Digital payments have made daily life far more convenient, from paying a vegetable vendor to splitting a dinner bill. Fraudsters have adapted too. Most payment frauds do not involve hacking your bank; they rely on tricking you into approving a payment or sharing information. Knowing the common tricks is your strongest defence.
The golden rule
You never need to enter your UPI PIN to receive money. A PIN is required only to send money or check your balance. If someone asks you to enter your PIN, scan a code or approve a request so that you can "receive" a refund, prize or payment, it is a scam.
Common scams to recognise
- Collect request fraud: you receive a payment request disguised as a refund or reward. Approving it sends money out of your account.
- QR code tricks: a buyer on a classifieds site sends a QR code saying it will pay you. Scanning it and entering your PIN pays them instead.
- Fake customer support: searching online for a helpline number can lead to fraudulent numbers. The "agent" asks you to install a screen-sharing app or share an OTP.
- Impersonation calls: callers claim to be from your bank, a courier company, a utility provider or a government agency and threaten disconnection, account blocking or legal action unless you act immediately.
- Fake job or investment offers: promises of easy income for liking videos or guaranteed high returns, beginning with small payouts to build trust before asking you to deposit larger sums.
- Phishing links: messages about KYC updates, reward points or parcel delivery with links to fake websites that capture card details or login credentials.
Warning signs
- Urgency or threats: "your account will be blocked today".
- Requests for OTP, PIN, CVV or passwords. Genuine bank staff never ask for these.
- Requests to install remote access or screen-sharing apps.
- Offers that sound too good to be true.
- Pressure to keep the conversation secret.
Everyday safety habits
- Check the payee name displayed before confirming any payment.
- Use official apps downloaded from trusted app stores and keep them updated.
- Find customer support numbers only from official websites or the back of your card.
- Set a lock on your phone and your payment apps.
- Turn on transaction alerts by SMS and email, and read them.
- Set sensible daily transaction limits where your bank allows it.
- Do not use public Wi-Fi for banking, and avoid clicking links in unsolicited messages.
Protect older family members
Parents and grandparents who are new to digital payments are frequent targets. Sit with them, explain the PIN rule in simple words, help them set lower transaction limits and ask them to call you before acting on any unexpected request involving money.
If you have been defrauded
Act quickly; speed improves the chance of recovery.
- Call your bank immediately to block the account, card or UPI access.
- Report the fraud on the national cybercrime reporting portal or its helpline.
- Note down transaction IDs, phone numbers, screenshots and times.
- File a written complaint with your bank and keep the acknowledgement.
- Change passwords and PINs for affected accounts.
Keep your phone and SIM secure
Fraudsters sometimes try to take over your mobile number to receive your OTPs. If your phone suddenly loses network for a long time without explanation, contact your mobile operator immediately. Use a SIM lock PIN where available, keep your phone's operating system updated and avoid installing apps from unknown sources.
Wrapping up
Payment frauds work by exploiting trust and urgency. Remember that a PIN is never needed to receive money, never share OTPs or install screen-sharing apps on request, verify before you pay and act fast if something goes wrong. A few seconds of caution can save a great deal of money and stress.
Note: This article is for general information only and is not financial advice.
