Prevention of Financial Frauds Perpetrated Using Voice Calls and SMS

Act Name/Rule Name: Reserve Bank of India Act, 1934

Type of Document: Circular

State: National

Date: January 17, 2025

Circular No./Notification No.: RBI/2024-25/105 CEPD.CO.OBD.No.S1270/50-01-001/2024-25

As the volume of digital transactions grows, the risk of financial fraud has escalated. Mobile numbers, widely used for account authentication and receiving sensitive payment communications, are increasingly targeted by fraudsters for various types of scams. To combat this, regulators have introduced a series of measures to reduce fraud related to voice calls and SMS.

Description: The Reserve Bank of India (RBI) has issued a circular to combat frauds using mobile numbers. Key instructions for Regulated Entities (REs) include:

  1. Mobile Number Revocation List (MNRL)*: REs must utilize the MNRL available on the Digital Intelligence Platform (DIP) to monitor and update customer databases. This involves verifying and updating registered mobile numbers, monitoring accounts linked to revoked numbers, and preventing them from being used in cyber frauds or money laundering schemes.
  2. Sanchar Saathi Portal: REs must provide verified customer care numbers to the Department of Telecommunications (DoT) for publishing on the Sanchar Saathi portal to further safeguard against fraudulent activities.
  3. Commercial Communication Guidelines: REs are instructed to use specific numbering series for transactional (1600xx) and promotional calls (140xx), adhering to guidelines from the Telecom Regulatory Authority of India (TRAI). Awareness campaigns should be undertaken using emails, SMS, and other communication methods, including vernacular languages.

These instructions aim to create a more secure environment for digital transactions by mitigating fraud risks associated with mobile numbers. By ensuring compliance with these regulatory measures, REs can prevent financial frauds and protect consumers from exploitation. Non-compliance with these regulations will have serious repercussions, including penalties.

 

* Mobile Number Revocation List (MNRL) is the list of permanently disconnected mobile numbers, which are published on the TRAI website every month in public domain, allowing various agencies to independently download and easily clean up their database using their own workflows (for example, a bank could download the list, check each number and if it is one of their customers’, then can flag it and let the customer update it with his new number). MNRL is uploaded on 8th day of every month and is available till 7th day of the next month on the TRAI website for a period of one month. Previous month list shall be replaced on every 8th day of the next month.

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