How to cancel or stop ECS NACH mandate?

ECS Nach Mandate is one of the finest online auto debit procedue India has adopted. However, once you give ECS NACH mandate, then you must also well in advance aware of the rules of how to cancel or stop ECS NACH mandate. Let us discuss on this subject in today’s post.

I have written a detailed posts about NACH mandate (You can refer it at “All about NACH (National Automated Clearing House)” and “Video Tutor-How to fill the NACH Application Form?“).

The major comments for those two posts were the the problems related on how to cancel or stop the ECS NACH mandate. Hence, I thought to write a separate post on this.

How does the ECS NACH system work?

Let me explain the same with below image for your simplicity.

NACH (National Automated Clearing House)

You can refer the below video of NPCI for the same.

You notice that here customer means you. NPCI (National Payments Corporation of India) is an organization, which meant to consolidate and integrate the multiple systems with varying service levels into nationwide uniform and standard business process for all retail payment systems. The other objective was to facilitate an affordable payment mechanism to benefit the common man across the country and help financial inclusion.

What is the difference between the ECS and NACH?

# In case of ECS, the process is manual. Hence, takes more time or verification issues. However, in NACH it is defined workflow, which reduces the time.

# In case of ECS, you will not get a unique mandate registration reference number. However, in NACH you get it and can be used for future reference.

# In case of ECS, the possibility of higher rejection ratio. But due to less paperwork in NACH, rejection ratio is less.

# Settlement of payment, usually takes 3-4 days in ECS. But in case of NACH it will be settled on the same day.

# There is no such dispute management system placed in ECS. However, in NACH it is well set and can be resolved issues easily.

# Registration of ECS usually takes around 30 days. But in NACH it is just 15 days.

Who are the participating banks?

These are the live banks for which NACH is mandatory to adopt from 1st May, 2016. All core banking enabled banks are soon going to be part of this facility. Currently, all major banks are part of this NACH.

Few other features of NACH facility are as below.

  • Your NACH may get rejected due to an incorrect bank account, folio number, or other incorrect details. It also gets rejected if the investor’s bank is not participating in NACH.
  • You can stop NACH at any point of time by submitting the cancellation form.
  • The default NACH mandate will be up to 31/12/2099.
  • You can mention the frequency, amount, and date of the last debit.  Also, can alter it at any point.
  • You can register as many NACH as possible. There is no such limit.

How to cancel or stop ECS NACH mandate?

Now you might have understood the concept of NACH and how it will work. Let us go further and try to understand the topic for which I am writing this post.

If we go by the RBI FAQs on NACH mandate, it is clearly mentioned as below:-

Can the mandate once given by a customer be withdrawn or stopped?

Ans : Yes. In case of any need to withdraw or stop a mandate the customer can do so by approaching the user institution to withdraw the mandate. The account holder / customer can also withdraw the mandate / debit instruction directly from his / her banker without involvement of the User institution. The withdrawal instructions of a customer in such cases would be treated equivalent to a ‘stop payment’ instruction in cheque clearing system. However, as a matter of best practice, the customer may also provide prior notice or intimation of mandate withdrawal to the ECS user institution well in time, so as to ensure that the input files submitted by the user institution does not include the ECS Debit details in respect of the withdrawn / stopped mandates, leading to avoidable returns/rejections etc.

RBI clearly mentioned that you can either approach your bank or to an insitution to whom you have given such ECS mandate ( mean to the lender of your bank, electricity board, water board, mutual fund company or any organization to whom you authoritzed to collect the money from your bank account).

Few Mutual Fund Companies, Banks or Stock Brokers offer you to cancel your ECS NACH mandate cancellation request online itself. However, there are many who not offer such facilities and it is a struggle for you to cancel your mandate. In such a situation, the best idea is to approach your bank and apply for NACH cancellation. Otherwise, a reversal of NACH mandate is nothing but a dishonor of payment and it may impact your credit score.

You can use the same NACH registration form to cancel the mandate. I have created a video on this. You can refer the same for further understanding of how to fill the NACH Form.

Conclusion:- NACH facility is a wonderful option for auto-debit of your payments or investments. However, knowing about how to cancel is also important before you give such a mandate to someone.

Refer to our latest posts:-

64 Responses

  1. Dear sir
    10-14 days before I am looking for EMI .i found beju’s app and done all the process for EMI and e-mandate registration done but they fraud with me they don’t give any money.i want to cancel that e-mandate registration.

  2. Good noon sir, Institution not responding properly and Bank Manager told if closed this account and open another one also debiting because of Aadhar based enabled Auto-debited.
    I’m confusing how to cancel this one Sir.
    Please confirm Sir, if any corporated bank not allowed auto debiting by customer request.

    1. Dear Prasad,
      NACH also linked to account but not just with Aadhaar. If bank account changes, then obiviously one can’t process.

