ECS mandate charges are fees that may be levied on participating banks for Electronic Clearing Service (ECS) transactions. ECS is an electronic method of payment used for recurring or periodic transactions, such as paying bills, loans, insurance premiums, and other recurring expenses. The following are some key points about ECS mandate charges:

• ECS mandate charges might be levied on participating banks. Banks from where the amount is getting debited need to pay a charge of 25 paise to the clearing house and 50 paise to the destination bank per transaction.
• Banks usually do not apply ECS mandate charges for debiting funds from the customers accounts.
• Banks do not levy ECS mandate charges while registering for it but can charge you for ECS sign verification charges.
• As a sponsor bank, ECS mandate charges would be ₹3.50 per entry (Minimum ₹1400/-) (ECS Debit) .
• The Reserve Bank of India (RBI) has deregulated the fees charged for ECS transactions. Bank branches cannot charge processing or service fees for debiting or crediting customers’ accounts. However, the sponsor banks or the clearing house must disclose the ECS charges, if any, transparently.
• Transactions done through the ECS mandate are free of charge, as instructed by the RBI. Sponsoring or beneficiary banks are not permitted to impose ECS mandate fees to their clients.

If transactions made under ECS mandate charges bounce, it is treated the same way as a cheque bounce case. If the transaction bounces due to inadequate funds in the account, there is a charge. If you face any issues related to ECS mandate charges, you can contact your bank or other institution to whom you have authorized the ECS mandate to withdraw the transaction process and ECS mandate charges.