What should UPI service users be wary of?
The widespread popularity of UPI in India can be attributed to its convenience and user-friendly interface, evident in the processing of over 25 billion transactions in October 2023 alone. Nevertheless, this convenience comes with a downside, as it amplifies the susceptibility to scams. Below are several prevalent UPI scams that one should be vigilant about:
Phishing: Fraudsters employ deceptive emails, text messages, or website links resembling authentic UPI apps or banks. They deceive users into providing their UPI PIN or other confidential details, subsequently exploiting this information to pilfer funds.
QR Code frauds: Fraudsters can present counterfeit QR codes either at physical stores or online; scanning these codes may result in the unauthorized transfer of funds to the scammer’s account.
Vishing (voice phishing): Scammers initiate phone calls to potential victims, posing as representatives from a bank or UPI application, to deceive them into disclosing sensitive information.
Social engineering: Fraudsters employ diverse tactics, including inducing a sense of urgency or presenting bogus prizes, to manipulate users into executing UPI payments.
Not everyone utilizing the UPI service experiences deceit or feels victimized. By exercising caution and adopting responsible practices while engaging in digital payment transactions, one can effectively steer clear of scams.
Secure your phone when not in use by keeping it locked
Employing easily guessable Personal Identification Numbers (PINs) such as birthdates or phone numbers poses a significant risk in UPI scams. Scammers can readily deduce or discover such PINs through social media or other online channels. To enhance security, it is advisable to generate intricate passwords that incorporate a combination of uppercase and lowercase letters, numbers, and special characters. Avoid using personal information or common dictionary words for added protection.
Activate multi-factor authentication (MFA) whenever feasible. This enhances security by necessitating a second verification factor, such as a code sent to your phone, before granting access. Additionally, consider utilizing fingerprint or facial recognition for screen lock, as this introduces an additional layer of security, making unauthorized access to your phone more challenging.
Ensuring your phone’s software is up to date is an additional measure to protect it from misuse by malicious individuals. Regularly update both the operating system and all installed apps on your phone to address vulnerabilities that scammers could potentially exploit.
Once again, exercise caution against phishing and social engineering by being vigilant about dubious emails, texts, or calls purporting to be from banks or UPI apps. Refrain from sharing your PIN or other sensitive information with anyone, even if their credentials seem legitimate.
Refrain from disclosing your PIN or password to anyone
Sharing your UPI PIN or mobile password is akin to surrendering the keys to your financial fortress. It’s crucial to treat these credentials with the utmost confidentiality and refrain from sharing them with anyone, including close friends or family, unless necessary.
The risks associated with using identical PINs and passwords across various accounts are tangible and substantial. A solitary compromised password can function as a master key, providing access to all your online accounts and potentially jeopardizing your personal information and financial details.
Ensuring diversity in your passwords is vital as it mitigates potential damage. If one password is compromised, the impact is confined to a specific account, leaving your other accounts secure. Additionally, it poses a greater challenge for attackers, as attempting to guess distinct passwords for each account becomes exponentially more difficult for scammers, thereby significantly enhancing the overall security barrier.
It also safeguards your privacy by maintaining distinct passwords, preventing unauthorized access to your data stored across different platforms.
You must download only genuine apps on your phone
The menace of counterfeit UPI and banking applications is a genuine and grave concern. These apps possess a high level of deception, imitating the appearance and functionality of authentic apps to lure users into downloading them. The repercussions of falling prey to such apps can be calamitous.
As an illustration, these applications can pilfer sensitive information such as login credentials, bank details, and even personal data stored on your device. The misappropriated information can then be exploited for unauthorized transactions, identity theft, and various other malicious activities.
Furthermore, perpetrators can leverage the pilfered information to initiate fund transfers from your bank accounts or credit cards, potentially exposing you to financial vulnerability. In certain instances, malevolent people might employ the purloined data to blackmail the victim, issuing threats to disclose sensitive information or carrying out other detrimental actions.
Authenticate the UPI ID
Ensuring the accuracy of UPI IDs before initiating money transfers is essential to prevent both typographical errors and potential scams. A single typo can lead to funds being sent to the wrong account. Always verify the UPI ID carefully before confirming any transaction. Opting for QR code scanning, instead of manual entry, can significantly reduce the risk of typos.
Additionally, be aware that fraudsters often create counterfeit UPI IDs, especially for donations or charity purposes, that closely resemble legitimate ones. Exercise caution with unfamiliar IDs and verify their authenticity before proceeding with any money transfers. If uncertain about an ID, it is prudent to err on the side of caution and refrain from sending money. Contacting the organization or individual directly through a verified channel to confirm their UPI ID is a recommended precaution.
Don’t use the UPI app at every public place
Exercising vigilance when using UPI and other financial apps in public spaces is imperative to safeguard your financial information. Firstly, in crowded places such as train stations or cafes, fraudsters may exploit the opportunity to observe and pilfer your PIN or other sensitive details while you are engaged with the app. Additionally, public Wi-Fi networks often lack security and can be susceptible to phishing attacks. Fraudsters might establish deceptive Wi-Fi hotspots or websites that imitate legitimate ones, deceiving users into divulging sensitive information. Lastly, downloading malware from unverified sources poses a risk of compromising your device and exposing your financial data, particularly in scenarios involving public computers or free Wi-Fi usage.
Exercise caution when employing screen-sharing apps
Caution is essential when employing screen-sharing applications. Given their access to sensitive data, it is crucial to exercise thoughtful consideration and responsible usage. While screen sharing is a valuable tool, it shouldn’t be a perpetual fixture on your devices. Restrict its usage to situations where it genuinely enhances communication or collaboration. Since these apps often demand access to your screen content, encompassing personal information, documents, and passwords, exercise caution. Be mindful of the information you share, and make sure to trust both the app and its developers.
Remove any unused screen-sharing apps promptly. This action diminishes the potential attack surface and lowers the risk of data exposure. When configuring, carefully review the permissions sought by the app. Grant access solely to features essential for its core functionality, steering clear of unnecessary data sharing.
Do not load your phone with too many UPI apps
It’s crucial to recognize the balance between convenience and security in the realm of online shopping and payment applications. Various merchants may present exclusive discounts or cashback incentives for using specific apps, encouraging users to diversify their payment methods. Each app serves distinct purposes, offering features such as bill payments, budgeting tools, or loyalty programs. However, managing multiple apps broadens your vulnerability, potentially exposing your data to more threats and malicious entities. Monitoring logins, transactions, and security settings across numerous apps can be both overwhelming and time-consuming. Scammers may target users on less familiar apps or exploit vulnerabilities in lesser-known platforms.
Although UPI provides a convenient cashless option, maintaining vigilance and proactively implementing preventive measures is crucial to thwart fraud. Numerous strategies can be employed to safeguard yourself, and by combining these measures, you establish a strong defence. Whether it’s setting robust UPI PINs or closely monitoring transactions, each step plays a role in minimizing the risk of succumbing to scams.
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Published: 16 Dec 2023, 10:26 AM IST