We advised FamPay, a neobank on its payment product for minors. Offering financial products to and collecting personal data from minors poses many regulatory challenges. We advised the client on how to address these challenges under RBI regulations for prepaid payment instruments, co-branding and KYC and the Information Technology Act, 2000. Since minors are a high-risk customer segment, we also developed solutions to reduce fraud and security risks. These safeguards provided comfort to our client’s partner bank. Finally, we helped the client go live with the product by drafting the terms of service and privacy policy for users.FamPay collaborated with National Payments Corporation of India to make this ‘first in India’ numberless card. The card was launched in partnership with IDFC Bank and is accepted across the RuPay payment network of merchants. You may read more here.
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