Banks and payment operators have reported online payment frauds of Rs 1,750 crore in the seven months ended March 2023 even as online transactions picked up substantially in the last several months.
According to data available from the Reserve Bank of India, the fourth quarter ended March 2023 itself witnessed payment frauds of over Rs 800 crore under the new format of fraud reporting. While the month of March saw 2.25 lakh transactions involving Rs 333 crore payment frauds, comparable data for the same period in the previous year is not available. However, when compared to the volume of transactions involving internet and mobile apps, the fraud amount is not very significant but it shows the vulnerability in the system, payment sector officials said.
“The new format captures e-commerce transactions, transactions using FASTags, digital bill payments and card-to-card transfer through ATMs,” the RBI said. The data from November 2019 onwards for card payments (Debit and credit cards) and prepaid payment instruments (PPIs) may not be comparable with earlier months or periods, as more granular data is being published along with revision in data definitions, the RBI said.
Card…
