Mumbai: The National Payments Corporation of India (NPCI) has issued five important safety guidelines to help consumers protect themselves from digital payment fraud during the festive shopping season. The advisory warns shoppers against fake discount offers, fraudulent shopping websites, suspicious payment links, cashback scams and attempts to steal one-time passwords (OTPs).
With online shopping and digital transactions increasing during festive sales, cybercriminals are using attractive offers and social engineering techniques to deceive customers. Fraudsters often create a sense of urgency by advertising unusually low prices, limited-period discounts and unexpected rewards to persuade shoppers to make quick payments or share confidential banking information.
NPCI has urged consumers to remain alert while shopping online and follow basic precautions before making digital payments. The organisation has emphasised that a few simple checks can help prevent financial losses and protect sensitive banking details.
1. Shop only through official websites and applications
One of the most common methods used by cybercriminals is creating fake shopping websites that closely resemble genuine e-commerce platforms. These websites may copy the logos, product photographs, colours and layouts of established retailers to make themselves appear trustworthy.
Fraudsters circulate links to such websites through text messages, social media posts and messaging applications. When customers click on these links and enter their personal or payment details, the information may be stolen and misused.
NPCI has advised consumers to make purchases only through official shopping applications and verified websites. Shoppers should avoid clicking on unfamiliar links, even when they appear to advertise attractive festive discounts.
It is safer to open the retailer’s official application or enter its website address directly into the browser rather than relying on links received through unsolicited messages.
Consumers should also be cautious of websites offering products at prices that appear unusually low compared with established retailers. An attractive discount alone does not establish that a seller or website is genuine.
2. Make payments only through official checkout pages
Another common digital payment scam involves persuading customers to complete transactions outside the official shopping platform.
Fraudsters may claim that a special discount is available only through a separate UPI ID, QR code or payment link. They may also contact customers pretending to be sellers and request direct transfers to personal accounts.
Such payments can bypass the security measures and transaction records provided by established shopping platforms. Customers may find it difficult to obtain refunds if the seller disappears after receiving the money.
NPCI recommends completing purchases through the authorised payment gateway available on the retailer’s official website or application.
Before confirming a UPI transaction, customers should carefully check the recipient’s name and the amount displayed on the payment screen. They should not transfer money to unfamiliar accounts simply because someone claims that doing so will unlock an additional discount.
Verifying the seller and following the platform’s authorised payment process can reduce the risk of fraudulent transactions.
3. Be careful with cashback and free gift offers
Cashback schemes, free vouchers and festive gifts are commonly used to attract online shoppers. However, cybercriminals also exploit these promotional offers to collect confidential financial information.
Fraudulent messages may inform customers that they have won a gift, received unexpected cashback or become eligible for a special reward. To claim the benefit, recipients may be asked to share an OTP, banking credentials or card information.
In some cases, fraudsters demand a small payment as a processing fee or registration charge before releasing the promised reward.
NPCI has advised consumers to remain particularly cautious about unsolicited reward notifications. Shoppers should verify promotional offers directly through the official website or application of the company concerned.
A genuine promotional offer should not require customers to disclose confidential banking information or share security credentials with an unknown person.
Consumers should avoid responding to unexpected reward messages and should never provide their banking details to claim an unverified gift or cashback benefit.
4. Never share OTPs to resolve payment problems
OTP-related fraud remains a major concern in digital banking and online payments. Fraudsters often impersonate bank employees, customer-care executives or payment application representatives to convince customers to reveal their OTPs.
A common tactic involves sending a message or making a phone call claiming that a payment has failed, an account has been temporarily blocked or a transaction needs to be verified.
The caller may then request an OTP, claiming that it is necessary to restore account access or complete the payment.
NPCI has warned consumers not to entertain such requests. Legitimate banks and payment platforms do not ask customers to disclose their OTPs over phone calls or messaging services.
An OTP is intended to authenticate a transaction or action initiated by the customer. Sharing it with another person could allow fraudsters to authorise transactions or gain access to protected services.
Customers should never reveal OTPs, passwords, UPI PINs or other confidential banking credentials, even if the person contacting them claims to represent a recognised financial institution.
If a payment fails or an account-related warning appears, users should check the status through their bank’s official application or customer support channels.
5. Do not allow urgency to influence payment decisions
Cybercriminals frequently use pressure tactics to make victims act without checking whether a request is genuine.
Messages may claim that a discount will expire within minutes, an account will be suspended immediately or a payment must be completed urgently to avoid a penalty.
Such warnings are designed to create panic and prevent customers from verifying the information. During festive shopping, when consumers are already looking for limited-period deals, these tactics can be particularly effective.
NPCI has recommended following the ‘Stop, Think, Act’ principle when dealing with unexpected payment requests or suspicious offers.
The approach involves three simple steps:
- Stop: Do not immediately click on a link, share information or approve a payment when faced with an unexpected request.
- Think: Examine the message, identify the sender and consider whether the offer or warning appears genuine.
- Act: Proceed only after verifying the information through the bank’s official website, application or customer support helpline.
Taking a few moments to verify a request can help prevent impulsive decisions that may result in financial losses.
Why festive shoppers need to remain alert
Festive shopping periods generally bring increased online activity, with consumers searching for discounts on smartphones, electronics, clothing, household appliances and other products.
While established retailers and payment platforms introduce promotional campaigns, scammers also use the shopping rush to circulate fake offers and fraudulent payment requests.
The growing use of digital payment systems has made transactions convenient, but it has also created opportunities for criminals to exploit consumer behaviour.
A fake shopping website may look similar to a genuine retailer, while a fraudulent cashback message may appear to come from a familiar brand. In many cases, the success of these scams depends on customers acting quickly without checking the source.
NPCI’s advisory highlights the importance of verifying websites, checking payment details and protecting confidential information. Consumers should also avoid downloading applications or files from unknown sources and should not follow instructions received from unverified customer-care numbers.
What consumers should remember before making digital payments
The five safety recommendations focus on a common principle: customers should remain in control of their financial information and verify every unexpected payment request.
Shoppers should use trusted platforms, complete transactions through authorised checkout systems and treat unsolicited cashback or gift notifications with caution. They should never disclose OTPs or banking credentials to callers or respond to threats of immediate account suspension without verification.
The ‘Stop, Think, Act’ approach can be particularly useful during busy shopping periods when attractive offers and time-limited promotions encourage quick decisions.
As digital payments continue to play an important role in India’s festive shopping economy, awareness and careful transaction habits remain essential. Following NPCI’s recommendations can help consumers enjoy online shopping while reducing their exposure to payment fraud.