An app may be stealing your bank data, RBI warns digital, UPI users

Digital security concerns have assumed greater importance amid the Modi government's efforts to steer India towards a less-cash, digital economy

Do you use online banking? Beware! Hackers might be fraudulently accessing your e-wallets, mobile banking app and UPI. The Reserve Bank of India (RBI) has warned banks of a digital banking fraud that could wipe out a customer’s bank balance by using the Unified Payment Interface (UPI) route. In an alert dated February 14, the cybersecurity and IT examination cell of the central bank said that a mobile application called ‘AnyDesk’ was allegedly being used by fraudsters to access data on mobile devices.

Digital security concerns have assumed a greater importance amid the Narendra Modi government's efforts to steer India towards a less-cash, digital economy.

What is 'AnyDesk'?

‘Anydesk’ is a remote control application. It works to connect one device to another.

How can the fraud wipe out a customer's bank balance?

The method is simple.

— First, fraudsters get bank customers to download the app (AnyDesk).

— Through a nine-digit code generated on the customers' device, hackers get remote access to their mobile.

— After inserting the app code on the device, the hacker asks customers to grant certain permissions, which are similar to what is required while using other apps.

— Once they gain access to the mobile phone, hackers can carry out transactions fraudulently through any mobile banking app or payment-related apps, including UPI or wallets.

What must you do in case your mobile is hacked?

* If you are banking electronically, you must register yourself for SMS/email alerts and immediately inform your bank in case of a fraud.

* According to RBI, you must only use sites with https while banking online.

* Avoid banking on free networks.

* Regularly change and do not share your password/PIN

Rise in the number of UPI transactions and digital banking — a cause for worry?

RBI's warning on 'AnyDesk' calls for attention amid a rising volume of UPI transactions and digital banking. According to a Business Standard report, digital payments saw a spike after demonetisation. According to a report by the Reserve Bank of India, a total of 2,059 cases of cyber fraud were reported in 2017-18 amounting to Rs 109.6 crore. The number of cyber fraud cases in 2016-17 was 1,372 amounting to Rs 42.3 crore. A spike in cyber frauds is bigger than most other types of bank frauds. A total of 5,917 bank frauds were reported in 2017-18 and nearly a third of these were cyber frauds. UPI, Narendra Modi government's flagship payments platform, crossed the Rs 1 trillion milestone for monthly value in December 2018. NPCI attributed UPI’s success to three main features — simplicity, seamlessness and security. However, chinks in the UPI system began to show soon after it was introduced.