@fire23 @Mub we are working on this facility and shall be avaibale on Console. As of now, you can set up a quarterly instruction using a NACH to fund your account for AMC, like set up a nAch and mention debit date near to the quarterly AMC date. Meanwhile, we are workign on UPI Autopay and that will be the simplest solution to this, we shall give an update soon on this as this is WIP.
Mandates have been upgraded to one crore now.
Effectively allowing one crore withdrawal without any OTP or authorisation?
I do not understand how you guys just throw around such numbers on these apps without thinking 100 times.
For my 1000 sip I have to allow you to withdraw 1 crore, and then trust your pinky promise that you won’t.
1 lakh (although still huge, was atleast not that big in the grand scheme of things).
I don’t understand why you guys don’t let me set the mandate amount, and let me bear any charges associated with changing it later if I want to do the same.
The stress of having such a thing link this linked to your savings account is unimaginable for me.
1 crore, just repeating it again. Like some 100 rupee UPI payment you are enabling it.
The system will take whatever you or ICCL tell it to. It’s your/their server lmao.
Please atleast discuss setting 1 lakh mandate instead of this huge 1 crore figure
I don’t recieve any emails or SMS before a mandate is taking place. Only debit instructions after it
Hey @Neelesh
I was going through this circular by the RBI.
It seems to be the latest on this matter since it was issued in Dec 2023.
It states that mandates upto 1 lakh will be allowed for mutual funds without any additional factor of authentication (AFA). This was increased from 15k.
How is Zerodha (and BSE StarMF by extension) able to deduct upto 1 crore then? Does that require AFA?
This circular pertains to UPI autopay mandates; Zerodha currently offers a NACH mandate. Hence we can offer debit up to 1 cr.
Discourse has messed up the link, so maybe you are not able to read the circular. It is linking main page instead of circular. I can see that e-mandate and mandate on card is also mentioned. NACH e mandate is the same right?
https://rbi.org.in//Scripts/NotificationUser.aspx?Id=12570&Mode=0
" in terms of which relaxation in Additional Factor of Authentication (AFA) was permitted while processing e-mandates / standing instructions on cards, Prepaid Payment Instruments and Unified Payments Interface, for subsequent recurring transactions with values up to ₹15,000/-, subject to conditions listed therein."
…
"decided to increase the limit from ₹15,000/- to ₹1,00,000/- per transaction for the following categories: (a) subscription to mutual funds, "
On the NPCI site too, only physical mandate is allowed for 1 crore. Is the site outdated? I’m quite curious of how Zerodha is able to implement such a thing fully online.
NPCI had issued this circular on 21 July 2023 announcing the increase in eNACH limits in two phases. Here is the extract from the circular that talks about the limit increase:
The FAQ section on NPCI’s website seems yet to be updated.
Thanks for the quick response. And all of this is without AFA or does the 1,00,000 without AFA limit still apply here?
The AFA (Additional Factor Authentication) requirement is for UPI mandates. The limit for UPI mandates was enhanced from Rs. 15,000 to Rs. 1,00,000 for mutual fund transactions. However, eNACH mandates are where you authenticate your mandate during a one-time registration process with your Netbanking or Debit Card credentials. These are two separate products.
AFA does not apply to eNACH mandates.
Is eNACH mandate different from e-mandate? The screenshot you posted is mentioning e-mandate too.
The circular I linked here mentions e-mandate. It mentions the non-AFA limit a 1L.
It does not mention it being applicable to UPI only, and mentions all kinds of mandates.
Thanks for patiently answering my queries.
The easiest way to understand this, at least for me is to forget all the names and think about how you are authenticating the mandate.
- If you authenticate with UPI - Max limit is 1 lakhs right now for designated use cases (including mutual funds). If the amount is higher, for each mandate pull, UPI pin has to be entered - i.e. AFA.
- If you authenticate with Netbanking/DebitCards - Max limit is 1 crore. No AFA.
I am asking how is Zerodha bypassing the last circular I mentioned, and whether it is applicable to Zerodha or not.
Any date on when I can setup UPI mandate? I am not comfortable with the 1 crore mandate as of now, so asking so many questions
And based on my experience, I have not received any email/SMS before mandate debit from ICCL or Zerodha. It was always after
We are close to making UPI mandates available - the one where the limit is Rs. 1 lakh. Currently, only eNACH is available with us. The circular you shared does not apply to eNACH.
Thank you
I would rather take the Mandate route once you configure its very seamless. UPI Autopay will contribute to the UPI Daily limit… Small hassle
Oh f, did not know that.
I am a bit concerned about high mandate amounts such as 1 crore, only reason for hesitation.
Hi Neelesh, Any update on support for AMC SIPs greater than 1L?
thanks