India, March 7 -- The Reserve Bank of India (RBI) yesterday released draft guidelines for a compensation scheme to protect consumers from digital fraud. 

Under the proposed regime, aggrieved customers will be reimbursed up to 85% of their lost amount or Rs.25,000, whichever is lower. The compensation can be claimed only once in a customer's lifetime.

The draft rules also shift the burden of proving customer liability to banks. This means banks will have to show that the customer was responsible in cases involving fraudulent electronic transactions. The directions will apply to transactions carried out on or after July 1, 2026.

The draft norms have also capped the maximum loss amount, for which reimbursement can be claimed, at Rs.5...