What to Do if You Transfer Money to the Wrong Account?
Reviewed by: Fibe Research Team
- Published on: 2 Jan 2025
Reviewed by: Fibe Research Team
In the era of instant digital payments, transferring money has become quick and convenient. But it does happen at some point, and the money could be deposited in the wrong account. If you ever get into asking, “I send money to wrong account. What do I do now?” let this blog help you out. Taking legal action as early as possible and using proper procedures is beneficial to dismissing the money or solving the problem correctly.
You may get transferred money to the wrong account when, for instance, a wrong account number is typed, or an incorrect recipient is chosen from the list of contacts. Such errors can create tension and be a nuisance for the patient. So, if you mistakenly send money to the wrong account, it is essential to do something faster to improve the chances of returning the money.
If you mistakenly transferred money to the wrong account, here are the steps you should follow to address the issue effectively:
Do not panic. Instead, double-check the details of the transaction. Check the account number, IFSC code, and the beneficiary’s name. Sometimes, the transaction may fail because the particulars provided are inaccurate or missing.
Once you realise that the amount transferred to wrong account. Let your bank know as soon as possible. In most instances, any disagreements often have the bank’s grievance redressal mechanism to turn to. Share all relevant details of the transaction, such as:
Your bank may try to talk to the recipient bank to have your money blocked or to help them reverse the payment.
Lastly, if the money has been credited to an unintended account, you can call your banker or the bankers of the intended recipient. Give them the exact transaction details and ask them to help you recover your money.
The government’s rules and regulations make financial institutions accountable for their customers. However, if the recipient rejects the return of the money, then it may take legal action. Here’s how:
You should copy the recipient bank when writing your complaint to your bank if necessary. Most banks have established mechanisms to address the issue of wrong account money transfers.
However, you must go to court if all your efforts prove futile. It is advisable to look for a lawyer who will explain your legal privileges and the chances that you will get back your money. This could be quite a lengthy process, but it could be the final strategy in some cases.
Prevention is better than cure regarding the pitfalls. Here are some preventive measures:
Before commencing a transaction, consider the account number, account holder’s name, and IFSC code. A minuscule error in the number can result in an amount being transferred to the wrong account.
When making more frequent transactions, ensure you have registered the beneficiary details in the Banking App/portal. This way, there is less possibility of making an error when the payment is due to be made again.
Apply the transaction alerts and notifications option to monitor payment in real-time. If you see an error, you can immediately fix it; if you are alert, you can easily prevent it.
Transferring the money to another’s account by mistake is rather unpleasant. You can get your cashback by taking the correct measures and acting fast. It is advisable to cross-check your details to prevent mistakes and keep a record of your transactions. If you have similar concerns, follow the steps mentioned above to sort out the problem.
Yes, banks can help reclaim money sent to the wrong account. Usually, they consult with the recipient’s bank to block the money and ensure it is returned. However, recovery depends on some factors, such as whether the recipient agreed to repay the amount or whether the amount has already been expended.
To report a complaint with your bank, you visit the banking hall, call customer care, or use the bank’s online complaint reporting. They include transaction information in which one needs to include the transaction identification number, amount, date, and the wrong account number.
