NACH & MMS (National Automated Clearing House & Mandate Management System)

  • NACH is the centralised web-based payment solution that helps the banks, corporate sectors, government and other financial institutions to handle bulk payments. High volume transactions such as dividend and salary pay by the corporate, subsidies and pensions payment by the government and such can be easily done through NACH. The system will also assist the financial institutions and corporate to receive high volume payments as well. High volume payments that consist of water, electricity, telephone bills, loan amounts, EMIs, mutual fund investments payments can be received through NACH solution.
  • The system is launched by National Payment Corporation of India, also known as NPCI. The solution will facilitate all kind of interbank, electronic transfers for bulk volume payments in easy ways.
  • Direct Benefit Transfer (DBT) under NACH transfers the subsidies (Ex. LPG subsidy payments, MGNREGA payments, Old age pension, Scholarship amount and other Government schemes subsidies) in a seamless timely manner and directly into beneficiary Account.
  • This is an upgraded version of Electronic Clearing System (ECS).
  • Mandate Management System – MMS allows banks to accept, digitize, process and send the mandate to other banks for acknowledging and registering customer instruction to debit his account with other bank through NACH.
  • Currently Puduvai Bharathiar Grama Bank functions as a Destination Bank under MMS i.e., handles all the inward Mandates received from other Financial Institutions.