New UPI AutoPay Rule: Changes for NETC FASTag and RuPay NCMC

The National Payments Corporation of India (NPCI) has announced significant updates regarding UPI AutoPay. Here’s what you need to know:

1️. Immediate Changes:

  • Auto-replenishment for NETC FASTag and RuPay NCMC can now occur without the 24-hour pre-debit notification.

2️. Official Announcement:

  • This update was communicated via a notification on September 23, 2024, indicating a shift in how these payments are processed.

3️. Regulatory Background:

  • The Reserve Bank of India (RBI) had previously set the foundation for this change in its “Statement on Developmental and Regulatory Policies” dated June 7, 2024, which facilitated an e-mandate framework for these auto-replenishments.

4️. Exemption Details:

  • The new rule specifies that payments related to auto-replenishments, given their recurring nature without fixed periodicity, will be exempt from the requirement of a pre-debit notification.

5️. Customer Notification:

  • In previous guidelines, banks were required to notify customers at least 24 hours before any debit. However, this is not applicable for the specified services under the new rule.

Stay updated on these changes to manage your payments effectively!