The Reserve Bank of India (RBI) has announced that there will not be any pre-debit notification on auto-replenishment of FASTag and NCMC, as and when the balance falls below the preset limit.
In its monetary policy meeting held in June 2024, the RBI announced the inclusion of recurring payments for Fastag, National Common Mobility Card (NCMC), etc. with auto-replenishment facility under the e-mandate framework.
The RBI circular dated August 22, 2024 said, “It has been decided to include auto-replenishment of FASTag and NCMC, as and when the balance falls below a threshold set by the customer, under the e-mandate framework. Payments for auto-replenishment, since they are recurring in nature but without any fixed periodicity, will be exempt from the requirement of pre-debit notification”
FASTags, NCMC payments to become easier: You don’t have to add money manually for each recharge
It means that incase such as FASTag and NCMC which are recurring in nature but without any fixed periodicity payments for auto-replenishment will be debited without any intimation from the bank.
As per the rule on the e-mandate framework prescribed, that the issuer should send a pre-debit notification to the customer at least 24 hours prior to the actual charge or debit to the account.
The RBI monetary policy statement on June 7, 2024: “It is now proposed to include payments, such as replenishment of balances in Fastag, NCMC, etc. which are recurring in nature but without any fixed periodicity, into the e-mandate framework. These categories of payments are made as and when needed and, therefore, their replenishment is not time specific or amount specific. Under the e-mandate framework, it is proposed to introduce an automatic replenishment facility for such payments. The automatic replenishment will be triggered when the balance in Fastag or NCMC falls below a threshold amount set by the customer.”
Pre-transaction notification
According to the RBI circular on Processing of e-mandate on cards for recurring transactions dated August 21, 2019, “As a risk mitigant and customer facilitation measure, the issuer shall send a pre-transaction notification to the cardholder, at least 24 hours prior to the actual charge / debit to the card. While registering e-mandate on the card, the cardholder shall be given facility to choose a mode among available options (SMS, email, etc.) for receiving the pre-transaction notification from the issuer in a clear, unambiguous manner and in an understandable language. The facility for changing this mode of receiving pre-transaction notification, shall also be provided to the cardholder.”
