OTM stands for "One Time Mandate" in the context of mutual funds, specifically Systematic Investment Plans (SIPs) -meaning-in-mutual-funds). It is a one-time registration process where an investor authorizes their bank to execute debits to their bank account for future payments towards investing in a SIP portfolio-meaning-in-mutual-funds). Once an investor registers for OTM, they dont have to follow the payment process every time they invest in the SIP. The OTM facility is one of the most convenient facilities for investing in SIPs. It reduces the registration time compared to ECS, which is around 30 days. The OTM facility also facilitates future payments without any instrument (cheque or demand draft) . An OTM can be registered by an individual as well as a corporate. There is no limit for the OTM amount except that the total amount of various SIPs should not exceed the maximum limit amount for the OTM. An investor can register multiple bank OTMs in a single folio by submitting separate OTM forms for each of the banks. Any transaction under the OTM facility will be treated at par with similar transactions received through any other mode as per the SEBI Regulations on allotment of NAV.