RBI Suggests One-Hour Wait For Making Digital Payments Above ₹10,000 Against Rising Fraud

The Reserve Bank of India (RBI) has suggested a one-hour waiting period for making digital transactions of more than ₹10,000 to counter the problem of fraud.

Increase In Fraud Cases And Related Figures

There has been an increase in fraud in India that involves digital payments. The total number of fraud cases in 2025 stood at around 28 lakh cases, involving a sum of ₹22,931 crore, in comparison with 2024, when the total frauds amounted to 24 lakh cases, totaling ₹22,848 crore.

The central bank said fraudsters are increasingly using methods such as fake call centres, deepfake-based impersonation, and mule accounts to execute scams. It noted that a large number of victims fall under Authorised Push Payment (APP) frauds, where users are manipulated into transferring money voluntarily.

Proposed Cooling-Off Period

RBI has suggested introducing a “cooling period” of one hour for transactions above ₹10,000. The delay is proposed at the payer’s end, where the decision to transfer funds is made. According to the central bank, this stage is critical as most social engineering tactics are applied at this point.

The proposal states that transactions above ₹10,000 account for about 45% of fraud cases by volume but nearly 98.5% of the total value involved. During the one-hour window, the customer’s account may be provisionally debited, but the user will have the option to cancel the transaction.

Safeguards And Exceptions

The RBI said the delay aligns with the “golden hour” principle in fraud prevention, which highlights the importance of early intervention to stop the movement of funds. At this stage, banks might mark transactions as suspicious and confirm them with the users prior to proceeding further.

In order to keep some level of flexibility in place, the central bank has also offered certain alternatives that could include overriding the waiting period for a particular transaction or whitelisting the beneficiaries. Transactions involving such pre-approved recipients may bypass the delay mechanism.

Objective Of The Proposal

The RBI clarified that the measure is aimed at reducing fraud risk without affecting smaller-value transactions. The intended delay would only be applicable to large-scale transactions through the APPs, and small-scale payments would not be affected.

The consultation paper has been published to obtain stakeholder feedback for introducing further security measures in digital payment solutions. This proposal is consistent with the priorities of the central bank towards enhancing the protective measures for users amid increasing digital transactions in India.