RBI issues e-mandate framework for digital payments

Current Context: RBI issued the consolidated Digital Payments – E-Mandate Framework, 2026 on April 21, 2026, merging earlier guidelines for recurring transactions across Cards, UPI, and PPIs (domestic + cross-border).

• Recurring payments up to ₹15,000 can now be processed automatically without OTP/AFA, making routine bill payments and subscriptions frictionless.
• For insurance premiums, mutual fund SIPs, and credit card bills, the OTP-free limit is raised to ₹1 lakh, recognizing these as essential financial commitments.
• Customers complete a one-time registration with OTP/AFA, after which mandates run seamlessly; they retain full rights to pause, modify, cancel, or set spending caps.
• RBI mandates 24-hour pre-debit alerts with merchant, amount, and date, plus post-debit confirmations including grievance redressal details.
• The framework balances convenience with security, introducing velocity checks to prevent misuse and ensuring transparency through mandatory notifications.

Question:

Q.1 Under the RBI E-Mandate Framework 2026, recurring payments up to what amount can be processed automatically without OTP/AFA?
a) ₹5,000
b) ₹10,000
c) ₹15,000
d) ₹25,000

Answer: c) Routine recurring payments such as subscriptions and utility bills up to ₹15,000 can now be processed automatically without requiring OTP or Additional Factor of Authentication (AFA).