The Reserve Bank of India (RBI) has introduced new rules to make recurring digital payments safer.
Under the updated e-mandate framework for 2026, an extra layer of security—called Additional Factor of Authentication (AFA)—will now be required for auto-debit transactions.
The goal is simple: give users more control and reduce the risk of unauthorized deductions.
You’ll Now Get Alerts Before Money Is Deducted
One of the biggest changes is advance notification.
Banks and payment providers must now inform customers at least 24 hours before any automatic payment is deducted.
These alerts will include:
Merchant name
Transaction amount
Date and time of debit
Reference number
Reason for payment
This ensures you always know what’s about to be charged from your account.
Option to Cancel or Opt Out Anytime
The new rules also give users more flexibility.
If you don’t want a particular payment to go through, you can opt out before the transaction happens.
However, this cancellation will require authentication (AFA) to confirm it’s really you making the request.
Once done, you’ll receive a confirmation message.
Some Payments Are Exempt
Not all auto-debits will need advance alerts.
The RBI has exempted certain use cases like:
FASTag auto-recharge
National Common Mobility Card (NCMC) top-ups
These are considered low-risk and essential for smooth daily travel.
You’ll Also Get Confirmation After Payment
After the transaction is completed, you will receive a post-transaction alert.
This message will include:
Merchant details
Amount deducted
Date and time
Transaction and mandate reference
Grievance redressal details
This helps you track payments and report issues quickly if needed.
Who Will These Rules Apply To?
The new guidelines apply to all payment systems handling auto-debits.
This includes:
Debit and credit cards
Prepaid payment instruments
Unified Payments Interface (UPI)
They cover both domestic and international transactions.
Final Take
The RBI’s new e-mandate rules focus on transparency and user control.
With advance alerts, easy opt-out options, and stronger security checks, users can better manage their recurring payments.
For anyone using subscriptions or auto-debit services, this update adds an important layer of safety and awareness.
