Banks propose risk-based Yes/No prompts for flagged UPI payments
Major banks have proposed a confirmation prompt for high-risk UPI peer-to-peer transfers as RBI weighs anti-fraud rules. The approach aims to target suspicious payments without slowing India’s broader instant-payment experience, though NPCI has cautioned against added transaction friction.
What happened
NPCI · Major Indian banks propose a risk-based Yes/No confirmation prompt for flagged UPI P2P payments, instead of blanket delayed credits. RBI is considering
Key facts
- Digital fraud cases rose from 2.6 lakh in 2021 to 28 lakh in 2025
- Fraud value increased from ₹551 crore to ₹22,931 crore
- Only about 2% of UPI transactions exceed ₹10,000
- Monthly UPI transaction volume is 23.66 billion
- Unanswered flagged payments could be delayed by one hour
Why this matters
Banks, PSPs and fraud-tech platforms may find partnership opportunities in real-time risk scoring and low-friction payment-authentication tools.
Also reported by
- Outlook Business — Same time