PhonePe QR code scam alert: PhonePe has warned users about QR-code fraud during Diwali, when increased festive shopping and digital transactions can create opportunities for scammers.
Fraudsters may replace genuine shop QR codes with fake ones or send deceptive codes through messaging apps, promising cashback, refunds or festive rewards.
The warning comes as shoppers increasingly use Unified Payments Interface (UPI) apps for purchases at shops, markets and online stores.
While QR codes make payments convenient, users can lose money if they approve transactions without checking the recipient’s details or follow instructions designed to trick them into authorising payments.
PhonePe QR Code Scam Alert: How Fraudsters Operate
One common method involves placing a fake QR-code sticker over a genuine merchant’s code.
A customer intending to pay a shopkeeper may unknowingly transfer money to a fraudster if the substituted code directs the payment to another account.
Another tactic involves sending QR-code images through WhatsApp or other messaging platforms.
Scammers may claim that users can receive Diwali cashback, bonus payments or gift hampers by scanning a code and entering their UPI PIN.
However, entering a UPI PIN authorises a payment or other approved transaction; it is not required simply to receive money.
Users should be suspicious of anyone asking them to enter their PIN to claim a reward or process a refund.
Fraudsters may also use urgent messages to pressure people into acting quickly.
Offers that promise immediate rewards or threaten to expire within minutes should be checked independently before users scan a code, open a link or approve a payment.
Safety Tips to Protect UPI Payments During Diwali
PhonePe has advised users to verify payment details before authorising transactions.
When scanning a merchant’s QR code, customers should check the recipient’s name and the amount displayed on the payment screen before entering their PIN.
Users should also avoid scanning unexpected QR codes received through messages, particularly when the sender promises free money or a special festive benefit.
Genuine cashback and promotional offers should be checked through the relevant company’s official app or verified communication channels.
Another important precaution is to keep banking credentials private.
Users should never share their UPI PIN, passwords or one-time passwords with anyone claiming to represent a bank, payment platform or customer-support team.
Shoppers should also avoid suspicious links and pop-ups, use trusted merchants and take time to review payment requests.
A genuine-looking logo or message does not necessarily establish that an offer is legitimate.
PhonePe’s PhonePe Protect framework is designed to flag potentially risky transactions and provide contextual warnings during the payment process.
However, users should continue checking transaction details themselves rather than relying solely on security alerts.
What to Do If You Become a Victim of UPI Fraud
Anyone who notices an unauthorised transaction or suspects QR-code fraud should act immediately.
The first step is to report the issue through the Help section of the payment app and contact the bank using its official customer-support channel.
Victims of financial cyber fraud in India can call the national cybercrime helpline at 1930 and submit a complaint through the National Cyber Crime Reporting Portal.
Prompt reporting may help authorities and financial institutions take action, although recovery of the money is not guaranteed.
Users should preserve transaction details, including the transaction reference number, amount and time of payment, as these details may be needed when raising a complaint.
Suspicious calls and messages can also be reported through the Chakshu facility on the Sanchar Saathi portal.
The main precaution this Diwali is to remember that receiving money does not require entering a UPI PIN.
Checking the recipient’s name, verifying the amount and refusing suspicious reward requests can help shoppers reduce the risk of losing money to QR-code scams.
