The reserve bank of india (RBI) has introduced new rules to strengthen the security of digital transactions in India. Starting soon, online payments will no longer rely only on OTPs (One-Time Passwords) sent via SMS. Instead, they will be backed by multi-layered verification. Here’s a breakdown of what changes for you.

1. OTP Alone Won’t Be Enough

Till now, most online payments relied on OTPs sent to your registered mobile number. The RBI has decided this single-step authentication is not secure enough, as SIM swaps, phishing, and OTP frauds have been rising.

2. Multi-Factor Authentication Introduced

Now, every wallet PLATFORM' target='_blank' title='digital-Latest Updates, Photos, Videos are a click away, CLICK NOW'>digital payment will require at least two verification factors:

• OTP sent via SMS or app notification
• Biometric authentication like fingerprint or facial recognition
• Or a secure password/PIN

This makes it much harder for fraudsters to breach accounts.

3. biometric Verification for mobile Users

For smartphone transactions, users will be able to approve payments by simply scanning their fingerprint or face along with the OTP. This will improve both security and convenience.

4. Desktop Users Can Use Passwords

Not everyone uses biometrics. For desktop or laptop payments, users will have the option to use a secure login password or transaction PIN as the second layer of authentication.

5. More Protection Against Frauds

Cybercrime related to OTP interception, phishing links, and fake payment gateways has surged. With this new rule, even if a hacker gets your OTP, they still cannot complete the transaction without the second verification step.

6. What It Means for Customers

For customers, this means:

• Slightly more steps in payment approval
• Much stronger protection from fraud
• Confidence that wallet PLATFORM' target='_blank' title='digital-Latest Updates, Photos, Videos are a click away, CLICK NOW'>digital payments are safer than ever

7. Rollout Timeline

The RBI has directed banks, wallets, and UPI service providers to implement these rules in phases starting october 2025. customers will be notified by their banks once biometric/password verification is activated.

✨ Bottom Line: Your next wallet PLATFORM' target='_blank' title='digital-Latest Updates, Photos, Videos are a click away, CLICK NOW'>digital transaction won’t just stop at OTPs. With fingerprint or password checks added, India’s payment system is moving toward global best practices in cybersecurity.

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