Annual Fee and Bank Charges Refund Scam

A caller says the bank charged you extra fees and will refund them if you share an OTP or open a link. The refund request is a payment out.

A polite voice says that your bank has charged your account excess fees or an annual card fee by mistake and wants to give the money back. The refund will be sent right now if you confirm a few details and read out a code. A real refund comes back to your account with no action from you. A caller who needs a code is making a payment, not a refund.

How the scam works

The scammer picks a believable small amount, such as Rs 2,359 for an annual fee or GST, and says that it was charged wrongly. They know that people feel annoyed about bank charges, so a refund seems a pleasant surprise. They use the name of your bank and say that it is part of a service campaign or an RBI directive.

To process the refund, they ask you to confirm your card or account number, and then tell you to open a link or approve a request on your UPI app. A code is then sent, and you are asked to read it out to 'credit' the refund. If you hesitate, the caller says the amount will go back to the bank today and you will lose it.

The code or request pays money out of your account, not in. The caller might say that the refund failed and ask for a second attempt, and each attempt costs you more. Some scammers also ask you to install a support app to 'see the credit', which allows them to watch your screen and drain your account further.

An example of what you may see

Example only: 'Hello sir, our records show that you were charged Rs 2,359 as annual fee by mistake. We will refund it today. Please confirm your account number and approve the request that I am sending to your UPI app. You will also get a code, kindly read it so that the credit can be completed. After today the refund cannot be processed.' He gives no reference number you can verify.

This example is written for illustration. Real messages change their wording, names and links all the time.

Red flags

• A caller offers a refund of fees you did not know about.
• You are asked to approve a request or read out a code to receive it.
• The refund must be done today or will be lost.
• A link or support app is used for the refund.
• The amount is small and believable.
• The caller cannot give a transaction reference you can verify.

What to do right now

1. End the call and do not approve any request.
2. Check your statement in the bank's official app for the fee.
3. Contact the bank on the number on your card if the fee looks wrong.
4. Block the number and note the call time.
5. Remember that refunds need no PIN or OTP.

If you already paid or shared a code

1. Call 1930 immediately and give the transaction details.
2. Tell your bank on the number on your card or passbook and ask them to block further payments.
3. Uninstall any support app and change banking passwords.
4. Report at https://cybercrime.gov.in with the call log and screenshots.

National Cyber Crime Helpline: 1930. Report online at cybercrime.gov.in. Do it fast: the sooner your bank is told, the better the chance that money can be held.

Where this scam shows up

Read how it looks on each channel:

How Safeavio helps

Safeavio's Money Shield includes the reminder that you never need a PIN or OTP to receive money, which is the heart of this scam. The scam check can review follow-up messages and links that you paste and show why they look risky. It cannot see your bank's fees, so check your statement in the official app. Check your statement. Use your bank app.

• Scam checks
• Identity protection

Questions people ask

Other scams in this group

Also known as: card annual fee refund call, bank charges waiver fraud, excess charges refund scam. More bank and card fraud