Reserve Bank of India has asked banks to follow two particular phone numbering series for transactional and promotional purposes. The move comes amid a surge in fraud cases
Hyderabad: The Reserve Bank of India in a recent notification has asked banks to use only the ‘1600xx’ phone numbering series to call customers for transactional purposes.
The central bank has also instructed them to undertake promotional voice calls and SMS only through phone numbers beginning with ‘140xx’.
The move comes amid the proliferation of digital transactions which has led to a surge in frauds, a pressing concern for bankers.
“The mobile number of a customer has emerged as a ubiquitous identifier, instrumental in account authentication and verification process, receiving sensitive payment communication, such as OTPs, transaction alerts, account updates, etc. The mobile number, however, can also be misused by scamsters in multiple ways for committing various types of online and other frauds,” the RBI notification states.
Regulated entities have also been asked to develop Standard Operating Procedures (SOPs) incorporating the required action to be taken to enhance fraud risk monitoring and prevention.
This includes updating the registered mobile number after due verification, and enhanced monitoring of accounts linked to these revoked mobile numbers to prevent the linked accounts from being operated as money mules and/or being involved in cyber frauds, it said.
The Reserve Bank has asked regulated entities to ensure compliance with the instructions by March 31.
According to the RBI Report on Trend and Progress of Banking in India 2023-24, the number of frauds during April-September stood at 18,461 involving Rs 21,367 crore compared with 14,480 cases involving Rs 2,623 crore in the comparative period of the last financial year.
