What to do if I shared my OTP in a UPI scam?

Immediately change your UPI PIN and report the incident to your bank's helpline. Follow up by calling the cybercrime helpline at 1930.

How can I identify if I am being scammed during a sale?

Look for signs such as unsolicited urgency, payment confirmation issues, and requests for refunds before seeing actual funds in your account.

How do I report this type of scam in India?

You can report the scam to the cybercrime helpline at 1930 and file a complaint on cybercrime.gov.in. Additionally, inform your bank of any fraud incidents.

What are the recovery steps after being scammed in this scenario?

Contact your bank immediately to halt any further transactions, report the scam to the authorities, and document all details for future reference.

Overpayment and Refund Request Scam

INDIA — By BharatSecure Threat Intelligence Team · Updated Jun 10, 2026

Verdict: Suspicious | Risk Score: 8/10 | Severity: High

Category: UPI, Government Impersonation, Refund

Scam Intelligence: Overpayment and Refund Request Scam

Proprietary signals from BharatSecure's scam-tracking database.

Last reported

Jun 09, 2026

How Overpayment and Refund Request Scam Works

Overview: Overpayment refund scams are a sneaky way fraudsters dupe sellers on OLX and Quikr. The scammer pretends to transfer an amount much greater than the sale price 'by mistake' and urges the victim to refund the difference immediately. The original payment is either totally fake (e.g., forged screenshot), or a reversible transfer that never actually reaches the seller’s account. Sellers end up sending their own money to the scammer, often in haste and confusion. How It Works: 1) Buyer finalizes a sale with the victim. 2) Soon after, claims to have sent a large payment (sometimes double or more the amount agreed) and sends fake proof. 3) Pleads or demands a quick refund of the excess, citing urgent needs or possible trouble with employer/bank. 4) Promises original payment will reflect soon, or blames 'bank delays.' 5) Victim, embarrassed or feeling pressured, sends a real UPI/bank transfer, but never receives the supposed original payment. 6) Scammer disappears. India Angle: This scam is common in urban centres and popular on OLX/Quikr/Facebook Marketplace. Victims cut across age groups, especially part-time sellers or students new to online selling, who may act quickly out of embarrassment or confusion. Real Examples: - "Sir, I transferred Rs. 50,000 by mistake instead of Rs. 5,000. Please refund Rs. 45,000, it's bank audit today." - "UPI delay, but please pay back excess, my account got blocked." Red Flags: - Confusing or complicated payment stories. - Immediate request to refund significant sums. - Only screenshots as payment evidence, no actual UPI credit. - Buyer acts panicked or pressures for fast reversal. Protective Measures: - Never refund any amount until the original payment clears in your bank or UPI app. - Insist on confirming available balance before acting. - Take time to verify any payment story—no matter how urgent it seems. - When in doubt, check with bank customer support. If Victimised: - Call 1930 and report; file a complaint with details at cybercrime.gov.in. - Share all payment screenshots and chats to police and your bank. - Alert others on the platform about the scam pattern. Related Scams: - Fake UPI payment screenshot fraud. - QR code 'receive payment' scams.

How This Scam Works — Detailed Explanation

The Overpayment and Refund Request Scam primarily targets sellers on platforms like OLX and Quikr, where individuals buy and sell used items. Scammers identify potential victims by searching for listings that may be of interest and often establish contact via instant messaging platforms such as WhatsApp. They pose as legitimate buyers, expressing interest in the item and engaging in a conversation to build trust. Once trust is established, they concoct a scenario where, due to a supposed technical glitch, they accidentally transfer an amount higher than the agreed sale price. This initial approach seems innocuous, appealing to the seller's sense of fairness and confusion.

