Slice halts card operations from November end, to unveil a new system

Customers would be able to open a Slice mini prepaid account, where they could add and withdraw money, it said

  • Updated On Nov 29, 2022 at 04:04 PM IST
Read by: 25143 Industry Professionals
Read by 25143 Industry Professionals

Fintech startup Slice has stopped card operations as it transitions to a new system following the Reserve Bank of India’s new guidelines on digital lending.

Slice has asked users to open a prepaid account that will be linked to its cards.

“To ensure a smooth transition, we will temporarily block your card during November. We will notify you in advance in the Slice app when we upgrade you to the all-new experience before November end,” Slice wrote in an email to its customers.

Advt
It said customers would be able to open a Slice mini prepaid account, where they could add and withdraw money.

The new RBI rules


The country's banking regulator had announced new rules on August 10 for third-party platforms, such as prepaid payment instruments (PPIs) like wallets and cards which issue credit products. It has set November 30 as the deadline for the platforms to adhere to the new guidelines.

continued below
In August, fintech startup Uni, which offers buy-now-pay-later solutions, temporarily stopped servicing its existing card users.

Slice also informed users about Slice Borrow — a feature through which users can access loans. “Just enter the amount and a couple of clicks later…the money is in your account. The amount you can borrow depends on your purchase power. A flat fee will be charged for each borrowing. You can pay in 1 month with 0 interest, or split your repayment up to 12 months with interest,” it said.

Advt
Slice's ongoing fundraising had been put on hold following the RBI's June circular barring PPIs from loading credit lines.
  • Published On Oct 31, 2022 at 02:11 PM IST

Most Read in Fintech

Join the community of 2M+ industry professionals

Subscribe to our newsletter to get latest insights & analysis.

Download ETBFSI App

  • Get Realtime updates
  • Save your favourite articles