India’s Banking Sector Adopts New Digital Identity Amid Fraud Concerns
India’s largest banks have quickly transitioned to a new, government-mandated digital identity system, retiring decades-old web domains and shifting to a single secured address.
Regulators say the sweeping change is essential to reduce digital fraud as online payments and financial services expand rapidly.
A Nationwide Digital Shift Takes Shape
When the Reserve Bank of India (RBI) issued a circular in April 2025 directing banks to migrate their websites to the newly created
“.bank.in” domain, many expected a long and technically complex rollout.
Instead, the migration gained unexpected momentum. By late October—well before the deadline—India’s major banks had completed the switch, marking one of the largest digital identity overhauls in the nation’s financial history.
Public-sector banks were among the earliest movers:
- State Bank of India (SBI)
- Panjab National Bank
- Bank of Baroda
- More than a dozen other PSU banks
The private sector followed rapidly. Institutions such as
HDFC Bank, ICICI Bank, Axis Bank, Kotak Mahindra Bank, and IndusInd Bank completed their domain migration early.
Soon after, cooperative and regional banks joined in—among them Karnataka Bank, Karur Vysya Bank, South Indian Bank, and AU Small Finance Bank.
Even foreign banks operating in India transitioned to the new secured domain, including:
- DBS Bank India
- Standard Chartered Bank
- HSBC India
Regulators framed the shift as a critical cybersecurity upgrade, ensuring banks operate under a uniform, authenticated digital identity to protect customers from fake websites and impersonation attacks.
Regulators Cite Fraud Prevention — and Public Confidence
The shift comes at a time when digital transactions are rising sharply.
With this growth, fraudsters are increasingly using spoofed apps, fake URLs and cloned login portals to trick consumers.
The RBI believes unified, secure digital identity will significantly reduce such attacks and strengthen consumer trust.
The Next Frontier: NBFCs and Digital Lenders
The next phase of the transition may be even bigger.
Non-bank financial companies (NBFCs) and digital lenders—now central players in India’s credit ecosystem—are expected to be brought under the same domain framework.
These institutions serve millions of small borrowers, first-time credit users, and customers who rely heavily on fintech apps for onboarding, payments, and verification.
As fintech grows, so does the risk. Fraudsters use:
- Fake lending apps
- Phishing payment pages
- Spoofed compliance portals
- Cloned onboarding forms
Regulators argue that extending the secure digital identity system to these firms is
“the logical next step” to ensure uniform security across a sector that has rapidly evolved beyond traditional banking boundaries.
A New Era of Standardised Digital Trust
As India deepens its digital financial ecosystem, a secure domain structure could become the backbone of online trust.
The “.bank.in” transition marks only the beginning of a nationwide effort to prevent fraud, protect consumers, and build a standardized digital identity framework that spans banks, NBFCs, and fintech platforms.
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