After a gap of nearly five years, Apple has restored support for credit and debit card payments for recurring App Store purchases and subscription renewals in India. The move brings the company into full compliance with the Reserve Bank of India’s (RBI) card tokenization regulations.
Users can now add funds to their Apple Account using Visa and Mastercard credit or debit cards, with the balance being used to pay for App Store purchases and recurring subscriptions such as iCloud+. Direct card payments on the App Store, however, are still unavailable, meaning purchases must continue to be made through the Apple Account wallet.
Phased rollout underway
Support for adding funds using Visa and Mastercard cards is being rolled out in phases, with access expected to reach all Apple users over the coming days. UPI remains available as a funding option alongside cards. In HT’s testing, users are currently required to keep at least one UPI account linked to their Apple Account.
What changed under RBI rules?
The development follows the RBI’s device-based card tokenization framework, introduced in 2021 and expanded in 2023. Under these rules, merchants are no longer permitted to store customers’ actual card details. Instead, every transaction must use a unique encrypted token generated using the card, the payment service provider, and the device being used.
The token replaces sensitive information such as the card number and expiry date, reducing the risk of payment fraud by ensuring merchants never have access to the original card credentials.
In 2023, the RBI widened the scope of tokenization beyond smartphones and tablets to include laptops, desktops, smartwatches and Internet of Things (IoT) devices.
Another key requirement under the framework is that all tokenized payment data and related transaction records must be stored on servers located within India.
Apple Pay still not part of the rollout
Apple’s compliance with India’s tokenization and data localization rules does not mean Apple Pay is launching in the country. The digital payment service, which allows users to make contactless payments using an iPhone or complete purchases online, remains unavailable in India.
Services such as Samsung Pay on Galaxy smartphones and smartwatches, along with Google Pay, already offer similar digital payment capabilities in the Indian market, although feature availability differs across Android and iPhone devices.
Subscription payments remain subject to RBI rules
Recurring payments for services such as iCloud+ and Apple Music continue to be governed by the RBI’s e-mandate framework.
The system requires users to complete a one-time registration using an additional authentication method such as a one-time password (OTP). Banks must also notify customers at least 24 hours before an automatic payment is processed. Recurring payments of up to ₹15,000 can be completed automatically after the initial setup, while transactions exceeding that limit require fresh user authentication.
Adding a credit or debit card to an Apple Account also requires OTP verification to complete both the card registration and tokenization process. Users can remove the saved card from their account at any time.
