With the growing use of quick digital payments, UPI has made transferring money much easier. But this convenience also brings the chance of making mistakes, like typing in the wrong UPI ID or selecting the wrong recipient, which can lead to your money ending up in the wrong account.
Immediate Steps to Take
1. Verify the Transaction Details: Once you realize a mistake, double-check the transaction information, including the UPI ID, transaction ID, and amount. This verification will be important for taking the next steps.
2. Contact Your Bank or UPI Service Provider: As soon as you realize the mistake, contact the UPI app's helpdesk or your bank's customer service. Share details such as the transaction ID, the wrong UPI ID, the date, and the amount. To ensure there’s a record of your complaint, follow up with an email.
3. Request Reversal of Funds: Your bank will attempt to contact the recipient’s bank. If the money went to an existing account, banks generally require the recipient’s consent to reverse the transaction.
What Happens Next?
Your bank will start the recovery procedure as soon as you disclose the problem. The bank will get in touch with the incorrect receiver immediately to request a refund if the transfer took place within the same bank (intra-bank). For interbank transactions, your bank will contact the recipient's bank to fix the problem. If the recipient agrees to return the funds, they will be refunded to your account within 7-10 working days. If the recipient refuses to cooperate, you may need to pursue legal action to collect the payments.
What If the Recipient Refuses?
You can file a written complaint with the National Payments Corporation of India which regulates UPI payments, if your bank is unable to retrieve the money. NPCI will look into the situation more. Legal action might be necessary if the recipient continues to refuse to return the funds. It is crucial to keep all communication records and transaction details as evidence throughout the process.
Tips to Avoid Wrong Transfers
Double-Check Payment Details: Always verify the recipient’s UPI ID, name and amount before sending money, especially for large transactions.
Send a Test Amount First: Always send a small test amount before making a larger transaction. This helps to validate that the recipient's information is correct before transmitting the entire money.
Use Payment Confirmation Features: In most instances, banking apps have confirmation panels. Reviewing these thoroughly before completing the payment will help you avoid errors, so take your time.
