The government intends to impose a minimum time for a transaction above a specific amount that occurs for the first time between two people to stop the increasing number of online payment fraud cases. Government officials informed The Indian Express that the plan probably includes a four-hour window for digital payments to be completed for any transactions over Rs 2,000 for the initial transaction between two individuals.
After opening a new UPI account, a user can currently transmit up to Rs 5000 in 24 hours. NEFT customers have a 24-hour window in which to transact up to Rs 50,000, which they may choose to do all at once or in installments. This is subject to account activation.
As per the RBI Annual Report 2022-23, banks experienced the highest number of fraudulent transactions in the digital payment category in the fiscal year 2022–2023. Thirteen,530 fraud instances for a total of Rs 30,252 crore were reported in the banking system in FY2023. Of these, 6,659 incidents, or nearly 49%, fell into the category of digital payments using cards or the Internet. The Indian Cyber Crime Coordination Centre (I4C) created the Citizen Financial Cyber Fraud Reporting and Management System (CFCFRMS), an online platform for the prompt reporting of financial cyber frauds and monetary losses. Since its launch in April 2021, the CFCFRMS has intercepted transactions totaling Rs 602 crore, according to a recent Financial Action Task Force (FATF) report on “Illicit Financial Flows From Cyber-enabled Fraud.”
The following advice can assist you in reducing the possibility of UPI fraud:
Keep Your UPI PIN Safe:
- Never offer your UPI PIN to family members or friends.
- Don’t use PINs that are very easy to figure out, like birthdays or simple sequences.
Watch Out for Phishing:
- Avoid falling for phishing scams that ask for your UPI details over the phone, via emails, or through SMS.
- Check the legitimacy of the correspondence before answering or opening any links.
Choose secure apps
- Use and download official UPI apps only from reliable stores like the Apple App Store or Google Play Store.
- To take advantage of the most recent security improvements, keep your UPI app updated.
Two-Step Verification
- When it’s feasible, turn on two-factor authentication to further secure your UPI transactions.
Verify Transactions Frequently
- To identify any unauthorized transactions, periodically review your UPI transaction history.
- Notify your bank right away if you see any unusual activity.
