Big news for digital transactors! The Reserve Bank of India (RBI) is introducing two-factor authentication (2FA) for online transactions starting April 1, 2026.
This means that from this date, transactions will require extra security measures beyond the usual SMS-based OTPs.
How Will 2FA Work?
When you make a digital transaction, you will now need to use additional security methods such as:
A password
Biometrics (like fingerprints)
Face scan
You can also use a software token like an Authenticator app, which generates a temporary password that expires within a few minutes.
This ensures that only you can complete the transaction.
Why Is 2FA Important?
Experts say this new system will significantly reduce online fraud and cheating.
Even if your phone is stolen or your SIM card is compromised, transactions cannot be completed without your presence.
According to the RBI, this step is aimed at making digital transactions safer and more reliable.
