New auto-debit rule causing chaos? UPI to the rescue for all your auto-debit woes

With the RBI's new norms kicking in from October 1, customer had to redesign the way they made regular payments. But giving a big relief is the UPI system which are now providing Auto-Pay facility as well for payments upto Rs 5000 after which a UPI Pin will be required to.

As per details shared by the National Payments Corporation of India (NPCI), here's a step-by-step guide on how to setup BHIM UPI Auto-Pay facility to make recurring payments-

• A UPI-enabled application would have a ‘Mandate’ section, through which customers can create, modify, pause as well as revoke auto-debit mandate.
• Customers can set mandates for one-time, daily, weekly, fortnightly, monthly, bi-monthly, quarterly, half-yearly, and yearly time periods.
• Customers will be required to authenticate their account through UPI PIN one-time and subsequent monthly payments would be debited automatically
• Next users should add name of the merchant and select auto debit date and then finally click on ‘Proceed’.

Under the facility, the users of this UPI app will be able make recurring payments such as mobile bills, electricity bills, EMI payments, OTT subscriptions, insurance premium, school fee, mutual funds/SIPs etc. Most major banks, merchants, aggregators are live with the UPI Auto-Pay Facility.