In today’s digital world, banking has seen a tremendous transformation. Digital payments have made it easy for customers to transfer money instantly without having to visit the bank branch. But this has also led to an increase in the number of transactions an account witnesses during a day, a week or a month. In this sea of transactions, it sometimes becomes difficult to remember one particular debit from your bank account. It could be a debit you never authorised, an ATM withdrawal you did not make, or a digital payment where your account was debited but the money did not reach the recipient.
NPCI says fraudulent, unidentified or unauthorised UPI transactions should be reported to the respective bank. The important point is that not every failed or unfamiliar transaction means your money is lost. The Reserve Bank of India (RBI) has prescribed customer-protection measures and timelines for such situations. Here are seven bank transactions you should never simply ignore, and what you can do if you spot them. An unauthorised debit from your account: Sometimes, a quick look at your bank statement can reveal a transaction that needs immediate attention. RBI requires banks to provide customers with 24×7 channels for reporting unauthorised electronic transactions. In certain cases involving a third-party breach, customers can have zero liability if they notify the bank within four to seven working days of receiving the bank’s communication about the transaction. The applicable liability can be different if the customer has shared payment credentials or has otherwise been negligent. In such cases, contact your bank immediately through its official fraud-reporting channel and block the affected payment instrument where necessary. A UPI transaction you don’t recognise: UPI payments are instant, so an unfamiliar transaction should not be left unchecked. Customers can also raise complaints through the relevant UPI app or NPCI’s complaint mechanism. Check the transaction history, note the transaction reference number and report it to your bank. An ATM withdrawal you did not make: An unexpected cash withdrawal can be a sign that your card or account credentials have been compromised. If you did not make the withdrawal, report it to your bank immediately. RBI’s customer-protection framework covers unauthorised electronic banking transactions and requires banks to provide mechanisms for customers to report them. It is extremely important to report the transaction to the bank, block the card if required and preserve the transaction details for the complaint. Your account was debited but the ATM gave you no cash: This is one situation where customers should know the RBI-prescribed deadline . What to do: Report the failed ATM transaction to the card-issuing bank or the bank operating the ATM. Keep the transaction details until the money is credited back. Your account was debited, but a UPI transfer never reached the recipient: There can be instances where the sender’s account is debited but the beneficiary does not receive the money. What to do: Check the transaction status in your UPI app and contact your bank if the money has not been reversed within the prescribed timeline. A UPI merchant payment was debited but the merchant did not receive confirmation: This is different from a person-to-person transfer. Remember that you don’t have to make the payment repeatedly, check the status of the original transaction first. Save the transaction reference and contact your bank or the payment app if the amount remains debited. A recurring debit you did not expect: Subscriptions, bills and other recurring payments can be processed through e-mandates. If you see an unexpected recurring debit, check which mandate authorised it and whether it is still active. There are specific exemptions, including auto-replenishment of FASTag and NCMC balances covered by the framework. What to do: Check your active mandates with your bank or payment provider and cancel any mandate you no longer need. If a debit is unauthorised, report it to the bank rather than treating it as a routine subscription charge. Customers should first raise the complaint with their bank or the relevant regulated entity and retain the complaint reference number and transaction details. For eligible complaints that remain unresolved even after following the grievance-redress process, customers can approach the RBI Integrated Ombudsman mechanism . But ignoring it can delay the process of getting the issue corrected. Checking your bank statement regularly and reporting suspicious or failed transactions promptly can help protect your account and ensure that applicable RBI timelines are followed.
Because the beneficiary account is not credited, the beneficiary bank must auto-reverse the transaction by T+1 day, under RBI’s framework, if a UPI fund-transfer transaction cannot be completed. If your account is debited but an ATM does not dispense cash, the bank must automatically reverse the transaction within a maximum of T+5 calendar days. If the reversal is delayed beyond this period, the customer is entitled to Rs 100 per day as compensation for the delay. If there is a delay beyond that prescribed period, the customer is entitled to Rs 100 per day as compensation. If your account is debited for a UPI merchant payment but confirmation is not received at the merchant’s location, RBI prescribes T+5 days for auto-reversal. A delay beyond that period attracts compensation of Rs 100 per day. RBI’s current e-mandate framework generally requires the issuer to send customers a pre-debit notification at least 24 hours before the actual debit.
Do not share your UPI PIN with anyone; NPCI says the PIN is required to authorise UPI transactions and should not be shared. RBI’s failed-transaction framework also says customers who do not receive the prescribed redress can register a complaint under the Integrated Ombudsman Scheme.
