The Reserve Bank of India (RBI) has issued new instructions for banks. They must use the ‘1600’ phone number series when calling customers about transactions.
For promotional calls, banks and other regulated entities should use the ‘140’ phone number series. This is to reduce the risk of financial fraud.
Actions to Update Customer Data and Prevent Fraud
To prevent fraud, the RBI has also asked banks to keep track of their customer data and remove any outdated or unnecessary information.
Banks must ensure that customer mobile numbers are updated after verifying them properly.
Additionally, banks must monitor accounts linked to canceled mobile numbers to prevent fraud.
RBI has set a deadline for these actions to be completed by March 31, 2025.
Nominee Facility for Bank Accounts and Lockers
In a separate directive, the RBI has instructed banks to make sure that all accounts, including lockers, have a nominee.
This will help the family members of the account holder settle matters quickly if the account holder passes away.
The RBI has suggested that banks update their account opening forms to include the option for nominating a beneficiary.
Banks and Non-Banking Financial Companies (NBFCs) are also encouraged to run awareness campaigns to ensure all accounts have a nominee.
Banks must also monitor accounts connected to canceled mobile numbers to prevent potential fraud.
The RBI has set a deadline of March 31, 2025, for banks to complete these updates. As digital transactions grow, so does the risk of fraud, which is a major concern for the RBI.
