Money & Banking

Kotak Bank launches debit card-based e-mandate on NPCI’s API platform

Mumbai | Updated on April 22, 2019 Published on April 22, 2019

Kotak Mahindra Bank launches Debit Card-based electronic mandates on NPCI’s e-Mandate API platform. File Photo   -  Bloomberg

Becomes first Destination Bank to go live with Net Banking and Debit Card-based e-mandate authentication

Kotak Mahindra Bank has announced the launch of an industry-first debit card-based authentication solution on NPCI’s e-Mandate API platform.

Kotak becomes the first Destination Bank to go live with Net Banking and Debit Card-based e-mandate authentication, the bank said in a statement adding that the capability will enable its customers to create electronic mandates (similar to the erstwhile eNACH with Aadhaar + OTP) via both the Debit Card and Net Banking channels.

This allows Kotak to go live as a sponsor or acquirer bank for corporates and merchants seeking recurring payments.

Deepak Sharma, Chief Digital Officer, Kotak Mahindra Bank said, “API based e-mandates are consumer-friendly, fast, frictionless and paperless. With the introduction of debit card-led authentication to the existing net banking route, we continue to make life simpler and easier for our customers.”

In a first-of-its-kind initiative in the industry, customers can register both physical and e-mandates on a single platform with validation on the mandate fields to remove rejections on account of various reasons. E-Mandates have a number of advantages over physical mandates, most notably in terms of security, costing, operational efficiency and turnaround time, Shekhar Bhandari, Senior EVP and Business Head - Global Transaction Services, Kotak Mahindra Bank said.

Published on April 22, 2019
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