The Public sector Canara Bank plans to launch India’s first OTP facility for cash withdrawals. The OTP facility will on cash withdrawals of Rs 10,000 a day from ATM machines. In a tweet on August 20, Canara bank said, “Now your ATM cash withdrawals in Canara Bank ATMs get safer and more secured with OTP facility on cash withdrawals above Rs 10,000 in a day. This additional factor of authentication protects from unauthorized ATM cash withdrawals for our cardholders”.
Canara Bank is not the only one which is taking measures to safeguard its customers, many banks are working on the issue as well. They are coming up with new technology and ideas to safeguard their customers against risks while using debit cards for cash withdrawal at ATMs.
Under the facilities given by SBI, its customers can initiate the cash withdrawal process from its YONO app and then set a six-digit PIN for the transaction. They will also get a six-digit reference number on their registered mobile numbers via SMS. The cash withdrawal has to be completed within the next 30 minutes at an ATM by using both the PIN and the reference number.
Previously, RBI also said that ATM transaction which fails due to technical reasons like hardware, software, communication issues, non-availability of currency notes in the ATM or invalid PIN/validations, will not be counted as valid ATM transactions for the customer. Consequently, the bank will not levy any charges.