E-Mandate: Definition, Registration Steps, Working & Benefits

What is E-Mandate?

An e-mandate gives your bank permission to automatically take a certain amount out of your account at a certain, prearranged time. E-mandates are useful in situations when you have to pay a set sum each month or annually, such as insurance premiums, mutual funds, or EMI. This payment method is safe and secure because it was initially launched by the Reserve Bank of India and the National Payment Corporation of India (NPCI).

E-mandate is a safe mechanism that guarantees timely and easy payments, lowering the possibility of late fees or penalties. Customers can approve the payment once with this handy option, and the bank will take care of the rest of the autopay process. 

Let’s begin by understanding e-Mandate and how it can benefit your business.

Why Businesses Need Automated Recurring Payments 

Managing recurring payments manually is an operational nightmare for businesses, leading to delays, failed transactions, and high customer churn. Whether you’re a SaaS provider, NBFC, insurance company, or subscription business, automating payments ensures uninterrupted cash flow.

An e-Mandate is a digital authorisation that allows businesses to automate recurring payments directly from customer’s bank accounts, debit cards, or UPI AutoPay. Instead of requesting payments manually, businesses receive a one-time authorisation from customers, enabling seamless auto-debits at scheduled intervals.

• Eliminates late payments
• Reduces manual follow-ups and invoicing
• Prevents revenue leakage due to failed transactions

With Cashfree Payments, businesses can set up e-Mandates instantly, making recurring payments frictionless.

Different types of e-Mandate for businesses 

Cashfree Payments supports all e-Mandate types, ensuring smooth payment automation across various industries.

E-mandates are divided into three different categories, i.e., mandates defined by payment direction, authentication, and the type of payment, each comprising types of e-mandates recognised by the government. 

Payment based on Direction

1. Debit card

With a debit card e-mandate, you link your debit card details with a merchant or a service provider and authorise them to deduct funds from your account. As per the guidelines of RBI, the standard transaction limit is ₹15,000, which the Reserve Bank of India has increased up to ₹1 lakh for payments that seem recurring, like mutual funds, subscriptions, etc., which require changes every now and then. 

2. Credit card

A credit card mandate allows a service provider to which you have signed up to automatically charge a fixed amount to your credit card on the approved date of deduction. The e-mandate limit for credit card autopay without the need for authentication, like OTP, is 1 lakh. 

Payment based on Authentication Mode

1. Net banking

In this type of e-mandate, the customer approves payment through internet banking. It is convenient for large businesses or financial companies.

2. UPI Autopay

It is one of the easiest payment methods, with setting up and cancelling autopay highly convenient and flexible. Best used by customers to pay OTT membership and monthly fees online.

3. Physical NACH Mandate

Best for people who are more comfortable with physical payments. It is mainly used for specific high-level transactions. 

Payment based on Amount type 

1. Fixed Mandate

Used in cases where the amount of deduction is fixed, like OTT subscriptions, mutual fund SIPs, and insurance premiums. 

2. Variable Mandate

Used in cases of amounts that are decided to be due every month or year, but the amount varies, like utility bills (water bills, gas bills, or electricity bills).

Benefits of e-Mandates

e-Mandates revolutionize recurring payments by enabling businesses to auto-debit customer accounts seamlessly, ensuring timely and hassle-free transactions. With a one-time digital authentication, businesses can eliminate manual payment follow-ups, reduce friction, and enhance customer retention while maintaining a steady cash flow.

Increases Customer Retention

• One-time digital authentication allows businesses to auto-debit customer bank accounts without repeated approvals.
• Customers enjoy uninterrupted service, leading to higher loyalty and retention.
• No need for constant payment reminders—improving the customer experience.
• According to industry insights and NPCI guidelines, businesses leveraging e-Mandates and automated recurring payments experience a significant reduction in payment failures, improved cash flow predictability, and enhanced customer retention.

Reduces Friction in Payments

• e-Mandate automates recurring payments, eliminating the need for customers to log in every cycle.
• Ensures consistent revenue flow for businesses with subscription-based models, NBFCs, and insurers.
• Industry insights and case studies suggest that businesses leveraging automated recurring payments experience a noticeable improvement in on-time payments, leading to better cash flow predictability.