  3. I taken Unacademy course 1,05000 is converted into emis. I requested for cancellation of my course but they are not cancelled and always doing emi are debited from account.
    Can I cancelle this ecs from my account.

    Already contact my Union Bank of India brach manager, he said not cancellation on back side need to go your institution & ask for cancellation. Please suggest how can I cancel eNACH auto debit

    1. Dear Prasad,
      Try to contact the organization at first. If nothing works, then the best and worst option also is closing the bank account.

      1. Good noon sir, Institution not responding properly and Bank Manager told if closed this account and open another one also debiting because of Aadhar based enabled Auto-debited.
        I’m confusing how to cancel this one Sir.
        Please confirm Sir, if any corporated bank not allowed auto debiting by customer request.

  4. Same problem i am also facing . I took a subscription plan from prep ladder. I have paid it’s four installment.As they auto debit my installment.But due to financial issues I want to discontinue the plan and stop auto debit facility of installment from my federal bank. How to do so. Please suggest

  5. Dear sir,

    I had submitted my kya documents to a car dealer. He misused it. I am getting regular messages regarding my loan is sanctioned. I spoke to him so many times regarding cancelation of my loan but no satisfactory answer is received from dealers side.
    I gutting regular messages from bank …security NACH mandate is sent to your bank . Mandate will be presented if EMI is not paid.
    Also received messages that auto loan is due on 5th of Aug this month.
    What can I do sir.
    I don’t fill any form, no signature, no token , no delivery of car , nothing.
    Please suggest me

  6. I taken byjus course 40000 is converted into emis. I requested for cancellation of my course but they are not cancelled and always doing emi are debited from account.
    Can I cancelle this ecs from my account

  7. Hello Sir. I took an admission in a institute to pursue a professional course . The course fees was 200000. I have paid 5000 as registration charges and rest of the amount they converted into emi 9091 with their financial partner Avanse. I had also signed a NACH agreement with them through Aadhar e sign from SBI bank account. first EMI had been deducted Now due to very financial crisis I have to discontinue this course and I have also informed my institute on the very first day. Now i don’t want to pay the EMI & i had not attend any single class from them.
    And i have also whaspp chat proof that i can cancel at any time. I have many time request them to cancel my NACM and stop the emi but they dont cancel the NACH. They said that NACH cant be canceled, they said that loan had been disbursed.

    can i cancel e nach through SBI bank itself or should i complaint in consumer forum against them.

  8. Sir I had taken loan from Mibikwik app, I returned entire amount back to them, but because of their system fault they continued to deduct my emi. One time they deducted but After that I stopped keeping required amount and complained to RBI ombudsman. However in mean time I received msgs from SBI bank that NACH dishonoured 3 times and my NACH facility is stopped. I want to know will it affect my bank account, will my sbi bank account be closed due to this??

  9. Hello Aadil,

    I had the same issue that happened with the citi bank. Call the customer care and inform them to cancel all the NACH/ECS debits happening in your account. They will immediately cancel them.

    After the confirmation, call the citi bank again and inform that you have received a message that the account will be closed in 45 days. They will give one time exception, and they will make you to say that there wont be any cheque bounces or NACH/ECS bounces in the future (they will record) and your account will have no problem.

  10. Sir
    I am a TV technician
    I have taken just dail as my leads provoder
    But these people are frauds
    Not providing proper jobs to me
    Now I want to stop the ECS or Its NACH
    Please suggest me how can I do this
    I am a cancer patient unnesserily they are presenting the NACH
    I work hard for my treatment
    Plz help

  11. In past 2/3 years I have had loans from different mobile apps and they have been cleared as those were short term loans. I have the same citibank account since 3 years and everything is registered on the same, & it’s my salary account as well. However there was a fraud that had happened during this period and my phone was hacked. Now I have received an email from my bank in 45 days my account may get closed due to ECS etc. I need some help here as it is my salary account and I cannot afford this as my company would not credit salary to any other account.
    Can someone please help on this matter?

  12. Hi. Team I have taken ECS/NACH loan for upsc course in byjus on monthly basis payment as auto debit but the byjus they made me a fake promise and did not gave me single day classes but they are taking money sa outo debit from my account. Please help me to cancel this as the byjus executive they refuse for cancellations of the course for which they are not providing to me

  13. Hi Team,

    I have tried for a loan from one APP where i have provided all the details and done with “ACH Debit mandate Register” with my HDFC Bank account but they didn’t gave any loan.

    So will they debit amount from my account..?? as they didnt gave any loan. So how can i de register it..?

    Please help me

  14. Hi Team,

    Today I got a debit msg from my bank account as a NACH transaction. I don’t know what is this and I don’t have any loan either. Please suggest what I can do.

