1. Why am I being asked to set up Auto Debit for ₹15,000?
The auto debit mandate requires authorization for a maximum amount (₹15,000 in this case). This is a standard process to enable EMI collections in the future. It does not mean ₹15,000 will be debited immediately.
2. Will ₹15,000 be deducted from my account right now?
No. Nothing will be deducted at this stage. The auto debit setup is only a mandate authorization, not an actual debit transaction.
3. When will the auto debit actually happen?
Auto debit will only take place once your loan is approved, and only on your scheduled EMI due dates.
4. How much will be debited through Auto Pay?
Only the exact EMI amount as per your repayment schedule will be debited, never more. For example, if your EMI is ₹3,200, only ₹3,200 will be deducted on the due date.
5. Why does the mandate show ₹15,000 when my EMI is much less?
₹15,000 is the maximum limit authorization as per the e-NACH/e-mandate process. It is not the actual debit amount. The actual debit will always match your EMI.
6. What happens if my EMI is lower than ₹15,000?
Only the EMI amount will be debited. The higher limit is just a security buffer mandated by the bank/NACH system.
7. Can the lender take more than my EMI without informing me?
No. We are strictly authorized to debit only your EMI amount. No additional charges or amounts will be debited without prior communication and your consent.
8. Do I need to set up Auto Debit to get the loan?
Yes, setting up Auto Debit (e-mandate) is a mandatory step for loan disbursal to ensure smooth EMI repayments.
9. What if I don’t want to set up Auto Debit?
Without Auto Debit, the loan cannot be processed as per the standard process. It is a compliance requirement for timely EMI payments.
10. What if my bank balance is insufficient on the EMI due date?
If the balance is insufficient, the auto debit will fail, and penalty charges may apply as per loan terms. It may also impact your credit score.
11. Can I pay manually instead of Auto Debit?
No, auto debit is a compulsory repayment method. However, you can prepay or make manual payments in advance, but the mandate will still remain active for scheduled EMIs.
12. Is my bank account information safe?
Yes, your details are encrypted and processed securely through NPCI’s NACH/e-Mandate system, which is regulated by RBI.
13. Will I be informed before each Auto Debit?
Yes, you will receive reminders/notifications of your EMI due date before the debit happens.
14. Can I change the bank account registered for Auto Debit?
Yes, you can request to update/change your repayment bank account, but you will need to set up a fresh auto debit mandate.
15. Is there any charge for setting up Auto Debit?
No, setting up Auto Debit is free of cost. However, failed debits due to insufficient funds may attract penalty charges from your bank and lender.