Today, most people use UPI for daily payments and transactions. After UPI adoption increased, many users reduced their cash dependency. However, several cases now show UPI accounts getting frozen due to suspected scams. Recently, a Kerala resident raised concerns about such an incident.
Kerala User Claims Bank Froze Account After Unknown UPI Payments
Recently, Futumbaka Suma from Kerala shared a post on social media platform X. He explained that he received two unknown UPI payments in his account. The payments arrived on August 31 and August 4. According to his post, HDFC Bank froze his account without giving any notice. He refused to return the money immediately because he suspected a possible scam. Later, the sender contacted him through WhatsApp. Suma asked the sender to approach the bank and promised a proper refund process. He said he wanted to avoid becoming part of any scam.
However, he claimed HDFC blocked the amount and froze his entire account. He also tagged Kerala Police while sharing his concern.
Suma said a Kerala High Court decision states that banks can freeze only the disputed amount. According to him, banks cannot block the complete account.
He questioned how he would manage expenses, payments, and employee salaries. He also mentioned contacting the cyber cell through email.
Furthermore, Suma said the response team helped him. He also shared that he was recovering from jaw and spine injuries.
@TheKeralaPolice I’d like to bring to your notice that on the 31st and 4th of August I received two unknown payments via UPI. I did not send it back as I thought it was some scam. When the sender reached out on WhatsApp I did the responsible thing of saying contact your bank and… pic.twitter.com/q7DmCoJAXd
— Alex (@verghesaurus) September 6, 2026
What Do RBI Rules Say About Frozen Accounts?
According to RBI and court rules mentioned in the case, banks cannot freeze an entire account in such situations. Banks can place a hold only on the disputed amount.
This rule allows users to access their remaining balance. Therefore, customers can continue using other available funds.
If any bank freezes an account completely in such cases, users need to inform the bank within 24 hours. This allows the bank to address the issue quickly.
