How to avoid payment fraud?

Avoid using public Wi-Fi for online transactions.

To protect yourself from online payment fraud, follow security tips and be vigilant when making online transactions.

Fraudsters try to get sensitive details like debit/credit card details like user ID, login/transaction password, OTP (one time password), PIN, CVV, expiry date and other personal information.

Some of the typical tricks used by scammers are:

Wish – Enticing customers to share confidential details under the pretext of KYC-updating, unblocking account / SIM card, accounting for debited amount, etc. .

Phishing – Fraudulent emails or SMS to trick customers into thinking the communication is from their bank/e-wallet provider and contains links to receive confidential information. Scammers send fake emails, messages or calls to obtain personal and financial information, such as passwords, PINs and bank account details, which can be used to steal money.

Remote access – By getting customers to download an app on their mobile phone/computer that can access all customer data on that customer’s device.

Abuse ability to ‘demand collect’ UPI by sending fake payment requests with messages like ‘Enter UPI PIN’ to withdraw money.

False numbers of banks / e-wallet providers displayed on web pages / social networks and search engines, etc.

Identity Theft: Criminals steal someone’s identity and use it to create fake accounts, make purchases, and get credit.

SIM Swap Scam: Fraudsters contact the victim’s telecommunications provider, pose as the victim, and block or replace the SIM card with another device. They then use the victim’s phone number to access their bank account and make transactions.

Fraud in the online store: Fraudulent sellers on e-commerce platforms often trick customers into buying fake or undelivered products, leading to financial loss.

Payment gateway fraud: Fraudsters create fake payment gateway pages or copy the original page to obtain the customer’s financial information during the transaction process.

To protect yourself from online payment fraud, follow security tips and be vigilant when making online transactions. Always verify the authenticity of a website or service provider before entering any personal or financial information. If you are a victim of online payment fraud, report it immediately to the relevant authorities (your bank, the police, etc.).

According to RBI’s guidelines on safe digital banking practices, you can do the following to protect your money from fraud;

  • Do not share your account details like Account Number, Login ID, Password, PIN, UPI-PIN, OTP, ATM / Debit Card / Credit Card details with anyone, even.
    With bank officials, no matter how genuine they may seem.
  • Any phone call/email threatening to block your account on the pretext of not updating KYC and offering to click on a link to update it is a common scam operation. Do not respond to offers for KYC renewal / acceleration. Always visit the official website of the bank / NBFC / e-wallet provider or contact the branch.
  • Do not download unknown apps to your phone/device. The app can access your sensitive data confidentially.
  • Cashout transactions do not require scanning barcodes/QR codes or entering MPIN. So be careful if asked.
  • Always visit the official website of the bank / NBFC / e-wallet provider for contact details. Contact numbers on Internet search engines may be fake.
  • Check URLs and domain names received in emails/SMS messages for spelling errors. For online banking, use only verified, secure and trusted websites/apps, i.e. websites starting with ”https”. In case of suspicion, immediately inform your local police/cybercrime unit.
  • If you receive an OTP to debit your account for a transaction you did not initiate, inform your bank/e-wallet provider immediately. If you receive a debit SMS for an incomplete transaction, immediately inform your bank/e-wallet provider and block all debit modes including UPI. If you suspect any fraudulent activity in your account, please check if there is any addition to the beneficiary list enabled for internet/mobile banking.
  • Do not share the email password associated with your bank/e-wallet account. You don’t have shared passwords for e-commerce/social media sites and your bank account/email linked to your bank account. Avoid banking through public, open or free networks.
  • Do not set your email password as “password” when registering on any website/app with your email as your user ID. The password used to access email must be unique, especially if associated with your account, and must be used only for accessing email and not for accessing any other website/application.
  • Don’t be fooled by advice to deposit money on your behalf with RBI for foreign remittances, commission or lottery winnings.
  • Check email and phone messages regularly for alerts from your financial service provider. Report any unauthorized transaction to your bank/NBFC/service provider immediately to block the card/account/wallet so as to avoid any further losses.
  • Protect your cards and set daily transaction limits. You can also set restrictions and enable/disable for domestic/international use. This can limit the damage caused by fraud.

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