MONEY
RBI’s new e-mandate rules set Rs 15,000 limit without OTP; issuers told to send alerts
- IBJ Bureau
- Apr 22, 2026
The RBI has issued the Digital Payments – E-Mandate Framework, 2026, to consolidate existing guidelines.
The new comprehensive set of rules will govern recurring digital transactions across payment systems, along with fixed transaction limits and velocity check.
Customers opting for e-mandates must complete a one-time registration process that requires additional factor authentication (AFA).
Issuers will be required to send a pre-transaction notification at least 24 hours before a charge or debit and a post-transaction notification.
Accordingly, banks and payment providers must send pre-debit notifications at least 24 hours before a transaction, detailing the merchant name, amount and debit date.
Customers are given the option to opt out or cancel the mandate before the payment is processed.
Post-transaction alerts, along with grievance redress mechanisms, are now mandatory.
The e-mandate sets a clear threshold of Rs 15,000 per transaction for recurring payments without the need for additional authentication such as the one-time password (OTP).
Transactions above this limit will continue to require authentication, ensuring an added layer of security for higher-value debits.
However, the RBI has made exceptions for certain financial categories. Recurring payments related to insurance premiums, mutual fund investments and credit card bill payments can go up to Rs 1 lakh without OTP, provided they fall under registered e-mandates.
This reflects the higher ticket size and essential nature of such financial commitments.
The move aims to streamline auto-debit systems, while strengthening customer protection across cards, UPI and prepaid payment instruments (PPIs).
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