What is NACH?

NACH is a centralized Electronic Clearing Service (ECS) system operated by the National Payments Corporation of India (NPCI). It consolidates multiple ECS systems across the country into one, to facilitate inter-bank, high-volume debit/credit transactions in an electronic mode. The system also identifies destination accounts using Aadhaar numbers through APBS (Aadhaar Payments Bridge System), and is the most prominent mode for Direct Benefit Transfer (DBT).

Features and Benefits

• Through NACH – Credit, one-to-many credit transfers like payment of dividends, interest, salary, pension, distribution of subsidies, etc.
• Through NACH – Debit, operates to collect transactions from many accounts to one destination account, such as the collection of utility bills (Telephone Bill, Electricity Bill, Water Bill, Gas, Insurance Premium, etc.).
• Customers with a loan account at our bank but maintaining a salary account with another bank can easily remit regular installments automatically without any extra effort.

How it Works?

• Customers with an operative or salary account in another bank but wish to transfer funds to any account with our bank on a regular interval can submit a mandate to us.
• We will send your digitized mandate to the other bank for acknowledgment.
• Once the mandate is acknowledged by the other bank, it will claim and credit the specified amount to your account with Kanakamahalakshmi Bank at the prescribed interval as shown in your mandate.