Reduces Administrative Costs

• e-Mandate automates recurring payments, eliminating the need for customers to log in every cycle.
• Ensures consistent revenue flow for businesses with subscription-based models, NBFCs, and insurers.
• Industry insights and case studies indicate that businesses leveraging automated recurring payments like e-Mandate experience a noticeable improvement in on-time payments, leading to better cash flow predictability and reduced payment failures.

Auto-Reconciliation

• Payment details are automatically recorded and reconciled, reducing the need for multiple tracking tools.
• No manual reconciliation efforts are needed to ensure higher accuracy.

Simple and Seamless Process

• Requires only an Aadhaar-linked bank account & mobile number for instant registration.
• One-time sign-up ensures a lifetime of hassle-free payments, no repeated approvals required.
• According to NPCI guidelines, Aadhaar-based authentication significantly reduces electronic mandate processing time compared to manual verification methods, ensuring faster approvals and enhanced customer experience.

Flexibility in Payment Plans

• Provides a better customer experience by allowing custom billing schedules.
• Businesses can modify, pause, or adjust debit cycles based on customer preferences.

Key Business Scenarios for e-Mandate

e-Mandates are designed to simplify and automate the collection of periodic payments for businesses that rely on scheduled transactions. By allowing customers to authorise automatic debits in advance, e-Mandates help businesses eliminate manual payment follow-ups, reduce delays, and maintain a steady and organised cash flow. Below is the list of scenarios where e-mandate is essential. 

1. SIPs in mutual funds

An investment requires the investor to invest at decided intervals. To ensure that no Systematic Investment Plan goes without any payment, an e-mandate is set by the investor. This e-mandate ensures that every payment is processed on the same decided date every month or every quarter, as set by the investor. 

2. Subscription payments

Nowadays, if you want to watch anything on television, you need a subscription.  For every OTT platform, customers must subscribe, either monthly or annually. The payment is deducted accordingly on the same decided date. An e-mandate allows the OTT company to deduct the amount from the customer’s account directly.

3. Loan repayments or EMI

Once a customer authorises an e-mandate, the company can automatically debit the EMI amount from the borrower’s bank account, eliminating the need for manual payments each month. The autopay process provides the customer convenience and peace of mind, as payments are processed without the need to actually remember them. 

4. Utility Payments

Keeping track of multiple utility payments can be tiresome. E-mandate helps you to stay at the top of your game. Easily pay electricity bills, internet bills, gas bills, water bills, etc., to providers using the autopay feature.

5. Insurance Premiums

Payment of insurance premiums on time is essential. E-mandate enables insurance companies to collect health and car insurance premiums on time without customer intervention. 

6. Business Payments

Best for businesses that make payments to regular vendors or contract-based vendors. This helps to reduce delays and ensures timely payments to the respective vendors. 

7. Membership Payments

An e-mandate allows your membership company to deduct a fixed amount from your account without any approval. Used mainly by club owners, associations, and gym operators, where they are liable as per our autopay instructions to deduct the amount for renewal purposes. 

Is e-Mandate right for your business?

If your business falls into any of the categories below, then yes, e-mandate is essential for your business. It helps maintain cash flow and reduce payment failures if your business relies on recurring payments. Industries that need e-Mandate include:

1. Wealth Management

Automating your investment amount helps balance your portfolio. Once you decide on the amount you wish to invest in a particular fund, you get an option to autopay the same amount every month, every quarter or every day, depending on the type of payment deduction you have chosen. The company is then authorised to deduct the amount in regular intervals as defined. E-mandates provide a stress-free experience for the investor without disrupting everyday tasks. 

2. Insurance Industry

For hassle-free premium payments, policyholders can set up autopay or auto-debit, allowing their banks to automatically deduct premiums from their accounts on the scheduled due date. E-mandate for premiums eliminates the risk of policy lapses and coverage disruptions. 

