SBI Flags New UPI Fraud That Starts With A Small Deposit

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The State Bank of India (SBI) has cautioned customers about a growing digital fraud known as the “jumped deposit scam”, where cybercriminals use small bank transfers to trick people into authorising much larger payments.

Unlike conventional online scams that rely on stealing passwords or OTPs, this fraud exploits trust and human behaviour. Fraudsters begin by depositing a small sum into a victim’s bank account. Soon after, they contact the recipient, claiming the transfer was made by mistake and requesting that the money be returned.

The conversation is often designed to sound convincing. Scammers may portray themselves as distressed individuals dealing with an emergency, hoping to create sympathy and urgency. However, instead of asking victims to transfer the money back directly, they send a UPI collect request.

Many users mistakenly assume they are simply approving a refund. In reality, the request may be for a significantly higher amount. Once the victim enters their UPI PIN and approves the transaction, the money is debited from their account.

According to SBI, the success of such scams lies in social engineering rather than technological vulnerabilities. Fraudsters take advantage of people’s willingness to help and their tendency to act quickly without thoroughly reviewing transaction details.

To stay protected, customers should carefully verify any unexpected credit received in their account and avoid interacting with unknown callers demanding immediate refunds. Users are advised not to approve UPI collect requests from unfamiliar individuals and to scrutinise every payment notification before entering their PIN.

A simple rule can help prevent losses: a UPI PIN is generally required only when money is leaving an account. If a transaction prompts users to enter a PIN, they should pause and verify exactly what action is being authorised.

SBI has also urged customers to remain alert to suspicious calls and messages. Anyone who suspects fraudulent activity should immediately contact their bank, call the national cyber fraud helpline at 1930, or file a complaint through the National Cyber Crime Reporting Portal.

As digital payments become increasingly common, awareness remains one of the strongest safeguards against evolving financial scams.

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