking them to extinguish issuing playing cards with OneCard till certain factors raised by the regulator are addressed,” one of many people knowledgeable ET.

Sources indicated that the RBI wants readability on the ideas-sharing norms adopted in these partnerships sooner than allowing issuance to resume. OneCard’s partner banks contain BOB Cards, SBM India, Federal Monetary institution, CSB Monetary institution, South Indian Monetary institution and Indian Monetary institution. The playing cards are issued by these lenders, while customer acquisition and administration are handled by FPL Technologies.

Email queries to OneCard and the RBI went unanswered till press time Friday.

The near comes against the backdrop of the central bank’s tightening of regulations governing co-branded bank card arrangements.

In March 2024, Federal Monetary institution and South Indian Monetary institution told stock exchanges that they had been directed by the RBI to forestall their co-branded bank card programmes. Loads of arrangements across the sphere were subsequently transformed to conform with revised norms.

ET reported on March 18, 2025, that fintech startup Scapia resumed issuing co-branded playing cards with Federal Monetary institution after the RBI accepted its revised partnership framework.

“The RBI seems to contain some inhibitions with the partnership arrangements between OneCard and its partner lenders,” the 2nd particular person cited above stated.

FPL Technologies, founded in 2019 by weak ICICI Monetary institution executives Anurag Sinha, Vibhav Hathi and Rupesh Kumar, remaining raised $25.5 million in December from QED Investors, High XV Partners and Z47 (previously Matrix Partners India) at a flat valuation. The firm used to be valued at $1.3 billion in 2022 when Temasek invested.

Co-branded credit playing cards contain proliferated at some stage within the final few years by partnerships bright Swiggy, Amazon, Flipkart and loads of particular person internet companies. But on March 7, 2024, the RBI issued stricter tricks to curb encourage-door entry of fintechs into the regulated bank card ecosystem, especially around files sharing and operational control.

“There is a sense within the bogus that the total partner banks will must near at a general procedure with FPL sooner than issuance can resume,” stated the founder of one other fintech agency working within the an identical subject.