4 Ways To Add Recurring Billing To Your Business Model

What do we mean by the recurring bill?

Recurring Bill is a type of payment system with the help of which the service providers or merchants can periodically and automatically deduct their payment for the kind of product and service the service providers or merchants are offering to their customers. To put it in more simple terms, with the help of this system, the service providers can easily deduct the money from the customer’s bank accounts during a regular interim period. For more information, you can visit

With the help of the Recurring bill system of business, especially the subscription-based business model, companies have encountered massive growth during these few years. By the end of the year 2022, it is expected that with the help of recurring bill systems, the software companies will generate 53 percent of their revenues. 

Types of recurring bill models available in India

The recurring bill model in India is further divided into three types in addition to one more. Let us gain more information about them in detail.

E-Mandate and National Automated Clearing House (NACH)

In order to reduce the inefficiencies of the Electronic Clearing House or ECS, which is another recurring bill model introduced by the Reserve Bank of India or RBI, the National Payments Corporation of India (NPCI) initiated the use of the National Automated Clearing House or NACH. With the help of this new system, the customers could use net banking and debit cards in order to authorize any recurring bill.

Although E-Mandate and NACH have the same principles and enable the payment of recurring bills, they are objectively different from each other. Also, you need to know that only individual banks can provide the service of E-Mandates. Currently, only a few banks in India can E-Mandate services.

Standing Instructions (Sis) on Debit and Credit Cards

With the help of Standing Instructions on Debit and Credit cards, the customers can instantly create mandates. But the upper limit of mandate in this system varies for each and every bank. The authentication process is also fairly simple, for which the customers only require a One Time Password and the information on the debit or credit card.

The holder of the debit or credit card is the only person who can authorize the payment using a two-factor authentication system or through a 3D secure flow. It is also crucial to remember that only a handful of banks can provide the Sis service to their customers.

Electronic Clearing House (ECS)

The Electronic Clearing House or ECS system, as mentioned earlier, was first introduced in India by the Reserve Bank of India in 1994. In this type of recurring bill, no upper cap exists. For the same reason, this type of recurring bill system can be used to process high-value transactions such as Insurance, Loans, SIP, etc.

But this type of recurring bill model is a bit old school because the customer will have to submit a physical form to a particular bank or a company. That is why it is a bit inefficient for the subscription-based businesses that require high efficiency and give priority to one’s time.

United Payment Interface or UPI Autopay

UPI, or United Payment Interface Autopay, is the latest module for the recurring bill. For the Indian customer, UPI has become the most preferred mode of payment because of its simple and easy-to-use process. Moreover, to authenticate a transaction, you would only require a UPI PIN. Because of UPI, multiple companies and those who are involved with SIPs, OTT, utility bills, and eCommerce have seen a massive rise in their business. 

If you are a business that runs on a subscription-based model, then you would require a proper and efficient recurring bill system for your customer. With the above-mentioned payment system details, you can choose the best one for you, and if you require an expert’s help, then you should consider contacting Cashfree. Cashfree is a payment solution platform that will be able to provide you with payment system-related assistance for your business and company.