Understanding E Mandates: What They Are and How They Work

e-Mandate is a digital payment service introduced by the RBI and National Payments Corporation of India to streamline the payments process for companies. This process serves as the underlying infrastructure for firms to gather payments without manual intervention. 

Electronic Mandate (eMandate) works as a standing instruction that allows banks to debit the specified amount from your bank account. Moreover, it is convenient for companies and individuals to manage their scheduled payments.

Previously this mandate was available offline, but the online process has made it more convenient. Now that you are aware of an e-Mandate definition, read on to know more about the details of this process.

Step 1: Log in to Bajaj Finserv Service Portal

Step 2: Select the e-Mandate option

Step 3: Go through all the personal details and click on the ‘proceed’ option

Step 4: Validate your bank account information, select your preferred registration mode, read through the disclaimers, and then click on the ‘submit’ option

Step 5: If you decide to go ahead with the OTP option, enter the code received on your registered mobile number and click on ‘Submit’

Alternatively, if you select the ‘debit card/ net banking’ option, you will be redirected to the ‘Digio Page’. Here you can click on your mode of registration, read the disclaimer and then submit it. Digio is an accredited aggregator of the e-Mandate process via NPCI.

Step 6: Once you complete either of the processes mentioned above, you will be redirected to your preferred bank’s website.

1. With net banking: Enter your login details and OTP to authenticate your e-Mandate for Bajaj Finserv using the bank’s website
2. With debit card: To complete the Bajaj Finserv e-Mandate online with a debit card, provide your debit card details and OTP using the bank’s website

Step 7: Once this mandate is authenticated successfully, your bank will approve it in due course

After you complete the steps mentioned above, your application will be registered with your respective banks. Afterward, you can see the Bajaj Finserv e-Mandate status in your Bajaj Finserv account.

Furthermore, you should also know you have the liberty to cancel this mandate at any given moment. You can just get in touch with your bank and complete this process. Contrarily, an organisation can also cancel it, if required, by submitting a form with respective banks.

The e-Mandate eligibility parameters include the following –

• You should have a valid Aadhaar card, and your bank account and Aadhaar card must be linked for this purpose
• The financial institution in contention here must be registered to offer NACH services

The documents required for setting up an e-Mandate are –

• A duly filled e-Mandate form, which is available online these days
• A valid Aadhar card
• A bank account
• A registered and working mobile number linked to your bank account and Aadhaar card

Alongside learning the eligibility and documents, you should also understand the reasons behind the rejection of an e Mandate request. Here are the details

• If your bank does not provide a NACH service
• If you enter incorrect bank account details
• If you provide the wrong folio number or associated information

An e-Mandate process also has two classifications that allow it to work both ways. Here are the particulars –

1. Debit mandate

After its approval, this mandate will allow banks to debit the required amount from your account periodically for various payments. For instance, if you have started a monthly SIP of Rs. 1,000, in that case, the bank will deduct this amount every month for this investment purpose. Thus, your chances of missing out on payments reduce.

2. Credit mandate

Like the debit mandate, a credit mandate will ensure that you receive all your payments on time and automatically.

Registering and approving an e-Mandate lets you skip the headache of remembering each payment and avoid late fee-related issues. However, before approving, one goes through the terms and conditions to make a better decision.

For any inquiries regarding e-Mandate, feel free to contact customer care. Dial the Bajaj Finance customer care number to speak with a representative who will assist you promptly.

E-mandates, or electronic mandates, facilitate the automatic and recurring transfer of funds from a customer's bank account to a service provider or lender, authorised through digital consent. When setting up an e-mandate, customers authenticate the process using internet banking or debit card details, often with additional security steps such as OTP (One-Time Password) verification. Once authorised, the e-mandate enables regular payments without manual intervention, ensuring timely transactions for loans, subscriptions, or utility bills. E-mandates streamline payment processes, reduce administrative tasks, and minimise the risk of missed payments. They are governed by regulatory frameworks to ensure secure and transparent operations, enhancing customer convenience and financial management.

To set up an Electronic Mandate (E-mandate), you typically need several key documents. First, you will require a valid government-issued proof of identity, such as a passport, Aadhaar card, or driving licence. Additionally, proof of address, such as a utility bill, bank statement, or rent agreement, is necessary. You will also need your bank account details, including the account number and IFSC code, and access to your internet banking credentials or debit card information for authentication purposes. Some service providers may require a signed physical or digital mandate form. Ensure you have your mobile number and email address registered with your bank for OTP (One-Time Password) verification. These documents and details collectively enable secure and seamless setup of an e-mandate, facilitating automatic and recurring payments.