ACH Fraud Prevention: How to Detect and Report It

ACH fraud happens when someone misuses your banking details or mandate information to initiate a debit you never authorised, and since your loan EMI is typically collected the same way, through a NACH mandate, this makes your EMI mandate a genuine target, not just your general bank account.

• Fraudsters increasingly target the mandate, not just the transaction. Fake "mandate renewal" messages and cloned mandate forms are designed to redirect your EMI to a fraudulent account, not just steal a one-time payment
   
• How fast you report matters more than almost anything else. Reporting a third-party breach within three working days can mean zero liability, waiting longer can shift some of that loss onto you
   
• A disputed transaction doesn't pause your loan obligations. Report the fraud to your bank and separately confirm with Bajaj Finance that your EMI still processed correctly, don't assume one automatically resolves the other
   
• Never verify or update a mandate through a link in a message. Bajaj Finance will not ask you to re-authorise your NACH mandate outside its own official app or portal
   

If you notice an unfamiliar transaction or a change to your EMI mandate, report it to your bank immediately, then check your loan account through My Account or the Bajaj Finance app to confirm your EMI wasn't affected.

ACH fraud refers to an unauthorised or deceptive transaction carried out through an Automated Clearing House (ACH) payment system. ACH enables electronic transfers between bank accounts and can support recurring payments, including authorised loan repayments. Fraud may occur when someone obtains or misuses sensitive banking or mandate information to initiate an unauthorised debit, alters payment instructions, or impersonates a legitimate financial service provider. Common warning signs include unexpected debits, unfamiliar payment mandates, requests for banking credentials, or messages asking you to verify account details through unknown links. If you notice an unfamiliar ACH transaction, check your bank statement and contact your bank promptly through its official channel. For loan repayments, also verify the payment or mandate details with the lender through its official service platform.

How ACH fraud can specifically target your loan EMI mandate

Since your loan EMI is typically collected through a NACH mandate, a form of ACH-based recurring debit, fraudsters sometimes exploit this specific link between ACH and loan repayment. Common tactics include:

• Fake mandate renewal requests: Messages claiming your NACH mandate has expired or needs "re-verification," directing you to a fraudulent link to re-enter your bank details
• Fake EMI collection calls: Callers claiming to represent your lender's recovery team, asking you to authorise an "urgent" debit outside your normal EMI schedule
• Cloned mandate forms: Fraudulent physical or digital NACH mandate forms that redirect your EMI to an unauthorised account instead of your genuine lender

If you receive any communication asking you to update, re-verify, or re-authorise your NACH mandate outside your lender's official app or portal, do not act on it. Verify directly through Bajaj Finance's official channels before making any change to your mandate.

How can you detect ACH fraud early?

Early detection of ACH fraud depends on regularly monitoring account activity and recognising unexpected payment or mandate changes. Review transactions promptly to identify suspicious activity and contact your bank through an official channel before further unauthorised transactions occur.

Look for these warning signs:

• Unexpected debits: Check your bank statement for ACH transactions that you do not recognise or did not authorise.
• Unfamiliar mandates: Review recurring payment instructions and flag any mandate you do not remember setting up, this includes checking that your EMI is being debited by your actual lender, not a similarly named account.
• Unusual transaction alerts: Pay attention to bank notifications for unexpected debits, payment attempts or changes to payment instructions.
• Unknown payment details: Verify unfamiliar transaction references, payee details or debit amounts through your bank's official channels.
• Suspicious messages: Be cautious of emails or messages asking you to confirm banking details, payment information or credentials.
• Unauthorised account changes: Check for unexpected changes to registered contact details or other banking information.
• Repeated small debits: Multiple unfamiliar transactions, even for small amounts, may indicate unauthorised activity and should be reviewed promptly.

Regular monitoring is an important first step in identifying ACH fraud. If you notice an unfamiliar transaction, contact your bank promptly through its official website, application, or customer service channel, and keep relevant transaction records for reference.

Protect your banking credentials and regularly check recurring payment mandates to reduce the risk of unauthorised ACH transactions. ACH fraud may involve misuse of confidential information or payment instructions, so following secure banking practices and acting promptly on unfamiliar transactions can help limit potential losses.

Regular monitoring helps you identify unauthorised activity sooner and take appropriate action. If you find an unfamiliar ACH transaction, contact your bank promptly through an official channel and retain relevant transaction records for reference.

Steps to raise a payment-related request through Bajaj Finance

If you identify a suspicious transaction that appears connected to a Bajaj Finance loan or repayment mandate, use an official Bajaj Finance service channel to raise a request. You should also report the transaction to your bank, as the bank handles unauthorised transactions in the customer's account.

Where the relevant service option is available in your account, you can use the Bajaj Finance App or My Account portal:

1. Sign in using your registered mobile number and OTP
2. Open My Relations and select the relevant loan
3. Go to Help & Support
4. Select Raise Request
5. Choose the relevant payment, mandate or transaction-related category
6. Provide the transaction date, amount, reference details and supporting documents, if requested
7. Save the request or complaint reference number for follow-up

Do not use an unverified phone number, website or payment link received in a suspicious communication. For a disputed bank debit, keep coordinating with your bank and retain the complaint acknowledgement.