Banks push video KYC as frauds soar to ₹21,515cr

Business Dec 31, 2025

With banking frauds hitting ₹21,515 crore in the first half of FY26 (April-September 2025)—even as the number of cases dropped—banks are switching gears.
Video KYC is now being promoted over eKYC for opening digital accounts, since it's seen as a safer bet.

Why are banks changing things up?

Big names like HDFC, SBI, and ICICI want customers to come in for in-person checks instead of just online forms.
ICICI even paused instant savings accounts for non-salaried folks.
Most of the money lost—about 81%—was from advance-related frauds.

What's the catch with video KYC?

Video KYC means live verification by bank staff, which helps cut down on fraud but isn't cheap.
Banks need to invest in tech and train people to handle these calls.