Starting this month, two-factor authentication (2FA) is mandatory for all digital payments, including UPI.
This means OTP alone is no longer enough — every payment needs at least two verification steps. These steps can include PIN, OTP, fingerprint, or face recognition.
Payments will be classified as per risk-based checks, so bigger or unusual transactions may need extra verification, according to The Financial Express.
What's in it for you?
MORE SECURITY: Many fraud cases occur through scams such as phishing and SIM swaps. The extra verification will make payments more secure.
ACCOUNTABILITY: The RBI has also increased accountability for banks and payment platforms, who must compensate users if any fraud occurs due to failure in their systems.
SLIGHT DELAYS: Certain larger transaction payments may feel slightly slower due to extra verification steps.
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