Use '1600xx' number series to call customers for transactions: RBI to banks

The Reserve Bank has directed all REs to ensure compliance with these instructions expeditiously, no later than March 31, 2025.

The RBI on Friday asked banks to use only the ‘1600xx’ phone numbering series to call customers for transactional purposes in order to prevent financial fraud.

It further stated that for promotional purposes, banks and other regulated entities (REs) should use only the ‘140xx’ numbering series to prevent financial frauds perpetrated through voice calls and SMS. Banks and other REs have also been asked to monitor and clean their customer databases.

The proliferation of digital transactions, while offering convenience and efficiency, has also led to a surge in frauds, a pressing concern underscoring the need for concerted action, according to a Reserve Bank circular to REs. The mobile number of a customer has become a ubiquitous identifier, essential in the account authentication and verification process. It is used for receiving sensitive payment communications such as OTPs, transaction alerts, and account updates. However, the mobile number can also be misused by scammers to commit various types of online and other frauds, the circular noted in its document on ‘Prevention of financial frauds perpetrated using voice calls and SMS – Regulatory prescriptions and Institutional Safeguards.’

The RBI instructed the REs to undertake transactional or service calls only using the ‘1600xx’ numbering series, when operationalized. For promotional voice calls, the number series ‘140xx’ should be used. REs are also required to follow the ‘Important Guidelines for sending commercial communication using telecom resources through Voice Calls or SMS,’ as issued by the Telecom Regulatory Authority of India (TRAI).

Additionally, the RBI asked the REs to utilize the Mobile Number Revocation List (MNRL) available on the Digital Intelligence Platform (DIP) developed by the Department of Telecommunications (DoT) and the Ministry of Communications to monitor and clean their customer database.

To enhance fraud risk monitoring and prevention, REs have been asked to develop Standard Operating Procedures (SOPs) incorporating the necessary actions. These actions include updating the registered mobile number (RMN) after due verification, and enhanced monitoring of accounts linked to revoked mobile numbers to prevent these accounts from being operated as money mules or being involved in cyber frauds.

The Reserve Bank has directed all REs to ensure compliance with these instructions expeditiously, no later than March 31, 2025.