UPI Fraud: How It Is Taking Place And How To Best Avoid It?

HDFC Bank in view of the increase in frauds via UPI or Unified payment interface has issued a warning and discussed on the modus operandi and how to best safeguard against it. For UPI transaction, all a customer need to do is to set up a UPI PIN and keying it will execute the transaction i.e. to say there is no additional layer of safety such as the receipt of OTP which is verified for carrying out the transaction.

UPI Fraud: How It Is Taking Place And How To Best Avoid It?

How UPI frauds are being carried out?

In carrying out UPI transaction, a customer does not need to enter credit card details and as the scamsters manage to get unauthorized access to user's mobile phone they manage to rob them off their money. One of the most commonly used ways of UPI fraud is by getting unauthorized remote access of user's phone which he or she may get after an individual downloads a certain app such as Teamviewer, Anydesk or any such similar app and once the user approves the use of this app by the outsider he may fall prey to this UPI fraud mess.

Also, the other functionality in the UPI system i.e. of 'Collect Request' is facilitating such frauds in increasing number. In it, fraudsters are making such request and if the user happens to unknowingly approve such a request then the funds get debited from the concerned person's account on an immediate basis. This is how it works as reported by the HDFC Bank " Send "Collect request" to your VPA and ask you to approve or authenticate it on the respective UPI apps to get reversal or refunds."

ICICI Bank is also alerting its customers saying that fraudsters are carrying out UPI scams by asking customers of their crucial bank debit card details, UPI passwords etc. And once they get hold of it, they can create a new VPA and set Mpin for carrying out the banking transaction.

What to do to prevent UPI related scams?

First and foremost refrain from sharing your mobile number over different social media platforms. Perhaps because it is from these channels that fraudsters extract your mobile number.

Also, if you still happen to receive SMS or phone call asking you to download some app or a link to some website, do not yield into such request as you unknowingly may be extending full control of your mobile device to the other person. So, better be safe amid all such chaos on different scams being reported across the country.

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