PM Modi warns against digital fraud, urges citizens to update KYC only through official channels

Prime Minister Narendra Modi on Sunday cautioned citizens against rising incidents of digital fraud and so-called “digital arrest” scams, urging people to remain vigilant and follow proper banking procedures to safeguard their hard-earned savings.

Speaking during the 131st episode of his monthly radio programme Mann Ki Baat, the Prime Minister said that although awareness about digital fraud had increased, troubling incidents were still being reported.

“My dear countrymen, in ‘Mann Ki Baat’, I have spoken to you at length about Digital Arrest. After this, a lot of awareness was generated in our society regarding Digital Arrest and Digital Fraud, but still such incidents are happening around us that are unpardonable,” he said.

Highlighting the human cost of such crimes, PM Modi said, “Innocent people are being targeted through Digital Arrest and Financial Fraud. Many a time we come to know that a senior citizen has been swindled of one’s lifelong earnings. At times, someone is defrauded of the money one had saved to pay children’s fees. We also come across news of fraud with businessmen. Someone calls up and says, ‘I am a big officer. You have to share some details.’ After this, innocent people do just that. Therefore, it is very important for you to remain alert and vigilant.”

Referring to the Know Your Customer (KYC) process, the Prime Minister addressed common doubts among bank customers regarding repeated update requests.

“You all must be familiar with the process of KYC – Know Your Customer. Sometimes, when you receive messages from your bank asking you to update KYC or re-KYC, the question arises in your mind – I have already done KYC, then why this? I urge you not to fret; this is just for the safety of your money,” he said.

He explained that with increasing integration of services such as pensions, subsidies, insurance and UPI with bank accounts, periodic re-KYC has become necessary for security reasons.

“We all know that nowadays everything from pension, subsidy, insurance, UPI, everything is linked to the bank account. This is why banks periodically perform re-KYC to ensure your bank account remains secure,” he said.

However, he warned citizens against falling prey to fraudulent calls and links. “Yes, here too, you must remember one thing: criminals make fake calls, send SMS and links. Therefore, we must remain vigilant and not fall prey to such fraudsters. KYC or re-KYC should be done only through your bank branch, official app, and authorized medium. Do not share OTP, Aadhaar number, or bank account information with anyone.”

Emphasising cyber hygiene, the Prime Minister advised people to update their passwords regularly. “And most importantly, keep changing your password from time to time. Just as food and clothing change with each season, make it a rule to change your password every few days,” he said.

PM Modi also referred to a recent financial awareness initiative by the central bank. “The Reserve Bank of India recently organized a Financial Literacy Week on these very topics. This financial literacy campaign will now continue throughout the year. Therefore, pay heed to the Reserve Bank of India’s message and keep your KYC updated,” he added.

Summing up his message, the Prime Minister said, “Remember: Correct KYC, timely re-KYC keeps your account safe. Become an empowered citizen, because only empowered citizens build a strong and self-reliant India.”