Terms & Conditions

1. Introduction

These Terms & Conditions (“T&C”) constitute a legally binding agreement between Smile Money Pvt. Ltd. (“Company”) and any Retailer, Distributor, Merchant, User, or Partner who accesses or utilizes any service offered by the Company. The T&C are established under the authority of the Indian Contract Act, 1872, and govern the use of all digital financial services including AEPS, DMT, Recharge, Utility Payments, Payment Gateway (PG), POS, QR Payments, Value Added Services, Micro ATM, and other fintech services provided by the Company.

The acceptance of these T&C is mandatory for availing any service. Any violation, misuse, or non‑compliance may result in suspension, termination, financial penalties, or legal actions under applicable laws of India.

2. Regulatory Framework

The Company and all Retailers/Merchants must comply with the following statutory frameworks:

1. Reserve Bank of India (RBI) Regulations:

• RBI Master Direction – Know Your Customer (KYC) Direction, 2016 (Updated 2023).
• RBI Guidelines on Regulation of Payment Aggregators and Payment Gateways, 2020.
• RBI Outsourcing of Financial Services Directions.
• RBI Electronic Payment Standards & Security Framework.

2. Anti‑Money Laundering (AML) Laws:

• Prevention of Money Laundering Act (PMLA), 2002.
• Prevention of Money Laundering Rules, 2005.
• Customer Due Diligence obligations under Rule 9.
• Enhanced Due Diligence requirements for high‑risk entities.

3. Information Technology & Cyber Laws:

• Information Technology Act, 2000.
• Section 43A regarding compensation for failure to protect data.
• Information Technology (Reasonable Security Practices and Procedures) Rules, 2011.
• CERT‑In Cyber Security Directions dated 28 April 2022 (Mandatory nationwide compliance).
• Digital Personal Data Protection Act, 2023 (as applicable).

4. Taxation Laws:

• Income Tax Act, 1961 (TDS, PAN validation, reporting obligations).
• Goods and Services Tax Act (GST), 2017 (Tax invoice, ITC rules, compliance reporting).

5. NPCI Guidelines:

• AEPS Operating Circulars (NPCI/AEPS/OC/latest amendments).
• RuPay & IMPS guidelines.
• Micro ATM Interoperability Standards.
• Dispute Management System (DMS) Rules.

3. Definitions

• Retailer – An individual or entity authorized by the Company to deliver fintech services to end‑customers.
• Distributor – A partner entity responsible for appointing and managing retailers.
• Merchant – A business entity using Company’s PG, POS, QR, or other acceptance solutions.
• User – Any individual using any digital service of the Company.
• Transaction – A financial or service request initiated by the User or Retailer.
• Chargeback – A dispute mechanism governed by NPCI/Card networks.
• Device – Includes biometric scanners, POS, mATM, QR stands, and any hardware provided.
• Credentials – Login ID, passwords, API keys, biometric access, or digital certificates.

4. KYC, AML & Due Diligence

All stakeholders must comply with KYC/AML obligations under PMLA, 2002 and RBI KYC Master Directions. This includes mandatory Aadhaar/PAN validation, OVD verification, biometric authentication etc.

5. Cyber Security & Data Protection

The Company adheres to strict cybersecurity frameworks under the IT Act, 2000 and CERT‑In Rules. Retailers must keep devices updated and protect credentials.

6. Service-Specific Terms

• AEPS Services: Governed by NPCI AEPS Operating Regulations.
• Service Validation (SV): Subject to standard regulatory rules.
• Payment Gateway Services: Governed by RBI PA/PG Guidelines, 2020.
• POS & QR Services: Operate under card network rules.

7. Chargeback, Dispute & Liability Framework

Chargebacks are processed strictly under NPCI DMS Rules and card network guidelines.

8. Processing Rules

Processing of services will follow standard regulatory timelines. Standard timelines are T+1 for most non-risk processes.

9. Device Liability

Devices remain Company property unless purchased. Tampering is punishable under Section 65 of the IT Act, 2000.

10. Fraud Prevention & Monitoring

The Company actively monitors fraud patterns and may suspend services without notice or file STR/SAR under PMLA.

11. Termination

Violations of any law (IT Act, GST Act, PMLA, RBI Directions) may result in immediate termination.

12. Governing Law

All disputes shall fall under the jurisdiction of competent courts in Rajkot, Gujarat.