State Bank of India (SBI), the country's largest lender, has announced the launch of OTP-based ATM withdrawal to minimize the number of unauthorized transactions taking place at ATMs. The OTP-based cash withdrawal system will be available across ATMs of State Bank with effect from January 1, 2020, between 8 pm and 8 am. This OTP-based cash withdrawal system will be applicable for transactions above Rs 10,000, SBI said in a press release. (Also Read: How To Apply For State Bank Of India Chip And PIN-Based Card To Exchange Your Magstripe Card)
With the introduction of its OTP-based cash withdrawal facility, State Bank ATMs has added another layer of security for cash withdrawals. "Introducing the OTP-based cash withdrawal system to help protect you from unauthorized transactions at ATMs. This new safeguard system will be applicable from 1st Jan, 2020 across all SBI ATMs," SBI tweeted. (Also Read: Here Are Latest Savings Deposit Interest Rates Offered By State Bank Of India)
Introducing the OTP-based cash withdrawal system to help protect you from unauthorized transactions at ATMs. This new safeguard system will be applicable from 1st Jan, 2020 across all SBI ATMs. To know more: https://t.co/nIyw5dsYZq#SBI#ATM#Transactions#SafeWithdrawals#Cashpic.twitter.com/YHoDrl0DTe— State Bank of India (@TheOfficialSBI) December 26, 2019
The customer will receive the One-time password (OTP) on his / her mobile number registered with the Bank. OTP is a system-generated numeric string of characters that authenticates the user for a single transaction.
The facility will not involve any major change in the process of withdrawing cash from State Bank ATMs.
This facility will not be applicable for transactions, where a State Bank card holder withdraws cash from another bank's ATM, because this functionality has not been developed in National Financial Switch (NFS).
In this process, once the cardholder enters the amount they wish to withdraw, the ATM screen displays the OTP screen. The customer has to input / punch the OTP received on his mobile number registered with the Bank in this screen for getting the cash.
This additional authentication factor will protect the card holders of State Bank from unauthorized ATM cash withdrawals.