New auto debit rules are stricter, easir and more secure

RBI has introduced the Digital Payments E-Mandate Framework, 2026 to make auto-debit easier and more secure. Under the new rules, customers can modify or completely cancel their e-mandates at any time, giving them greater control over deductions from their accounts. However, customers will need to complete a one-time registration before activating the auto-debit facility.

The alert sent 24 hours before auto-debit must include details such as:

• The company receiving the payment
• The date and amount to be deducted
• A reference number which will ensure that customers can take immediate action in case of any discrepancy.

If the customer wishes, they can also stop the payment during this period. However, in the case of FASTag auto-recharge, prior notification will not be mandatory.

Key details of the new auto-debit framework:

• Pre-debit Alert:A mandatory notification (SMS/Email) must be sent at least 24 hours before any recurring payment is deducted.
• AFA Limit:Transactions up to ₹15,000 are processed without additional authentication after initial registration, while those above this amount require an OTP.
• Mandate Management:You can view, modify, or withdraw any e-mandate at any time.
• Scope:These rules apply to recurring payments on credit cards, debit cards, UPI, and other prepaid instruments. 

Impact on Transactions:

• Subscriptions & EMIs:Subscriptions (OTT, utility bills, and apps) and loan EMIs are generally covered under these guidelines.
• Protection:The rules enhance control and safety, reducing unauthorized, unexpected debits.
• Continuity:If a card is reissued, banks must ensure existing mandates are mapped to the new card. 

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