SBI Warns Customers of 'Jumped Deposit Scam' Using UPI
The State Bank of India (SBI) has issued a public warning about a new type of UPI fraud called the 'jumped deposit scam'. Fraudsters initiate the scam by sending a small, unsolicited amount of money to a victim's account. They then contact the victim, claim the transfer was a mistake, and create a sense of urgency to get the money back. The trap is sprung when the victim agrees to refund the amount; the scammer sends a high-value 'collect' request on a UPI app, tricking the victim into authorising a large payment instead of sending money back. SBI advises customers to verify any unexpected credits through official bank channels and never approve unfamiliar UPI requests under pressure.
What this means
This scam cleverly exploits a user's honesty and the 'request money' feature of UPI, which many people are less familiar with than the 'send money' function. It's a social engineering trick, not a technical hack. For banks, this highlights the ongoing challenge of customer education in the digital age. While UPI is secure, its users can still be vulnerable. The warning from India's largest bank signifies that this scam is likely becoming more prevalent. It puts the onus on all banks to amplify this message and reinforce the simple rule: never approve a UPI 'collect' request from an unknown person, no matter the story they tell you. This is also a reminder for product designers at UPI apps to make the distinction between a payment and a collect request even clearer to prevent such confusion.
Most affected: Retail banking and UPI users
Key takeaway: Banks must urgently update their customer awareness campaigns to specifically warn about scams involving UPI 'collect' requests from strangers.
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