Digital Scam Loss Guide: Block cards, call 1930: What to do if you lost money in digital scam

Do banks refund money deducted without permission?

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Zero liability: If the fraud happens due to bank negligence, system failure or a third-party breach (and you had no role), and you report it within five days, you are not liable for the loss. The bank must credit the amount back.

Limited liability: If you report the fraud after a few days (typically within four to seven days), your liability may be capped depending on the transaction type and account.

Full liability: If the fraud occurred due to your negligence such as sharing OTP, PIN, CVV or clicking on suspicious links or if you delay reporting significantly, the chances of a refund drop sharply.

Banks are required to resolve complaints within 90 days of reporting.

What should you do immediately after a fraud?

The faster you act, the higher your chances of stopping or reversing the transaction.

1. Report the fraud to your bank immediately

As soon as you notice an unauthorised transaction:

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  Call your bank’s customer care or use the mobile app.
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  Block your debit/credit card.
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  Disable UPI, net banking, or mobile banking if needed.
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  Request a complaint number or acknowledgment.

Delays can allow fraudsters to move money across multiple accounts, making recovery difficult.

2. Inform cybercrime authorities

After notifying your bank, report the incident to the government’s cybercrime system: Call 1930 (cyber fraud helpline) and file a complaint on the National Cyber Crime Reporting Portal. This step is crucial because:

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  Authorities may attempt to freeze the fraudulent transaction.
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  It creates an official record of the fraud.
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  It strengthens your claim with the bank.

3. Secure all your accounts

Fraud rarely stops at one transaction. Take steps to secure your digital presence:

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  Change passwords for banking, email, and UPI apps.
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  Enable two-factor authentication.
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  Log out from all devices.
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  Uninstall suspicious apps and scan for malware.

4. Check all recent transactions

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  Review your bank statement carefully.
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  Look for multiple unauthorised debits.
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  Report every suspicious transaction separately.
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  Download statements or screenshots as proof.

5. Follow up with your bank

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  Keep track of your complaint status.
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  Maintain records of emails, SMS, and complaint numbers.
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  Escalate the issue if there is no response within a reasonable time
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  If unresolved, approach the bank’s grievance cell or the RBI Ombudsman

6. File an FIR for large frauds

If the amount involved is significant, file a police complaint or FIR. This can help in legal proceedings and strengthens your claim during dispute resolution.

Common types of banking frauds in India

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  Phishing scams: Fake emails or SMS with links that steal login details

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  Vishing (voice phishing): Fraudsters posing as bank officials asking for OTP or PIN

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  UPI collect request scams: Trick users into approving payment requests

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  Remote access apps: Fraudsters gain control of your phone

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  Card skimming/cloning: Data stolen from ATMs or POS machines

Tips to prevent fraudulent transactions

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  Never share OTP, PIN, CVV, or passwords with anyone.
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  Avoid clicking on unknown links or downloading apps from unofficial sources.
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  Verify UPI requests before approving them.
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  Use secure networks for banking transactions.
• 
  Enable transaction alerts on SMS and email.
• 
  Regularly update your banking apps and phone software.

Fraudulent transactions can be stressful, but a quick and informed response can make a significant difference. Acting immediately, reporting through the right channels and securing your accounts are the most effective ways to limit losses. With digital payments becoming more widespread, staying alert and informed is your first line of defence against financial fraud.

FAQs

Will the bank refund my money in case of fraud?

Banks may refund the amount depending on the circumstances. If the fraud is not your fault and is reported quickly, you may have zero liability. Delays or negligence can reduce or eliminate the refund.

How soon should I report a fraud transaction?

You should report it immediately, ideally within 24-48 hours. Reporting within five days is crucial to qualify for zero liability under RBI rules.

What is the cybercrime helpline number?

You can call 1930 or file a complaint on the National Cyber Crime Reporting Portal.

Can I get my money back if I had shared my OTP?

Sharing OTP is usually treated as customer negligence. In such cases, a full refund is unlikely, though you should still report the incident immediately.

How long do banks take to resolve fraud complaints?

Banks are required to resolve complaints within 90 days from the date of reporting.