NACH/Debit Mandate

#1
I am looking to open an account with one broker who is asking for a Debit/NACH Mandate of Rs. 5 lakhs. It basically means they can debit my bank account for upto Rs. 5 lakhs any time. I asked their RM reason for this and he said its so that the amount can be credited back to account after quarterly settlement. Found it strange since have not heard any other broker asking for such a mandate. Looking for some feedback on this. Does any other broker ask for such a mandate? Is there anything fishy here?

Thanks.
 

monkeybusiness

Well-Known Member
#2
I am looking to open an account with one broker who is asking for a Debit/NACH Mandate of Rs. 5 lakhs. It basically means they can debit my bank account for upto Rs. 5 lakhs any time. I asked their RM reason for this and he said its so that the amount can be credited back to account after quarterly settlement. Found it strange since have not heard any other broker asking for such a mandate. Looking for some feedback on this. Does any other broker ask for such a mandate? Is there anything fishy here?

Thanks.
Seems like fish in kali daal.
Open account with some reputed broker.
 

Tejas Khoday

Co-Founder & CEO, FYERS
#4
I am looking to open an account with one broker who is asking for a Debit/NACH Mandate of Rs. 5 lakhs. It basically means they can debit my bank account for upto Rs. 5 lakhs any time. I asked their RM reason for this and he said its so that the amount can be credited back to account after quarterly settlement. Found it strange since have not heard any other broker asking for such a mandate. Looking for some feedback on this. Does any other broker ask for such a mandate? Is there anything fishy here?

Thanks.
I know it's crazy to put a 5 lakh limit just to collect charges from your account. I totally understand how you feel about it. In our case, we deal with IL&FS for demat services and initially they had a NACH mandate of ₹1,00,000/- (One lakh rupees) just to collect AMC charges. Upon our repeated follow-ups, we managed to convince them and reduce the NACH mandate amount by 90% to ₹10,000 only. But still, many feel it's high.
 

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