Beware of SIM-swap scam: Protect yourself from financial losses

SIM card scams are a growing concern in our digital world.

Fraudsters use various tactics to trick people and steal their personal information, resulting in significant financial losses. 

Here is the SIM card swap scam, its effects on individuals, and important tips to avoid becoming a victim of this fraudulent activity.

The Rising Threat

SIM card fraud cases in India have seen a concerning rise, with individuals experiencing substantial financial losses.

As per the report, a businessman from Delhi lost Rs 50 lakh, and another person from Kolkata suffered a loss of Rs 72 lakh.

These incidents emphasise the importance of remaining vigilant and taking proactive steps to protect our financial security.

How Does the Scam Work?

Fraudsters use a clever method to carry out SIM card fraud.

They start by acquiring personal identification documents like Aadhaar and PAN cards.

Using these documents, they contact the victim's SIM card provider and falsely report a damaged SIM card. By doing so, they obtain a duplicate SIM card.

Once activated, the scammers gain full access to the victim's online banking services and intercept all One-Time Passwords (OTPs) generated for transactions.

Protecting Yourself

To protect yourself from SIM card swap scams, here are some important measures to consider:

1. Explore E-SIMs: Opt for E-SIMs, which offer increased security compared to physical SIM cards. They are more challenging to swap, making it harder for fraudsters to exploit your personal information.
2. Benefit from E-SIM technology: E-SIMs provide a safer alternative by reducing the risk of unauthorised SIM card duplication. This adds an extra layer of protection to your mobile device and helps safeguard your financial accounts.
3. Utilise Google Authenticator: When conducting banking transactions, consider using Google Authenticator. This app generates One-Time Passwords (OTPs) that change every 30 seconds. Such dynamic OTPs make it difficult for scammers to intercept and use them, enhancing the security of your financial accounts.

By following these preventive measures, you can significantly reduce the chances of falling victim to SIM card scams and protect your financial well-being.