Reserve Bank of India has rolled out a consolidated Digital Payments e-mandate framework, effective immediately, replacing all earlier circulars and bringing uniform rules for recurring transactions across payment systems.
The framework covers cards, Unified Payments Interface (UPI) and prepaid payment instruments (PPIs), and extends to both domestic and cross-border transactions. It requires a one-time e-mandate registration with additional factor authentication (AFA), while allowing customers to modify or revoke mandates at any time.
Under the revised structure, both fixed and variable recurring payments are permitted, with users able to set caps for variable mandates. The first transaction will require AFA, while subsequent payments can be processed within prescribed thresholds.
The RBI has mandated pre-debit alerts at least 24 hours before each transaction, detailing the merchant name, amount and date, giving customers the option to opt out. Post-transaction alerts with grievance redressal details have also been made compulsory, although FASTag and NCMC auto-replenishments are exempt from pre-debit notifications.
Transaction limits have been set at ₹15,000 per payment without AFA, with higher-value transactions requiring authentication. However, for categories such as insurance premiums, mutual fund subscriptions and credit card bill payments, the limit has been raised to ₹1 lakh.
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The framework also reinforces customer protection through a zero-liability policy for unauthorised transactions and mandates a dispute resolution mechanism, while prohibiting any charges for availing the e-mandate facility.
