If repeatedly entering an OTP for subscriptions, SIPs, or utility bills has been a hassle, there’s relief ahead. Reserve Bank of India has simplified the process for recurring payments, making them quicker and more seamless while retaining necessary safeguards.
Under the updated e-mandate framework issued on Tuesday, recurring transactions of up to ₹15,000 will no longer require OTP authentication for every payment.
The key change is straightforward: once users register an e-mandate with their bank using a one-time authentication process, payments within the 15,000 limit will be processed automatically each cycle without repeated approvals.
With this update, customers can set up an e-mandate using Additional Factor Authentication (AFA). After approval, all subsequent recurring payments within the prescribed limit will go through without needing an OTP each time, ensuring a smoother and less intrusive payment experience while maintaining security.