The Reserve Bank of India (RBI) has made a major change in the rules related to auto debit payments. These new rules will now give customers more control over their transactions. RBI has issued a new e-mandate framework (Digital Payment e-Mandate Framework 2026) for digital payments. According to this, OTP will no longer be required for transactions up to ₹15,000. That is, now OTP has been made necessary only for auto-payments of more than ₹15,000. RBI's main objective is to make high value transactions more secure.

According to new RBI regulations, an Additional Factor of Authentication (AFA), or OTP, will now be required for regular transactions. The RBI has taken this important step to prevent digital fraud. If money is being automatically deducted from your account every month for insurance premiums, electricity bills, mutual fund (SIP), or OTT subscriptions, this e-mandate rule from the RBI is very important for you.

RBI UPI Rules

According to the new rules, if the auto-debit transaction exceeds ₹15,000, an OTP or other verification is required. This means that for regular transactions involving large amounts, not only will auto-debit not work, but the customer will also need to approve the transaction. In contrast, payments up to ₹15,000 will not require a new OTP each time.

According to media reports, customers will not be charged any extra fee for using the e-mandate facility. Furthermore, the RBI has required banks to clearly state all terms and conditions when registering for this facility. This change will give customers greater control over their money. Once registered, amounts within a specified limit will be automatically debited; however, transactions exceeding this limit will require additional verification.

PC: SaamTV