The Reserve Bank of India (RBI) is mulling new measures to curb rising digital fraud, including a possible delay for high-value transfers made through UPI and IMPS. Under the proposal, transactions above Rs 10,000 could be placed on hold for up to one hour before reaching the recipient.
During this cooling-off period, users will have the option to review the transaction details and cancel the payment if they suspect fraud. The RBI has invited public feedback on the proposal until May 8, 2026, after which final guidelines may be issued.
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Why the change is being considered
The move comes amid concerns over the sharp rise in online fraud cases, which are projected to cross Rs 22,000 crore in 2026. According to the Central bank, a large share of fraud now stems from social engineering tactics, where victims are pressured into making quick transfers, reported India.com.
By introducing a delay, the RBI aims to give users time to reassess such transactions. While transfers above Rs 10,000 account for about 45 per cent of fraud cases, they represent nearly 98.5 per cent of the total value involved.
Exemptions and flexibility for users
The proposed rule will not apply uniformly. Users will be able to whitelist trusted beneficiaries, ensuring that payments to them are processed instantly without delays.
Certain transactions will also remain unaffected, including merchant payments, e-mandates, cheques and NACH transactions.
Additional safeguards under consideration
The RBI has outlined several other measures to strengthen payment security. For senior citizens above 70 years, transfers exceeding Rs 50,000 may require approval from a trusted individual.
In cases where deposits exceed Rs 25 lakh in personal or small business accounts, banks may credit the funds only after verification.
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The Central bank is also evaluating a "kill switch" feature, which would allow users to instantly disable all digital payment channels such as UPI, cards and internet banking, in case of suspected fraud.
The proposal signals a broader push to make digital payments safer while maintaining user control and flexibility.
