Online payment can be done without OTP:Transactions can be blocked on SIM device mismatch

The country’s major private banks and telecom companies are working on ‘silent authentication’ technology. This will eliminate the need for one-time passwords (OTP) when making online payments. This system will check in the background whether the number registered in the bank app and the phone’s SIM card match or not. If the SIM and number don’t match, the transaction will be blocked immediately. The special thing is that users won’t need to do anything. This technology will also work on e-SIM (eSIM). This will prevent frauds like SIM cloning and e-SIM swap. This information was given by Sameer Shetty, Head of Digital Business at Axis Bank. Will help in preventing online fraud Shetty said, ‘We are working with telecom companies on several pilot projects of silent authentication. If a person is logged into the app, but their mobile number does not match the registered number, then the telecom network will give us a signal. This will enable us to detect potential fraud without bothering the customer.’ System will work in the background According to PWC India’s cyber leader Sundareshwar Krishnamurthy, until now the security layers were such that they could be easily hacked. Now banks and telecom companies are shifting verification to the core part of the network itself. This system will work in the background, which users or hackers will not be able to see. To ensure security, features like Face ID and code (OTP) generation within the app itself are also being added to it. RBI’s new rules: Two-factor authentication mandatory Under the Reserve Bank of India’s (RBI) new rules, two-factor authentication (2FA) has now been made mandatory for all digital transactions in the country. This includes passwords or PINs (that you remember), OTPs or app codes (that are on your phone), and biometrics (such as face or fingerprint). Although SMS-based OTPs have not been discontinued, banks are now being encouraged to use modern methods like fingerprints and device’s own security. OTPs can also be received on WhatsApp After the new rules, banks will now be able to use third-party apps like WhatsApp to send OTPs. It is estimated that approximately 1000 crore transactional messages are sent every month. Nitin Singhal, MD of cloud communication company Sinch, said that this change will improve customer experience and also reduce transaction failure rates. This will also be beneficial for brands, as an easier checkout process will increase customer trust and accelerate digital adoption.