India may soon witness a massive change in online transactions. The Reserve Bank of India has suggested a new RBI digital payments rule to reduce growing cyber fraud cases in India. The framework includes a one-hour delay for high-value transactions above Rs. 10,000.
This UPI delay will apply to instant transfers like UPI and IMPS between bank accounts. When a person tries to send more than Rs. 10,000, the payment will not go through immediately. Instead, it will stay pending for up to one hour before reaching the receiver.
This waiting period provides people more time to reason before completing the payment. Many frauds happen because scammers create pressure and urgency. Victims often transfer money without a second thought. The delay can help prevent such mistakes and improve payment security.
During this one-hour window, banks can send alerts if they notice anything unusual. People can verify the details again and cancel the payment if they detect foul play. If no action is taken within the hour, the money will be transferred. This step adds a simple but strong layer of safety to high-value transactions.
The central bank said that most fraud-related losses happen in transactions above Rs. 10,000. Smaller payments will likely continue without any delay, so everyday usage will not be impacted.
The proposal also includes extra checks for larger amounts. Transactions above Rs. 50,000 may need a second approval step. This rule may help protect senior citizens and others who face a higher risk of fraud. A trusted contact may need to approve such payments before they are completed.
The RBI is also looking at ways to monitor and identify suspicious banking activities. Some accounts are used only to move illegal funds. The new plan may limit the amount of money accounts can receive in a year. Large transfers above Rs. 25 lakh may also face verifications before approval.
Another important proposal is a quick “kill switch” feature. This option can allow users to block digital payments instantly if fraud is suspected. It can help stop further losses at the right time.
The Reserve Bank of India has requested public feedback on these ideas before finalizing the rules. Once approved, this system could change how digital payments work in India. The focus is now shifting to a balance between speed and safety.
This RBI digital payments rule shows a clear effort to make digital transactions safer while ensuring ease of use.
Also Read: How to Stay Safe from Digital Fraud: RBI’s Key Tips Explained