The mythological belief associated with Manarcad Sri Bhagavathy Temple is:

      Once upon a time, there lived a pious Brahmin in Thanniyil Ellam in the place named Elambanakkadu. He was a great devotee of Kodugalloor Amma. Once in every month, he used to visit Kodugalloor Temple for prayers. Once during his usual visit, he prayed to Kodugalloor Amma “Due to my old age and failing health, I may not be able to come again to Kodungalloor Temple to worship. So, Amma please help me to continue my devotion towards you”.
That day night Amma gave told him in a dream “When you wake up, you will find a Kuda (traditional umbrella) near you. You go home with that and I will be with that Kuda. You will never again need to come to Kodugalloor to worship me.
When the Brahmin woke up, he found the Kuda near him and as directed by Amma, he went home with that. When he reached near Elambanakkadu, he broke his journey to take some rest placing the Kuda on the ground. But after taking rest, he was not able to lift the Kuda. He met the local ruler and informed the matter. An Astrologer was summoned and he detected the holy presence of Kodugalloor Amma. The Brahmin again got Amma’s direction in his dream – to build a Bhagavathy Temple in the nearby Choorakkadu (bamboo forest) which was the abode of a Nagarajan (Snake God). Thus the Bhagavathy Temple was built with popular support.
During that time, a Yakshi (Demon) named Elambi was creating problems in that area. Amma killed Elambi and her cronies. Elambi’s Mani (bell) was thrown southwards in the area. Since the Mani was thrown, Elambanakkadu came to be known as Maniyerkadu – later became Manarcad.