Visa and Mastercard in Russia: To be or not to be

The State Duma will consider amendments that would revise strict requirements to international payment systems, such as Visa and MasterCard in Russia. The amendments were developed by the Central Bank of Russia.

It was proposed to revise the formula of security deposits and penalties for refusals of payment systems to work with Russian credit organizations. In addition, it is assumed that the payment systems will be supervised either by the Government or the Bank of Russia. All parties are willing to compromise so that Visa and MasterCard can continue working in Russia after July 1, writes RT.

President Putin signed the law to establish the national payment card system in early May. The goal of the system, as state officials said, was to ensure uninterrupted, effective and affordable money transfer services.

The document stipulates the operators of the payment systems that have no national significance, including Visa and MasterCard, should make security deposits at the Bank of Russia. The amount of the security deposit should equal the amount of money transfers made on the territory of the Russian Federation within two days. Under the law, should an operator unilaterally stop to provide its services, the Bank of Russia shall charge a penalty of up to 10 percent of the fee for each day of downtime, says Interfax.

 


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