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In a major move to tackle rising digital fraud, the Reserve Bank of India (RBI) is preparing to introduce stricter rules aimed at protecting users—especially senior citizens—from online scams.

According to a recent discussion paper, the central bank is considering measures like delaying high-value transactions and adding extra verification layers for vulnerable users. These steps are designed to give customers more control and reduce the chances of financial fraud.

One-Hour Delay on High-Value Transactions

One of the key proposals under consideration is a mandatory delay of up to one hour for digital transactions above ₹10,000.

• This rule may also apply to fast payment systems like UPI
• The delay will allow users time to review or stop suspicious transactions
• Merchant payments are likely to remain unaffected to avoid disruption in daily business

During this waiting period, the amount may be temporarily debited, but users will receive alerts if the transaction appears suspicious.

Rising Digital Fraud Driving the Change

The RBI’s move comes amid a sharp increase in cyber fraud cases across India.

• Fraud incidents have reportedly increased 10 times between 2021 and 2025
• Total cases surged to around 28 lakh
• Financial losses have reached nearly ₹230 billion

Scammers are now using advanced techniques such as fake call centers, mule accounts, and even deepfake technology to target unsuspecting users.

Special Protection for Senior Citizens

To safeguard elderly and vulnerable users, RBI is planning additional security layers.

• For users aged 70 years and above, transactions above ₹50,000 may require approval from a trusted contact
• Similar safeguards could apply to persons with disabilities
• Users will have the option to opt out if they choose

This step aims to prevent fraudsters from exploiting senior citizens, who are often targeted in online scams.

Small Payments to Remain Instant

To ensure convenience is not affected, smaller transactions will continue to be processed instantly. The proposed rules are focused only on high-value and potentially risky transactions, ensuring daily payments remain smooth.

More Safety Features Under Consideration

The RBI is also exploring additional tools to enhance customer protection:

• Transaction limits for certain accounts
• A “kill switch” feature to instantly disable digital payments in case of fraud
• Real-time alerts for suspicious activity

These features could significantly improve response time and prevent financial losses.

What Happens Next?

The RBI has invited public feedback on these proposals until May 8, 2026. After reviewing suggestions, the final guidelines will be issued.

A Step Towards Safer Digital Banking

As India rapidly adopts digital payments, ensuring user safety has become more important than ever. The RBI’s proposed measures reflect a strong push toward secure and user-friendly banking systems.

If implemented, these rules could provide much-needed protection—especially for senior citizens—while maintaining the ease of digital transactions for everyday users.