3. Subscription-based Industry

We usually forget that our OTT subscription is about to end, and hence lose access to the OTT platform. Setting e-mandates on every OTT platform you buy ensures you miss no news and entertainment channels.

4. NGOs

 If you are someone who takes the initiative to donate every once in a while, then setting an e-mandate for the same could be the best decision. For ease of payments to the NGO, set an e-mandate; this allows the NGO to collect monthly donations for old age homes, animal care, and child education centres. E-mandates ensure timely instalments are deducted without manual repetitive reminders.  

So if you are someone who struggles with late payments, manual invoicing, or high transaction failures, e-Mandate is the solution!

e-Mandate vs Manual Payment Collection: Why Businesses Should Switch

Feature	e-Mandate	Manual Payments
Customer Retention	High (Automated, No reminders needed)	Low (Depends on reminders, customer compliance)
Payment Failures	Reduced (Auto-debits prevent delays)	High (Missed deadlines, manual errors, bank failures)
Administrative Effort	Minimal (No manual invoicing or follow-ups)	High (Businesses must chase payments, send invoices)
Flexibility	Businesses can control debits, pause or modify plans	Rigid (Customer must remember to initiate payments)
Security & Compliance	RBI & NPCI compliant, Dual-layer OTP authentication	Security concerns due to manual transactions
Operational Costs	Lower operational costs (No payment collection team required)	Higher costs (Requires staff to follow up, send reminders)
Customer Experience	Seamless, hassle-free payments without manual action	Risk of service disruption if payments are delayed

With e-Mandate, businesses eliminate payment bottlenecks, increase cash flow predictability, and improve customer experience. While, eNACH can help your business automate payments effortlessly. Explore eNACH by Cashfree Payments

How to set up e-Mandate in minutes 

Setting it up with Cashfree Payments is a quick and hassle-free process that enables businesses to automate recurring payments. Whether you operate a subscription-based business, lending platform, insurance service, or EdTech firm, implementing it ensures seamless payment collections, reduced failures, and improved cash flow.

Cashfree Payments provides two methods to set up:

1. API-Based Integration – For businesses that need a fully automated solution.
2. Redirect Flow (No-Code Setup) – A plug-and-play method that allows businesses to collect subscription payments without API integration.

This guide covers both methods, helping you integrate e-Mandate in just a few minutes.

Step-by-Step Guide to Setting Up e-Mandate

Step 1: Sign Up for Cashfree Payments

New Users:

• Visit Cashfree Payments and sign up for a business account.
• Complete KYC verification by submitting business details, GST, PAN, and bank account information.

Existing Users:

• Log in to your Cashfree Payments Dashboard.
• Navigate to Recurring Payments > e-Mandate Setup.

Once verified, you can start creating e-Mandates instantly!

Step 2: Choose the Right e-Mandate Type for Your Business

Cashfree Payments offers multiple options, allowing businesses to choose the best payment method for their customers.

Type of e-Mandate	Customer Authentication Mode	Best For
NetBanking-Based e-Mandate	Customers approve via NetBanking login	Large businesses, NBFCs, financial services
Debit Card-Based e-Mandate	Customers use their debit card credentials	Subscription businesses, insurance, fintech
UPI AutoPay	Customers approve mandates via UPI apps (Google Pay, PhonePe, Paytm)	Small businesses, OTT platforms, fitness memberships
Physical NACH Mandate	Paper-based mandate for customers without digital access	High-value transactions, real estate, government payments

Step 3: Setting Up e-Mandate

Businesses can choose one out of two ways:

• Through API Integration (Automated Setup for Large-Scale Businesses)
• Through the Cashfree Payments Dashboard (No-Code Setup)

Option 1: Setting Up e-Mandate Using API (For Developers & Businesses with Automation Needs)

Step 3A: Create a New e-Mandate via API

API Endpoint for Creating an e-Mandate:

bash
POST https://api.cashfree.com/api/v2/mandates

Required Parameters for API Request:

Parameter	Description
mandateID	Unique ID assigned to the mandate.
customerID	Unique identifier for the customer.
amount	Maximum amount that can be auto-debited per cycle.
intervalUnit	Billing frequency: Daily, Weekly, Monthly, Yearly.
authMode	Authentication method (NetBanking, Debit Card, UPI AutoPay).
authLink	Auto-generated link for customer authorization.

