Multiple Axis Bank credit cardholders have reported instances of fraudulent overseas transactions, raising concerns about the security of their accounts. Customers have observed unauthorized transactions and received OTPs for purchases they did not initiate, with some experiencing difficulties in accessing customer service and closing their accounts.
The issue came to light when customers noticed unusual transactions, including low-value purchases on e-commerce sites, prompting widespread discussions on social media platforms. Despite the alarming reports, Axis Bank officials have stated that there has been no data breach on their end, assuring customers that their data remains safe and secure.
Sanjeev Moghe, head of cards and payments at Axis Bank, confirmed that while the unauthorized transactions were intercepted by the bank’s internal systems, a significant number of customers were impacted. He clarified that the scale of the fraudulent activity was limited compared to the bank’s overall credit card spending.
Moghe attributed the fraud to fraudsters gaining access to a limited number of card numbers and expiry dates, enabling them to carry out unauthorized transactions internationally without additional authentication measures. He explained that the first six digits of a credit card number are specific to the bank and can be obtained when customers use their cards at various establishments.
Axis Bank has taken proactive measures to address the issue, including replacing affected credit cards and reimbursing customers for any debited amounts. The bank has also notified the Reserve Bank of India about the incidents and plans to implement additional security measures to prevent similar occurrences in the future.
Despite assurances from Axis Bank, customers remain wary of potential security risks associated with their credit cards. The incident underscores the importance of vigilance in monitoring account activity and promptly reporting any suspicious transactions to the bank for investigation and resolution.