MUMBAI: Some friction, long viewed as a flaw in digital payments, is now being seen as a feature. An RBI discussion paper proposes to introduce a short delay, or “lag”, for high-value transfers above Rs 10,000. This gives customers time to rethink a transaction and cancel it if they suspect
MUMBAI: Some friction, long viewed as a flaw in digital payments, is now being seen as a feature. An RBI discussion paper proposes to introduce a short delay, or “lag”, for high-value transfers above Rs 10,000. This gives customers time to rethink a transaction and cancel it if they suspect fraud. Customers may also be allowed to whitelist trusted payees so that genuine payments are not delayed.Another proposal is to provide stronger protection to vulnerable users such as senior citizens by requiring an additional confirmation from a “trusted person” for large transactions above Rs 50,000. The paper also suggests a “kill switch” to instantly block all digital transactions in case of suspected fraud.Banks are expected to identify suspicious transactions in real time and seek reconfirmation from customers before processing them. They will need
