EMI moratorium fraud: Banks asking customers to be alert, not to share OTP with imposters

To give relief to borrowers hit by COVID-19 lockdown, the RBI last month announced that all term loans, including retail and crop loans and working capital payments, will be covered by the three-month moratorium on EMI payments offered.

In a bid to warn customers against fraudsters who may attempt to exploit the EMI moratorium scheme, leading banks are reaching out to their customers to caution them against ‘EMI moratorium frauds’ and strongly advising them not to share sensitive information like OTP and PIN with imposters.

In a tweet on April 5, country’s largest bank SBI had said a new style of cybercrime has been started by fraudsters and warned people to “Be Alert & Be Aware”.(Mint file photo)

Over the past few days, Axis Bank, State Bank of India and other banks have sent out SMSs and e-mails to their customers informing them about new modus operandi being adopted by fraudsters and cyber criminals, to gain access to banking details.

Asking customers to protect their financial details, Axis Bank said in an e-mail to customers said fraudsters have started a new modus operandi to gain access to banking details.

Imposters may contact you to help postpone your EMI payments and request you to share OTP, CVV, password or PIN related to your banking accounts, it said.

“Stay aware! If the details are shared, the fraudster can have unwarranted access to your banking information leading to financial loss. Beware of EMI Moratorium Frauds!,” Axis Bank said.

In a tweet on April 5, country’s largest bank SBI had said a new style of cybercrime has been started by fraudsters and warned people to “Be Alert & Be Aware”.

“In such frauds customers get calls asking them to share their OTP in order to postpone their loan EMIs. Once the OTP is shared the amount is immediately siphoned away by fraudsters,” it said.

To give relief to borrowers hit by COVID-19 lockdown, the RBI last month announced that all term loans, including retail and crop loans and working capital payments, will be covered by the three-month moratorium on EMI payments offered.

Earlier, State Bank of India (SBI) had also cautioned people against fake UPI IDs doing rounds in the guise of Prime Minister’s Citizen Assistance & Relief in Emergency Situations (PM-CARES).

“Make sure your monetary donation to fight against the global pandemic is going into the right hands,” SBI said.