India’s co-branded credit card market may see renewed activity as OneCard moves closer to resuming fresh issuances. The Reserve Bank of India has engaged an independent auditor to review the fintech’s systems and data governance framework, following a regulatory pause imposed in December 2025 on new cards issued through partner banks.
The suspension affected multiple lenders that power OneCard’s co-branded portfolio, including Federal Bank, Bank of Baroda, CSB Bank, Indian Bank, South Indian Bank, and SBM Bank India.
Regulatory concerns and compliance expectations
The central bank’s action stems from its March 2024 guidelines on co-branded credit cards, which require banks to retain full ownership and control of customer data. Under these rules, fintech partners may access only limited information, and solely with explicit customer consent.
In OneCard’s operating model, parent company FPL Technologies manages customer onboarding and the mobile app experience—arrangements that raised supervisory concerns over potential indirect access to sensitive data. Regulators also flagged possible gaps in know-your-customer checks, customer verification, and end-to-end system controls.
No data breach or misuse has been reported. The RBI’s intervention is aimed at tightening compliance and ensuring bank-led control over data and credit decisioning in co-branded arrangements.
What existing and new customers should know
Existing OneCard users can continue to transact normally, including payments, EMIs, and rewards. Certain account actions—such as credit limit enhancements—may face delays while compliance changes are implemented.
Applications submitted after the pause are likely on hold or declined until issuances restart. Associated welcome benefits for new customers remain temporarily suspended.
Independent audit and potential timeline
The RBI-mandated independent audit will assess OneCard’s technology stack, data access controls, consent management, and KYC processes to ensure full alignment with bank-led governance. Sector analysts estimate a three- to six-month window for review and remediation, based on precedent cases where issuances resumed after system redesigns and stricter data segregation.
Business performance and funding update
Despite the issuance pause, OneCard reported revenue growth in FY25 alongside reduced losses, indicating resilient portfolio performance. To bolster liquidity and support compliance and technology upgrades, the company raised ₹40 crore from Alteria Capital. Subject to satisfactory audit outcomes and RBI sign-offs, OneCard is expected to gradually restart issuing new co-branded credit cards through its partner banks.