  15. Hello Sir. I took an admission in a institute to persue a professional course . The course fees was 79000. I have paid 20000 as Down payment and rest of the amount of 59000 they converted into emi with their financial partner Eduvance. I had also signed a NACH agreement with them. Now due to very financial crisis I have to discontinue this course and I have also informed my institute on the very first day. Now i dont want to pay the emi as i am not doing the course, but I have daily received calls from eduvanz to pay the emi. I have many time request them to cancel my NACM and stoo the emi but they dont cancel the NACH. What I news to do as they are charged me to pay the emi. They said that NACH cant be canceled, i need to pay full amount to foreclose. Please help

    1. I got into the same situation with Byju’s subscription, 78000/-
      Paid 8000/- down payment, remaining 70k loan.

      They said you can cancel anytime and you won’t have to pay further monthly EMI’s.
      After one instalment, I want to cancel the subscription as it is not as promised while consolation.
      They came to home and made too many promises with 3-4 hrs discussion.

      Now they are calling daily for the EMI and not cancelling the ACH.
      Cheating is being by this brand now a days.

      Bank is saying they (Institution) can only cancel the ACH. Not sure what to do. Worst experience ever.

  16. Dear Sir, India bulls Dhani is deducting 500 from my account every month how to cancel ECS/Nach facility.I have taken loan from HDB bank.can one ECS or Nach be cancelled or both will be cancelled or should I close my bank account.thanks in advance

  17. I have a bike loan with bajaj finance.I wanted to stop NACH because they trigger the NACH whenever they want I checked sbi site for the cancellation but bajaj finance was not there as a corporate, kindly suggest what can I do now for NACH cancellation

  18. Dear Sir

    How can I cancel my e-mandate/NACH facility for my some personal loan lender. I am facing so many NACH debit return chages by my HDFC bank. Please guide me. Is it possible to do this from online netbanking facility. Till date I have charged 15000 from my bank. Please help

  19. Hello Sir,
    I have taken a policy from policy bazaar, they had scheduled auto debit from my bank account using net Banking. Immediately, I got to know that this is fraud. There was 30 days return in that policy but they are now fooling me and not cancelling my policy. My main concern is to cancel the auto debit scheduled and policy bazaar is saying we are not allowed to cancel auto debit. Also, bank customer care people are saying we can’t do anything.
    So what to do in this case? Please suggest.
    Thank you.
    And If somehow, I cancel auto debit with help of bank, can they reschedule it? ( This auto debit is not for loan, this is simple investment policy)

  20. Dear sir,
    I have applied a home loan in bajaj. After approval i have not taken the loan. But at the time of applications only the executive has taken my cheques . After two months i have charged Emi. But due to insufficient funds the emi got bounced . The collection agent called me n i have explained every thing that I have not taken any loan. That home loan they have cancelled from their end . But the insurance amount also the made ecs an amount of rs 332/- . The amount is being dedected from my account from last two years every month . Sir pls suggest me what to do

  21. Hi Mr Basavaraj,
    I had a NACH mandate with an NBFC from whom I had taken a loan. Due to Covid, I lost my job & hence approached my Bank & got the mandate cancelled. But inspite of that, the lender has once again activated the auto debit facility which is leading to returned ECS charges from my bank! I had clearly mentioned about my problem with the lender but they are not willing to co-operate! How do I go about resolving this issue? Thank you in advance.

  22. I want to stop payment by Nach Mandate made to Byjus,I contacted bank they are saying it can be done by Byjus only, Byjus had done fraud, they are not stopping g it. Can I close my bank.account or any other suggestion

  23. Dear Sir,
    As per kotm(nach mandate) an amount was withdrawn for 9000/- for units related to quant mutual fund . no units were supplied to me . on approach to the karvy mfs or quant mf only tickets were supplied . on complaint to SCORES both the complaints were disposed with intimation that reply submitted by the AMC . Are there any system to get my money back . pl help .

  24. Dear Sir,

    I was financed a two wheeler from bajaj auto finserv last one year where auto emi debited from bank but from 4 month they are collecting offline due to my ecs bounced. Can I cancel the ECS of Bajaj auto finance from online process and how? .

  25. Dear sir
    4-5 days before I am looking for loan.i found NIRA app and done all the process for loan and e-mandate registration done but they fraud with me they don’t give any money.i want to cancel that e-mandate registration please help

  26. Dear Sir,

    Can i cancel E NACH by online retail banking PNB.

    Can you advise where is option of cancel NACH ON PNB PORTAL?

  27. Sir, I want to cancel my IndiaMART e mandate subscription. How can I cancel it? Will I need IndiaMART’s permission for that? Kindly help me.

Leave a Reply

Your email address will not be published. Required fields are marked *

For Unbiased Advice Subscribe to our Fixed Fee Only Financial Planning Service

Recent Posts