Once the request is sent, Cashfree Payments generates a secure authLink for customer approval.

Step 4A: Customer Authorization & Approval

• Customers authenticate via NetBanking, Debit Card, or UPI AutoPay.
• Approvals happen instantly for UPI AutoPay, while NetBanking/Debit Card approvals may take a few hours.
• Once approved, e-Mandate is activated, and auto-debits begin as per the set frequency.

Option 2: Setting Up e-Mandate Using Redirect Flow (No-Code Setup)

If you don’t want to integrate an API, you can use Redirect Flow, which allows you to redirect customers to Cashfree Payments’ hosted subscription checkout page.

Step 3B: Generate a Redirect URL for Subscription Authentication

arduino
https://cashfree.com/checkout/subscribe?subscription_id={subscription_id}

Parameter	Description
subscription_id	Unique identifier for the subscription.
plan_id	The ID of the subscription plan.
customer_id	Unique customer reference number.
return_url	The URL where the customer is redirected after payment approval.

No backend development is required—just generate a URL and direct customers to the hosted checkout page!

Step 4B: Customer Approval via Cashfree’s Hosted Page

• The customer is redirected to Cashfree’s checkout page.
• They authenticate using NetBanking, Debit Card, or UPI AutoPay.
• Upon approval, the customer is redirected back to your website, and the subscription is activated.

Redirect Flow is perfect for businesses that want a quick, no-code subscription setup!

Step 5: Automate Recurring Payments Using e-Mandate

Once an e-Mandate is approved, businesses can automate recurring payments using Cashfree Payments’ API or Dashboard.

API Endpoint for Charging an e-Mandate:

bash
POST https://api.cashfree.com/api/v2/mandates/{mandateId}/charge

Required Parameters:

Parameter	Description
mandateID	Unique ID of the active mandate.
amount	Amount to be debited per cycle.
currency	The default is INR.
paymentMode	The mode of auto-debit (NetBanking, UPI AutoPay, Debit Card).
scheduledAt	(Optional) Schedule a charge for a future date.

This ensures that payments are deducted automatically without manual invoicing!

Why Use Cashfree Payments for e-Mandate?

1. Faster Activation – Instant approval for NetBanking & UPI AutoPay.
2. Multiple Payment Modes – Supports NetBanking, Debit Cards, and UPI AutoPay.
3. No-Code or API-Based Setup – Use Dashboard (no coding required) or API (for automation & bulk mandates).
4. 100% Secure & Compliant – Fully RBI & NPCI compliant for recurring payments.
5. Lower Payment Failures – Automated retries and real-time tracking improve payment success rates.
6. Seamless Business Integration – Works for NBFCs, subscription businesses, insurance, education, and utility payments.

Want to start using e-Mandate for your business? Sign Up for Cashfree Payments and enable automated recurring payments today!

Setting it up with Cashfree Payments is a fast and efficient way to automate recurring collections. Whether you choose Dashboard-based setup (for quick activation) or API integration (for automation and scalability), Cashfree Payments ensures a frictionless experience.

Have questions or need a demo? Get in touch with Cashfree Payments today!

How e-Mandate Payments Work: A Beginner’s Guide

e-Mandate is a digital payment authorization system that allows businesses to automate recurring payments securely and efficiently. The process is now further enhanced with the introduction of Aadhaar-based authentication, simplifying customer approvals. This guide explains how it works, the new Aadhaar authentication process, and its benefits for businesses and consumers.

What is e-Mandate?

e-Mandate (Electronic Mandate) is an NPCI-regulated digital framework enabling businesses to collect recurring payments directly from a customer’s bank account, debit card, or UPI AutoPay. It eliminates manual approvals, reduces payment failures, and ensures a seamless customer experience.

