Payment Gateway License in India
Secure, Compliant & RBI-Approved Payment Solutions
Obtain your RBI Payment Gateway License with Tax Pal Solutions and legally operate online payment services in India. Ensure PCI-DSS compliance, avoid rejections, and launch your fintech securely with expert guidance.
Why Choose a Payment Gateway License?
- End-to-End Licensing Support – Complete guidance through RBI application process
- PCI-DSS & Regulatory Compliance – Ensure your gateway meets industry standards
- Expert Documentation Handling – Accurate and complete application filing
- Fast Approvals – Compliant with PSS Act, 2007 for faster authorization
- Trusted by Businesses – Supporting startups, platforms, and fintechs across India
Key Highlights
| Feature | Details |
|---|---|
| Regulatory Authority | Reserve Bank of India (RBI) |
| Governing Law | Payment & Settlement Systems (PSS) Act, 2007 |
| Compliance Standard | PCI-DSS, DPDP 2023, PMLA, IT Act 2000 |
| Purpose | Process online payments securely between customers, merchants, and banks |
| Funds Handling | Gateway does not hold funds directly; works with RBI-licensed Payment Aggregators |
| License Type | Payment Gateway Authorization under Section 5 of PSS Act |
What is a Payment Gateway License?
A Payment Gateway License allows a business to provide secure online payment services. It connects customers, merchants, and banks to transfer money safely. Businesses handling technology only must partner with an RBI-licensed Payment Aggregator and comply with all regulatory requirements.
Payment Gateway vs Payment Aggregator
| Feature | Payment Gateway | Payment Aggregator |
|---|---|---|
| Definition | Transfers payment data between customer, merchant & bank | Enables merchants to accept payments without a separate bank account |
| Role | Technology bridge | Payment collection and settlement service |
| License Required | Part of RBI-authorized Payment System | RBI Payment Aggregator license |
| Funds Handling | No fund holding | Holds & settles payments to merchants |
| Customer Interaction | Background technology service | Direct interaction during checkout |
| Example | Razorpay Gateway, PayU Gateway | Razorpay, Paytm (as PA), Instamojo |
Eligibility Criteria
- Registered company under Companies Act, 1956/2013
- Minimum 2 directors and 2 members
- Valid business address proof
- Current bank account in company name
- Detailed 5-year business plan
- PCI-DSS compliant IT infrastructure
- Code flow diagram & certified system testing report
Minimum Net Worth Requirement
| Timeline | Requirement |
|---|---|
| At Application | ₹15 Crores |
| Within 3 Years | ₹25 Crores |
Essential System & Security Requirements
- PCI DSS Certification – Gap assessment, risk evaluation, final audit
- Security Testing – Vulnerability assessments, penetration tests, code review
- Infrastructure Setup – Hardened OS, firewalls, MFA, VPN, backup servers
- Policies to Maintain – Antivirus, patch management, database access, change control, data retention, physical security
- Disaster Recovery – Business continuity planning & backups
Step-by-Step RBI Licensing Process
- Submit Registration Application – Form A to RBI’s DPoS office
- Verification by RBI – Scrutiny of documents & details
- Fulfill RBI Conditions – Operational, financial, and technical compliance
- License Issuance – Form B Certificate authorizing gateway operations
- Processing Timeline – RBI decides within 6 months
Required Documents
- Certificate of Incorporation & PAN
- Business address proof
- KYC of directors & shareholders
- Board resolution authorizing application
- MoA & AoA
- 5-year business plan & bank account details
- Code flow diagrams & testing reports
- PCI-DSS compliance certificate
- Net worth certificate (minimum ₹15 Cr)
- Audited financial statements
- Customer grievance mechanism & IT security policies
Ongoing Compliance Requirements
- Annual Audits & Certification – RBI & PCI DSS compliance
- Transaction Monitoring – Detect fraud, enforce KYC norms
- Data Security Compliance – Maintain PCI-DSS & IT security standards
- Reporting to RBI – Regular operational and financial reporting
- Maintain Net Worth – Meet RBI minimum capital requirements
- Customer Grievance Redressal – Dedicated support system
- Disaster Recovery & Backup – Continuous operational resilience
Certification
