Beware of the Latest UPI Scam on OLX and WhatsApp: A Guide to Staying Safe

(Last Updated On: March 20, 2024)

In the ever-evolving landscape of digital transactions, a new scam targeting UPI users has surfaced, exploiting the trust and quick transactional capabilities that platforms like OLX and WhatsApp offer. The scam, which involves tricking sellers into refunding a non-existent ‘mistaken’ payment, was recently highlighted by Hardik Pandya (not to be confused with the cricketer), an SVP – Design & Product at Unacademy, who shared his encounter on the social media platform X (formerly Twitter).

Anatomy of the Scam: A Closer Look

This deceitful tactic begins innocently enough, with a scammer responding to an ad—like Pandya’s listing for selling an iPad—shifting the conversation to WhatsApp for the transaction. In an attempt to build trust, the scammer sends a token amount (e.g., Rs 1) and then claims to have accidentally transferred a much larger sum, sharing a doctored screenshot to substantiate the false claim.

Despite the scammer’s persistence, using multiple phone numbers to pressure the seller into returning the so-called excess money, Pandya remained vigilant and recognized the scam for what it was. This incident sheds light on the scam’s modus operandi, which relies heavily on pressuring the seller through confusion and a concocted sense of urgency.

How Does the Scam Operate?

The scam unfolds in several steps designed to exploit the seller’s trust and prompt action:

  1. Initial Contact and Fake Transfer: The scammer reaches out to the seller, often moving the conversation to a messaging platform, and sends a small amount to gain trust.
  2. Fabricated Proof of Overpayment: Next, the scammer claims an accidental overpayment, presenting edited screenshots as evidence.
  3. Urgency and Pressure Tactics: To convince the seller to act quickly, the scammer creates a false sense of urgency, insisting on the immediate return of the excess amount.
  4. Fake Transaction Alerts: In some cases, the scammer may send messages mimicking official transaction alerts to further deceive the seller.

Protecting Yourself from UPI Scams

In light of these deceptive practices, it’s crucial to arm yourself with knowledge and precautionary measures to avoid falling victim to such scams:

Verify Before Acting

Always double-check your bank statement or UPI app for incoming transactions. Do not rely on screenshots or messages from the buyer.

Understand UPI Transactions

Remember that UPI transactions do not require sharing sensitive information like your Virtual Payment Address (VPA) or PIN. Be wary of any requests for such details.

Exercise Caution with Refunds

Never issue a refund without verifying the claim of overpayment through your own banking app or statement. Scammers often rely on the immediacy of digital transactions to pressure their targets.

Report Suspicious Activities

If you encounter a potential scam, report the user’s details to the platform where you listed your item and to your bank or UPI service provider. This not only helps protect you but also aids in preventing the scammer from targeting others.

Navigating the Digital Marketplace Safely

As digital marketplaces like OLX and messaging platforms like WhatsApp become integral to our daily transactions, the importance of vigilance and awareness cannot be overstressed. By understanding the tactics used by scammers and taking proactive steps to verify transactions, users can safeguard themselves against fraud.

In an age where digital convenience is king, it’s essential to remember that this convenience also brings vulnerabilities. Educating yourself and others about these risks and how to prevent them is key to navigating the digital world securely. Let Pandya’s experience be a cautionary tale, reminding us all to stay alert and informed.

Leave a Comment