Key Features:

• Instant auto-debit setup through NetBanking, Debit Card, or Aadhaar OTP authentication.
• Eliminates manual intervention—no need for customers to approve each transaction.
• Ensures continuous cash flow for businesses with subscription-based revenue models.

How Does e-Mandate Work?

This process involves a step-by-step journey from customer approval to automated payment collection. Here’s how it works:

Step 1: Business Initiates an e-Mandate Request

• The business (merchant) generates a request.
• The request includes:
  • Customer’s name, email, and mobile number.
  • Billing frequency (daily, monthly, quarterly, yearly).
  • Maximum debit amount & preferred payment method (NetBanking, Debit Card, UPI AutoPay, Aadhaar).

Merchants can create e-Mandate requests using:

• Cashfree Payments Dashboard (No-Code Setup).
• Cashfree Payments API (Automated Integration).

Step 2: Customer Authorizes the e-Mandate

• The customer receives a mandate authorization link (via SMS, email, or on the merchant’s website).
• They select their preferred payment method:
  • NetBanking – Log in to approve the auto-debit.
  • Debit Card – Authenticate using debit card details.
  • UPI AutoPay – Approve through UPI apps like Google Pay, PhonePe, Paytm.
  • Aadhaar-Based Authentication (New Method) – Customers authenticate using their Aadhaar number and OTP.
• OTP authentication is used to complete the mandate registration.

Approval Timelines:

• Instant – UPI AutoPay, Aadhaar Authentication, and NetBanking.
• Within 24 hours – Debit Card-Based e-Mandates.

Aadhaar-Based e-Mandate Authentication

The new Aadhaar-based e-Mandate authentication simplifies customer approvals by allowing users to register mandates using their Aadhaar number and OTP verification.

Aadhaar e-Mandate Registration Process:

1. The merchant shares an e-Mandate registration link with the customer.
2. The customer selects Aadhaar-based authentication as the approval method.
3. The customer enters their Aadhaar number on the Online Mandate Approval Gateway System (ONMAGS) page.
4. NPCI forwards the OTP request to UIDAI (Unique Identification Authority of India).
5. UIDAI sends an OTP to the customer’s registered mobile number.
6. The customer enters the OTP on the NPCI page for Aadhaar verification.
   NPCI forwards the approved mandate request to the customer’s bank for final validation.
7. The bank verifies if the Aadhaar number is linked to the customer’s bank account and sends an OTP to the customer’s registered mobile number.
8. The customer enters the second OTP, completing the mandate registration process.
9. The bank sends the final confirmation to NPCI, and the mandate goes live.

Once approved, recurring payments are automatically deducted on the set schedule.

Key Benefits of Aadhaar-Based Authentication:

• One-time digital authentication—faster than NetBanking and Debit Card approvals.
• No need to remember NetBanking or card details—only Aadhaar and OTP are required.
• Enhanced security with dual-layer OTP validation (UIDAI + Bank).

Step 3: NPCI & Bank Approval Process

• The customer’s bank receives the mandate request.
• The bank verifies the details and confirms approval.
• NPCI registers the e-Mandate and assigns a Unique Mandate Registration Number (UMRN).
• Once registered, businesses can start auto-debiting payments from the customer’s account.

The business gets a real-time status update on mandate approvals and payment schedules.

Step 4: Automatic Payment Collection Begins

• Once the e-Mandate is active, payments are automatically deducted as per the billing schedule.
• Businesses receive real-time payment confirmation via:
  • Cashfree Payments Dashboard.
  • API Webhooks & Notifications.
• If a payment fails, Cashfree Payments triggers an automated retry mechanism or alerts the merchant to take action.

Flowchart: How e-Mandate Payments Work

plaintext
Business Creates e-Mandate Request →  Customer Authenticates via NetBanking/Debit Card/UPI AutoPay →  Bank Verifies & Approves Mandate →  NPCI Registers e-Mandate →  Automatic Payment Collection Begins →  Merchant Receives Payment Confirmation →  (In case of failure) Auto-Retry or Notification Sent →  Recurring Payments Continue Seamlessly!

How Does Aadhaar-Based e-Mandate Improve Recurring Payments?

