eMandate
Note: The eSign based eMandate services have been suspended following the Circular No: NPCI/2018-19/NACH/CIRCULAR NO.35 issued by the NPCI. However, we still offer API based eMandate services. Know more about the API based eMandate service.
A Mandate is an official message given to an authority to act in a specific manner. An eMandate is the same process as a Mandate, but, it is done through the internet enabled smartphone or computer.
When you issue an eMandate to an authority, you are basically directing them to act in your interest. For instance, an official message drafted and issued by you to the bank to pay your EMI’s without your further insistence is an eMandate. The EMI’s are a worthy case in point – An eMandate directing the automation of EMI payments would save you the hassle of making the payment every month. The exact amount of EMI would get debited from your account and you shall be notified about the same.
Previously, the Mandate process was a very elaborate affair needing about 10 days to get approved with the following steps:
- The bank/company would receive your the request form with your express consent
- The form is sent to NPCI where a Unique Mandate Reference Number (UMRN) is created
- Upon the destination bank’s acceptance, the amount is debited from your account
However, with eMandate it is now a very simple facility – you just need to click here – upload your Mandate letter – eSign it from your smartphone or computer and send it to the email ID of your bank.
eMandate has been envisioned to ease a lot of processes with the help of automation. It offers these advantages:
1. No Hassle
In the midst of your hectic workday, the last thing you want to realize is that your phone isn’t working because you missed the last date to pay the bill.
eMandate saves you the hassles of finding the time and making such payments which are instead, automated.
2. Saves Time
When you issue an eMandate to automate most of your otherwise time-consuming payment processes, it saves precious time. The fact that you get notified of your payments as and when they are remitted should keep your worries away.
3. Eliminates Confusion
When you have automated your payments through an eMandate, the transaction history is given to you in detail which can be fallen back upon should there be any confusion.
Previously, post dated cheques were issued for advance payments. Though a new-found practice, eMandate has already proven to be a more efficient and easy alternative.
4. Pan Indian Presence
You might live in Mumbai but have an obligation to make payments in Bengaluru, eMandate comes to your rescue in this case as you only have to draft a mandate, upload it here and eSign it off to your bank.
5. Keeps You Informed
As emphasized earlier, all your payment hassles can be taken care with the Electronic Mandate. The payment is debited from your specified bank account at the specified time.
While being impressively efficient, the fact that you are kept informed about the transaction history helps you focus on your more important priorities.
eMandate – The Future
The modern consumer, a time-sensitive individual with easy and secure access to the internet has wholeheartedly embraced convenient facilities like the Internet and Mobile Banking. The Electronic Mandate is another such seamless convenience that the consumer is set to gain from.
The Indian government striving for a paperless economy also adds context to this consumer-friendly initiative.