NACH FAQs

National Automated Clearing House (NACH) implemented by NPCI for Banks, Financial Institutions, Corporates and Government to facilitate interbank, high volume, electronic transactions which are repetitive and periodic in nature.

NACH Mandate is an authorization that consumers provide to Institutions for reparative Credit or Debit funds to/from their account. The centralized mandate validation service offered by NPCI ensures that every NACH debit transaction is validated at NPCI against the mandate information and only successfully validated transactions are forwarded to the customer’s bank for debiting his account

Mandate can be registered with a scanned image of the mandate document signed by the customer or self-authenticating using E-Mandate.

NPCI has introduced e-mandate, a process which will allow the bank customers to self-approve a mandate electronically using net banking/debit card/Aadhaar.

Maximum amount can be set under each type of mandate are below

• Paper mandate -1 Core
• API E-Mandate using Net Banking/Debit Card– 10 Lakhs

eSign Mandate using Aadhaar – 1 Lakh

UMRN is a Unique Mandate Reference number allocated to each new mandate created in NACH Debit. It is auto generated by the NACH system during mandate creation. UMRN is mandatory for every transaction and even during mandate amendment and cancellation.

E-Mandate based on Net Banking/Debit Card happens instantly. TAT for Aadhaar based eSign Mandates is 2 days and paper mandates is 7 days.

Corporate can initiate the mandate into Paycorp

• Capture mandate at Paycorp using a login credentials
• Upload mandates information to Paycorp using a CSV file
• Integrate to Paycorp using API

Paycorp sends email/SMS to customer to authenticate the mandate by clicking the shortened URL specified in it. Customer can proceed with Net Banking/Debit Card/Aadhaar option for authentication from anywhere to register the mandate.

Corporate can initiate the mandate amendment request from Paycorp, then the request will be submitted to sponsor bank for processing it.

Customer can initiate the request to cancel the mandate from Paycorp.

Customer can stop a mandate from collecting payment for a defined period. Customer can revoke the stop enabled on the mandate to activate payment collection.

Corporate needs to submit the ACH Debit payment file through their sponsor bank. ACH debit instruction must be valid with the mandate registered already.

Paycorp can initiate ACH Debit request file automatically for mandate registered with a fixed amount. This file will be submitted to NPCI through the sponsor bank for processing, and the amount to corporate’s account after the payment is settled with customer’s bank.

If mandate is registered with variable amount (“Up to a maximum amount”), corporate needs to submit collection demand detail file to Paycorp to generate the ACH Debit file.

Yes, Rich set of APIs are available for corporates to integrate their core system – LMS/CRM etc. to integrate with Paycorp.