Feature	Traditional e-Mandate	Aadhaar-Based e-Mandate
Approval Mode	NetBanking, Debit Card, UPI AutoPay	Aadhaar OTP
Processing Time	24 hours (Debit Card), Instant (UPI, NetBanking)	Instant
Security	Bank-based authentication	Dual-layer UIDAI & Bank OTP authentication
Best For	Businesses needing diverse payment modes	Faster authentication for broad customer reach

With Aadhaar-based authentication, customers no longer need to remember banking credentials, just their Aadhaar number and mobile OTP!

Why Use Cashfree Payments for e-Mandate?

• Instant Approval – Aadhaar, UPI AutoPay & NetBanking authentication speeds up onboarding.
• Multi-Payment Mode Support – Works with Aadhaar, NetBanking, Debit Cards, and UPI AutoPay.
• Lower Transaction Failures – Dual-layer OTP authentication improves success rates.
• No-Code or API-Based Setup – Businesses can use Cashfree’s Dashboard (no coding required) or API for automation.
• RBI & NPCI Compliant – Fully regulated and secure.
• Real-Time Payment Tracking – Businesses can track mandates, transactions, and failures instantly.

Want to start using e-Mandate for your business? Sign Up for Cashfree Payments and enable automated recurring payments today!

How Banks and Payment Gateways Enable e-Mandates 

Banks and payment gateways play crucial roles in processing e-Mandates securely:

• Banks – Handle customer authentication, mandate approval, and scheduled payment debits.
• Payment Gateways (like Cashfree Payments) – Act as the intermediary between businesses, banks, and customers, ensuring smooth transaction processing.

With Cashfree Payments, businesses can integrate e-Mandate seamlessly with all central Indian banks.

Comparing e-Mandate with other payment models

e-Mandate vs eNACH vs UPI Autopay vs Standing Instruction

Parameter	e-Mandate	eNACH	UPI AutoPay	Standing Instructions
Setup Process	Digital, one-time net banking or debit card OTP auth	Digital mandate via NPCI’s eNACH, activated in 1–2 days	Instant setup via UPI app	Set via card checkout or bank form, instant for cards
Authorization Method	Net banking or debit card OTP	Net banking or debit card OTP	UPI PIN approval in app	OTP-based card save or manual setup via bank
Transaction Limits	Up to ₹1 crore	Up to ₹1 crore	₹15,000 per transaction	₹15,000 auto-debit (above requires OTP)
Processing Time	Batch-based, T+1 settlement	Batch-based, T+1 settlement	Real-time instant debit	Real-time (card charges)
Cost for Businesses	Low (flat fee per transaction)	Low (flat fee per transaction)	Low (minimal UPI fees)	High (1-3% MDR for card transactions)
Use Cases	Loans, insurance, high-value payments	EMI, insurance, education fees	Subscriptions, OTT, small-ticket services	SaaS, subscriptions, international services
Customer Experience	Requires net banking, auto-debits quietly work	Requires net banking, set once & forget	Effortless UPI app control, real-time notifications	Card auto-debits, SMS reminders, manual cancel
Regulatory Compliance	NPCI & RBI-regulated, banks manage security	NPCI-regulated, requires bank integration	NPCI-regulated under UPI framework	RBI mandates OTP for new mandates & ₹15k+ charges
Failure Handling	Failure due to insufficient balance, retry possible	Failure due to insufficient balance, retry possible	Instant failure feedback, retry option	Instant failure feedback, retry & notify customer
Integration Complexity	Medium (needs NACH utility code, bank approval)	Medium (eNACH APIs via bank or provider)	Low (easy UPI API integration)	Low (common in card gateways)
Flexibility for Merchants	Fixed schedule, limited mid-course edits	Mostly fixed, some variable billing options	Flexible, allows customer-controlled mandates	Highly flexible, merchants can charge as needed
Reconciliation & Settlement	Batch reports, T+1 settlement	Batch reports, T+1 settlement	Instant settlement or same day	T+1 or T+2 settlement for cards

Is e-Mandate right for your business?

