Lost money via UPI, credit/debit cards, or ATM scams? Don’t panic, follow these steps

When you face unauthorised transactions on UPI, credit/debit cards, or ATM withdrawals, it is crucial to take immediate action. Unauthorised transactions can be stressful, whether a suspicious ATM withdrawal, an unknown online purchase, or a strange UPI transfer. But don’t panic! Here is expert advice to help you recover your funds and secure your accounts. 

A key component behind the rapid rise of UPI, card, and ATM scams in India is the art of social engineering — a crafty blend of psychological manipulation and technological trickery. Scammers play on the most basic human instincts: trust and urgency. They pose as credible entities, often mimicking official communication channels, to create legitimate scenarios. 

Vishal Salvi, Chief Executive Officer of Quick Heal Technologies Ltd, says, “For instance, in UPI scams, fraudsters might send a request for money transfer, masquerading as a known contact or a service provider, counting on you to act without thinking. With card scams, they might call posing as bank officials, claiming there is an issue with your account that needs immediate resolution, and in that high-pressure moment, they will coax out your card details. ATM scams are no different; in addition to proxy calls or vishing, fraudsters might install skimmers or illicit card and cash trapping devices along with a secret camera to capture your PIN and card details.” 

Caution and time is of the essence

Be cautious to stay safe from these fraudulent activities. Remember a bank official will never ask for your PIN or OTP. Most important, take your time. No matter how urgent the fraudsters make it sound, pause and think. Third, trust your instincts, if something feels off, it probably is. 

If you have been duped, act fast. Contact your bank or financial service provider to freeze your accounts and block your cards. 

Dhiren V Dedhia, Head – Enterprise Solutions of CrossFraud, said, “The first course of action is to immediately inform your bank or financial service provider about the fraudulent activity. It is crucial to do this quickly because the timing of your report can significantly affect your liability for the loss. For instance, if you report fraud within three days, you may not be held liable at all. After notifying your bank, you should file a formal complaint on the National Cybercrime Reporting Portal or dial the helpline number 1930. This step is important because it creates an official record of the incident, which can be useful in the investigation and any legal proceedings,” added Dedhia. 

If the fraud involves UPI transactions and the service provider is unresponsive, you can escalate the issue to the National Payments Corporation of India (NPCI) through their complaint portal. You can also approach the Banking Ombudsman or the Ombudsman for digital complaints if the issue remains unresolved for more than 30 days. 

Throughout the process, maintain detailed records of all your communications with the bank and authorities. Follow the correct reporting procedures to protect your rights and finances. 

Bhargav Errangi, Founder of POP, said, “The NPCI has introduced the Unified Dispute and Issue Resolution (UDIR) framework to streamline the resolution of such issues. UDIR is an automated, single-channel system designed to efficiently resolve disputes within the UPI ecosystem. This initiative underscores the NPCI’s commitment to enhancing customer experience and ensuring swift resolution of digital payment issues.” 

“Additionally, monitor your accounts regularly for any suspicious activity and consider implementing additional security measures, such as two-factor authentication and transaction alerts. Remember, staying vigilant and proactive is key to mitigating the impact of online frauds and protecting your financial assets,” said Cristina Costache, Global Data Protection Officer at Noventiq. 



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