UPI Adoption and Fraud Prevention Awareness: A Comparative Study of Digital Payment Literacy Interventions Across Urban and Rural Rajasthan

Abstract

The present comparative study examines adoption rates of the Unified Payments Interface (UPI) and current amounts of fraud-prevention awareness in the urban and rural centers of Rajasthan, and at the same time assesses the effectiveness of digital-payment literacy programs. Using a mixed-method design with 350 participants, the study outlines a slightly high level of urban-rural differences in UPI adoption (82 of 100 versus 54 of 100), in fraud knowledge (71 of 100 versus 38 of 100), and in the efficacy of solutions (7.8 of 10 versus 5.1 of 10). Compared to urban UPI users, where the rate of fraud victimisation is 31% per 100 000, rural UPI users are more victimised (31 000 000:21 000 000). The key results suggest that the socio-economic factors, including education, income, and smartphone literacy, can explain about 69 percent of the adoption, and cultural aspects, including trust, linguistic challenges, and the general level of digital literacy, have a formidable effect on the uptake and the prevention of fraud. QR-code scams, counterfeit apps in payments and stealing UPI PINs are UPI-specific types of fraud, which happen to 43 per cent amongst rural users and 28 per cent among urban users. The study thereby supports the existence of intervention specific intervention measures including training in the vernacular language, Immersive UPI workshops, community-based learning, and integration with the available government programs. Evidence-based guidelines are capable of resolving structures gaps, facilitating collaborations among stakeholders, and advancing situational educational strategies aimed at achieving safety and effective implementation of UPI among various groups of people.