Custom Search

Thursday, March 3, 2011

Second identification detail for ATM transactions soon

Bank customers will soon have to use a second identification detail for ATM and debit card transactions, according to a Reserve Bank of India official. The move will help curb card frauds. Currently, customers use only PIN number for ATM transactions.

G Gopalakrishna, executive director, RBI, while talking on the sidelines of a technology summit organised by Indian Banks Association, said dynamic numbers could be generated and ATMs could have an arrangement to create such dynamic numbers.

With the exponential rise in the use of debit cards and ATM cards for cash withdrawal, instances of card frauds have also gone up. Taking a leaf out of the use of a second identification for online transactions involving credit cards, RBI will extend this practice to ATM operations as well. After a second identification, generally a randomly generated dynamic number, was introduced, a sharp decline in online card frauds was seen, the official said.
Talking about the IT Vision Document 2011-2017 rollout, Gopalakrishna said banks will have to form a panel at the board level and appoint chief technology\information officers to oversee IT security and operations.

These recommendations will be implemented within three months.

The Vision Document sets priorities for commercial banks to move forward from their core banking solutions to enhanced use of IT in areas like management information systems, regulatory reporting, overall risk management, financial inclusion and customer relationship management.

Source: Business Standard


Post a Comment

Popular Posts

Desi Google | A2Z Famous Quotes | What's Cooking America | Joke Site