UPI Transactions Surge By 8 Per Cent MoM, But So Do Scams – Beware Of The New ‘Jumped Deposit’ Trick!

Unified Payment Interface (UPI) transactions increased by around 8 per cent month-over-month in December 2024. According to data from the National Payments Corporation of India (NPCI), the number of UPI transactions in December 2024 stood at 539.68 million, up from 516.07 million in November 2024.

The value of these transactions also rose significantly, from Rs 21.55 lakh crore in November to Rs 23.25 lakh crore in December. On a daily basis, UPI transactions amounted to Rs 74,990 crore in December, compared to Rs 71,840 crore in November, as reported by PTI.

While UPI has become one of the most widely used methods for small-value transactions, scams targeting UPI users are also on the rise. There are different types of digital scams going on where fraudsters use tricks like phishing by sending a fake link, impersonation legitimate entities, digital arrest pretending to be a trusted individual from an authorised entity, screen mirroring for accessing sensitive information, or creating UPI IDs that look authentic but are fraudulent. Recently, a new scam, the ‘Jumped Deposit’ scam, came to light after being reported by the Tamil Nadu Police in early December 2024.

What Is The Jumped Deposit UPI Scam?

This scam involves fraudsters transferring a small amount, say Rs 5,000, to a victim's bank account and immediately sending a withdrawal request for a higher amount, say Rs 10,000 or Rs 12,000. During this process, the victim receives a transaction notification via SMS. When they open the app and enter their PIN to check the deposit, the withdrawal request gets unintentionally approved.

How To Safeguard Yourself?

Never Share Your PIN: In the digital era, the security of the transaction is dependent not on your signatures but on the PIN and the OTPs. So, do not share your passwords, PINs, or OTPs with others, especially not with someone you don’t know.

Enter An Incorrect PIN: For the jumped deposit scams, the safest measure is to enter the wrong PIN or password when opening the app. This will fail the pending transaction if there is any, thus defeating the ulterior motives of fraudsters.

Delay Checking Notifications: If you receive a notification about a deposit, wait for 30 minutes to an hour before checking it. The collection request usually expires within a few seconds to a few minutes. Alternatively, check your account balance through your bank's website instead of the UPI app.

Act Quickly If Defrauded: In case the fraud has already happened, and the money has been deducted from the account, inform your bank immediately about the transaction.

Further, report the incident to the National Cyber Crime portal, call 1930, or lodge a complaint with the police without delay. Early reporting can help trace fraudsters and mitigate further damage.

By following these precautions, you can protect yourself from jumped deposit scams and enjoy the convenience of digital transactions securely.