Synopsis: RBI has proposed a new rule to delay digital transactions above Rs. 10,000 by up to one hour to curb fraud. The move will allow users to review and cancel suspicious transfers, enhancing customer protection in digital payments.
RBI Proposes 1-Hour Delay for Digital Transactions Above Rs. 10,000
New Delhi: The Reserve Bank of India (RBI) is considering new measures to tackle rising digital payment frauds. Under the proposal, online transactions exceeding Rs. 10,000 may be delayed by up to one hour before the funds are credited to the beneficiary.
The move aims to give customers sufficient time to review transactions and prevent fraud.
Customers Can Cancel Transactions Within 1 Hour
According to the proposal, the transferred amount will be provisionally debited from the sender’s account but will not be credited immediately to the recipient.
During this one-hour window, customers will have the option to:
- Review the transaction
- Cancel the transfer if suspicious
- Report fraud to the bank
This feature is expected to reduce panic-driven transfers caused by fraudsters.
Whitelist Feature for Trusted Contacts
RBI has also proposed a whitelist facility, allowing users to add trusted beneficiaries. Transactions to these accounts will not be subject to the one-hour delay.
This ensures convenience for regular payments while maintaining security for high-risk transfers.
Focus on Preventing Large-Value Frauds
The central bank noted that frauds involving larger amounts cause the most damage. Fraudsters often create urgency or fear to trick individuals into transferring money instantly.
The proposed delay is intended to break this pressure cycle and give users time to think before completing transactions.
Additional Safety Measures Proposed
RBI has suggested several other measures to strengthen digital payment security:
- Extra protection for senior citizens and disabled users: Transactions above Rs. 50,000 may require approval from a trusted person
- Annual transaction limit: Transfers exceeding Rs. 25 lakh may be held for verification
- Emergency stop feature: Users may be able to pause all digital payments instantly
Public Feedback Invited Before Implementation
The RBI has invited suggestions from individuals and organisations on these proposals until May 8, 2026. The feedback will be reviewed before final rules are implemented.
Experts believe that these measures could significantly enhance trust and security in India’s rapidly growing digital payment ecosystem.
📌 Key Takeaway
RBI plans to introduce a 1-hour delay for transactions above Rs. 10,000 to prevent fraud. The move will allow users to review and cancel suspicious payments, strengthening digital payment security.