Auto-debit rule change April 2026: Customers to receive alerts 24 hours before any automatic payment
April 22, 2026
Releasing its directions on 'Digital Payments – E-mandate framework, 2026', the RBI said that customers will now receive alerts at least 24 hours before any automatic payment is deducted from their accounts.
New Delhi: The Reserve Bank of India (RBI) has issued its latest guidelines on e-mandates in digital payments. The central bank has mandated that an additional factor of authentication (AFA) will be put in place to enhance the security of recurring transactions.
Releasing its directions on 'Digital Payments – E-mandate framework, 2026', the RBI said that customers will now receive alerts at least 24 hours before any automatic payment is deducted from their accounts.
The directions consolidate extant instructions on e-mandates as also incorporate a few minor changes based on feedback obtained from stakeholders. The directions come into effect immediately, RBI has said.
RBI pre-transaction notification
The central bank has issued 6 pointers on pre-transaction notification
(a) An issuer shall send a pre-transaction notification to the customer, at least 24 hours prior to the actual charge / debit.
(b) The pre-transaction notification shall, at the minimum, inform the customer about the merchant’s name, transaction amount, date / time of debit, reference number of e-mandate, reason for debit, i.e., e-mandate registered by the customer.
(c) The issuer shall provider a customer with a facility to opt-out of any particular transaction or the e-mandate. Any such opt-out shall be validated by the issuer using AFA. An intimation to this effect shall be sent to the customer.
(d) Pre-transaction notification is not required for e-mandates registered to auto-replenish balances of FASTag, and National Common Mobility Card (NCMC).
RBI Post-transaction notification
An issuer shall send a post-transaction notification to the customer. This notification shall, at the minimum, inform the customer about the merchant’s name, transaction amount, date and time of debit, reference number of transaction and e-mandate, reason for debit, i.e., e-mandate registered by the customer, and details on grievance redressal1.
The new norms are applicable to all payment system providers and participants handling auto-debit payments across cards, prepaid payment instruments, and the Unified Payments Interface (UPI), covering both domestic and cross-border transactions.
Releasing its directions on 'Digital Payments – E-mandate framework, 2026', the RBI said that customers will now receive alerts at least 24 hours before any automatic payment is deducted from their accounts.
The directions consolidate extant instructions on e-mandates as also incorporate a few minor changes based on feedback obtained from stakeholders. The directions come into effect immediately, RBI has said.
RBI pre-transaction notification
The central bank has issued 6 pointers on pre-transaction notification
(a) An issuer shall send a pre-transaction notification to the customer, at least 24 hours prior to the actual charge / debit.
(b) The pre-transaction notification shall, at the minimum, inform the customer about the merchant’s name, transaction amount, date / time of debit, reference number of e-mandate, reason for debit, i.e., e-mandate registered by the customer.
(c) The issuer shall provider a customer with a facility to opt-out of any particular transaction or the e-mandate. Any such opt-out shall be validated by the issuer using AFA. An intimation to this effect shall be sent to the customer.
(d) Pre-transaction notification is not required for e-mandates registered to auto-replenish balances of FASTag, and National Common Mobility Card (NCMC).
RBI Post-transaction notification
An issuer shall send a post-transaction notification to the customer. This notification shall, at the minimum, inform the customer about the merchant’s name, transaction amount, date and time of debit, reference number of transaction and e-mandate, reason for debit, i.e., e-mandate registered by the customer, and details on grievance redressal1.
The new norms are applicable to all payment system providers and participants handling auto-debit payments across cards, prepaid payment instruments, and the Unified Payments Interface (UPI), covering both domestic and cross-border transactions.