To execute their scam, fraudsters employ various psychological tactics. For instance, they may feign urgency, insisting on an immediate refund of the 'excess' amount. This pressure tactic plays on the natural inclination of individuals to rectify mistakes and be helpful. Scammers often send fake UPI payment screenshots or make reversible transfers, further adding to the chaos. They might insist on a quick resolution, often using convoluted explanations or claiming to be in a hurry, leaving victims flustered and more receptive to sending the refund without properly verifying the payment status. The ambiguity and time pressure can lead individuals to act rashly, bypassing the critical verification steps they might otherwise take.

Victims of this scam often find themselves in a distressing step-by-step scenario. Initially, a seller lists an item for sale at a specific price on OLX or Quikr. When a buyer approaches, the seller engages in the typical sale process. However, as the transaction nears completion, the scammer sends a fictitious screenshot claiming to have sent a much larger amount via UPI. The victim checks their own bank statements, finds no record of the transaction, but the scammer insists, creating artificial urgency. Pressured, the seller may transfer the 'difference' back to the scammer, believing they have rectified an innocent mistake. Unfortunately, the original payment was never real or never arrived. A poignant example occurred in 2022, where victims reportedly lost over ₹100 crore to such scams across various online platforms in India.

The real-world impact of the Overpayment and Refund Request Scam is significant. According to the Ministry of Home Affairs and RBI guidelines, there has been an alarming rise in UPI-related scams, with many victims reporting losses that total in crores. In 2023, CERT-In (Indian Computer Emergency Response Team) issued advisories warning against these kinds of scams, underscoring their high severity level. Several widespread reports indicated that a single scam ring had collectively siphoned off ₹10 crore from over 200 victims across the country. Like other cybercrimes, these scams exploit people’s trust and highlight a growing need for improved awareness and protective measures among users of digital payment systems.

To spot this scam versus legitimate communications, awareness of red flags is crucial. Genuine buyers generally do not pressure for quick refunds, and any legitimate payment transaction will appear in the victim's bank statement or the UPI app. Sellers should thoroughly check their bank account and verify the amounts received before proceeding with any refund. Suspicious requests often come with elaborate stories or insistence on immediate action. Understanding these red flags can prevent individuals from falling victim to such scams, ensuring they remain vigilant in their online transactions.

Visual Intelligence:

BharatSecure's AI has identified this as a used in scams targeting Indian users.

Who Does Overpayment and Refund Request Scam Target?

General public across India

Red Flags — How to Identify Overpayment and Refund Request Scam

Buyer claims to have transferred too much money
Immediate pressure to refund excess payment
No real UPI credit in bank account
Complicated explanations or urgent requests
Reluctance to wait for payment confirmation

What To Do If You Encounter Overpayment and Refund Request Scam

Report the incident immediately by calling the cybercrime helpline 1930 or visiting cybercrime.gov.in.
Do not transfer any money back to the buyer until you confirm the UPI transaction has cleared.
Contact your bank's customer service to report the scenario, using SBI helpline 1800-11-1109 or HDFC helpline 1800-202-6161.
Document all communications with the scammer, including screenshots and messages, to assist authorities in their investigation.
Alert your friends and family about this scam to prevent potential victimization.
Monitor your bank account transactions closely and report any unauthorized transactions to your bank.

How to Report Overpayment and Refund Request Scam in India

Call 1930 — National Cyber Crime Helpline (24x7)
File a complaint at cybercrime.gov.in
Contact your bank immediately if money was lost
Call RBI helpline: 14440 for banking fraud

Frequently Asked Questions

What to do if I shared my OTP in a UPI scam?: Immediately change your UPI PIN and report the incident to your bank's helpline. Follow up by calling the cybercrime helpline at 1930.
How can I identify if I am being scammed during a sale?: Look for signs such as unsolicited urgency, payment confirmation issues, and requests for refunds before seeing actual funds in your account.
How do I report this type of scam in India?: You can report the scam to the cybercrime helpline at 1930 and file a complaint on cybercrime.gov.in. Additionally, inform your bank of any fraud incidents.
What are the recovery steps after being scammed in this scenario?: Contact your bank immediately to halt any further transactions, report the scam to the authorities, and document all details for future reference.

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