SBI ATM Frauds: Bank extends OTP-based cash withdrawals 24×7 to check unauthorized transactions

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Updated: Sep 16, 2020 6:08 PM

The bank is extending OTP-based cash withdrawal for Rs 10,000 and above throughout the day across all SBI ATMs in the country.

sbi unauthorised atm transaction, sbi atm, cash withdrawal, otp required, Debit card PIN, frauds, unauthorized transactionsFintechs have played a significant role in giving a strong impetus to digital avenues through a consumer-oriented prism.

The SBI has extended the OTP based ATM withdrawals to 24×7 for Rs 10,000 and above at all SBI ATMs effective September 18, 2020. It, therefore, becomes essential for every SBI savings account holder to register or update their mobile numbers with the bank. The latest SBI initiative will help to provide safety and security to account holder from frauds and minimizing unauthorized transactions.

With an aim to reinforce its ATM security system and safeguarding customers, country’s largest lender, State Bank of India (SBI) had introduced OTP based cash withdrawals of above Rs 10,000 between 8 PM – 8 AM through SBI ATMs from January 1, 2020. Now, Bank is extending OTP-based cash withdrawal for Rs 10,000 and above throughout the day across all SBI ATMs in the country starting September 18, 2020.

For withdrawing Rs 10,000 and above, SBI debit card holders now have to enter OTP sent on their registered mobile numbers along with their debit card PIN each time.

With the introduction of 24×7 OTP-based cash withdrawal facility, SBI has further strengthened the security level in ATM cash withdrawals. Implementing this facility throughout the day would prevent SBI debit cardholders from the risk of falling prey to fraudsters, unauthorized withdrawals, card skimming, card cloning and the likes.

The OTP is a system-generated numeric string of characters that authenticates the user for a single transaction. Once customers enter the amount they wish to withdraw, the ATM screen will ask for OTP where they would require to enter the same received on their registered mobile number. The OTP based cash withdrawal facility is available only at SBI ATMs as this functionality at non SBI ATMs has not been developed in National Financial Switch (NFS).

Under the OTP-based withdrawal system, a customer cannot withdraw more than Rs 10,000 from the bank’s ATM without providing OTP received of his registered mobile number.

So, from September 18, any cash withdrawal over Rs 10,000 anytime during the day, the debit card holder will have to provide OTPs received on their mobile phone along with the Debit card PIN.

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