An e-Mandate is essential for maintaining cash flow and reducing payment failures if your business relies on recurring payments. Industries that need e-Mandate include:

• Subscription-based companies (SaaS, OTT, gyms, co-working spaces).
• NBFCs & Lenders (Loan EMI collections).
• Insurance & Wealth Management (Premium & SIP payments).
• Education & EdTech (Automated tuition fee payments).

If your business struggles with late payments, manual invoicing, or high transaction failures, e-Mandate is the solution!

Who can use e-Mandate? Eligibility & documentation requirements

To enable e-Mandate for your business, you need:

• A registered business entity (LLP, Pvt Ltd, or Sole Proprietorship).
• A current business bank account in India.
• KYC documents (PAN, GST, Bank Account Proof, Business Registration Certificate).
• An account with a payment gateway like Cashfree Payments for seamless integration.

Once verified, you can start automating your payments within 24 hours!

The Business Impact of Payment Failures & How e-Mandate Solves It

Failed payments lead to:

• Revenue loss due to uncollected dues
• Operational inefficiencies from manual follow-ups
• Customer dissatisfaction caused by service disruptions

With Cashfree Payments’ e-Mandate, businesses reduce failed payments, improve revenue consistency, and offer a better experience for customers.

Why Subscription Businesses Need e-Mandate for Recurring Billing 

Subscription businesses rely on timely payments for revenue stability. e-Mandate ensures:

• Automatic billing and renewals
• Seamless user experience
• Better customer retention

e-Mandate Pricing: Cost Comparison Across Providers 

Feature	Cashfree Payments	Razorpay	PayU	BillDesk
Setup Fees	₹5 per mandate	₹10 per mandate	₹7 per mandate	Custom Pricing
Transaction Cost	₹5 per debit	₹10 per debit	₹7 per debit	Custom Pricing
Best for	Startups, Enterprises, NBFCs	Startups	Large businesses	Corporates

Conclusion: Automate Your Payments Today!

e-Mandate is the ultimate solution for businesses to eliminate payment delays, improve cash flow, and enhance customer experience.

Cashfree Payments makes e-Mandate setup effortless, cost-effective, and scalable for businesses of all sizes.

Get started with Cashfree Payments today!

Frequently Asked Questions on E-Mandate

Can I cancel my e-mandate?

Yes, you can cancel the e-mandate set by logging into your bank’s internet banking or mobile app. Navigate to the mandate section, check for all the active mandates, and choose the one you wish to cancel and proceed. 

How does E-Mandate work?

E-mandate works when you, as a customer, allow digital deductions of payments from your bank account. Once the e-mandate is approved, payments are auto-debited as per scheduled intervals. This is best for people who want their payments to be paid on time without delay. 

What is the minimum amount to set an e-mandate?

The minimum amount for e-mandate varies by vendor and bank. It depends on the type of industry, and the limit can be defined as per the requirement. 

 What is the maximum amount set for e-mandate?

The maximum amount may vary, but per RBI guidelines, the limit is usually ₹1 lakh, and OTP may not be required for segments such as SIPs, credit card payments, and insurance. The limit may fluctuate depending on the type of industry. 

Are e-NACH and e-mandate the same?

No, e-NACH and e-mandate are not exactly the same. e-NACH is a system managed by the National Payment Corporation of India (NPCI), while e-mandate is a digital permission given to the collector to deduct money from the payer’s account at specified intervals. 

How to verify if e-mandate is working?

To be sure, go to the app or website of the bank you have your account in. Log in to your account and navigate to the section “e-mandates/autopay” and check which applications you have set an e-mandate for. You can select and deselect as per your convenience. 

What happens to e-mandate in case of low funds?

If the bank account your e-mandate is linked to does not have sufficient funds, the payment due will be bounced, leading to a delay and a penalty in payment. Usually, every app where you have set an e-mandate sends out a notification informing the account holder about the upcoming autopay. The account holder can immediately transfer or add relevant funds to the e-mandate account for easy and hassle-free deductions. It is always recommended to keep enough funds in the account from which the funds would be debited to avoid inconvenience.