Introduction
Registering mandates through API integration offers a streamlined process for businesses. This article explores what API mandates are, their significance, how they work, and the advantages they offer.
What is an API Mandate?
An API mandate facilitates Standing Instructions (SIs) submission using an Application Programming Interface (API). It allows businesses to transmit mandate-related data efficiently to the National Payments Corporation of India (NPCI) and the destination bank.
How to Register an API Mandate
- Corporate organization/Customers initiates the eMandate request through webpage provided by HashCode InfoTech.
- Customers verify mandate details and provide consent.
- Customers authenticate the mandate using Netbanking or debit card credentials.
- The bank approves or rejects the mandate.
Advantages of API Mandates
- Real-time Implementation: API mandates are registered instantly, enhancing efficiency.
- Easy to Use: Customers can authorize mandates using Netbanking credentials.
- Regulatory Certainty: API mandates offer clearer regulatory compliance compared to Aadhaar-based mandates.
- Higher Success Rate: API mandates boast a success rate of up to 95%, ensuring reliable payment collection.
Industries Benefitting from API Mandates
API mandates offer a swift and reliable solution for mandate registration, benefiting businesses across various industries. Some of the industries that can benefit from API mandates include:
- Banking and NBFCs: Streamlining payment processes and automating recurring transactions.
- Insurance Services: Automating policy payments for stability and convenience.
- Mutual Funds: Improving business efficiency through automated processes.
- Healthcare Sector: Facilitating EMI payments for medical expenses.
- OTT Platforms, Education Sector, and NGOs: Simplifying subscription payments, fee collection, and donations.
Conclusion
With their real-time implementation and higher success rates, API mandates pave the way for smoother payment workflows and enhanced customer experiences.
HashCode InfoTech provides an eNACH eMandate solution, ensuring compliance with NPCI standards. Businesses can automate recurring payments and validate API mandates seamlessly, reducing costs and turnaround time significantly.