Through a press release conducted on September 15, 2020, The State Bank of India announced that it is extending its one-time password (OTP) based cash withdrawal facility for transactions above RS 10,000 throughout the day across all its ATMs all over the country. This would be active from September 18, 2020, as per the bank stated in the press release.
Currently, this additional level of security is available for transactions at SBI ATMs between 8 PM and 8 AM. The Bank states that this update in the setup aims at safeguarding customers from frauds and minimizing unauthorized transactions.
The new system would be in such a way that, for withdrawing Rs 10,000 and above, SBI debit cardholders would have to enter the OTP sent to their registered mobile number along with their debit card PIN each time they try to withdraw above Rs 10,000 from their account. The Bank has also requested and informed its customers to ensure that their correct mobile numbers are updated in the bank’s record to ensure the smooth execution of transactions.
When a customer enters the amount they want to withdraw, a notification will appear on the ATM screen asking for the OTP which would be received on his/her registered mobile number. Customers have to keep in mind that the OTP- based cash withdrawal facility would be available only at SBI ATM’s. This system is not available at non-SBI ATM’s as it has not been developed in the National Financial Switch (NFS). Withdrawal from another bank ATM is usually limited to Rs 10,000.
This initiative of a 24-hour OTP- based cash withdrawal facility by the SBI has certainly strengthened the security level in ATM cash withdrawals. Executing this facility 24hours a day would reduce the risk of SBI debit cardholders from falling prey to unauthorized withdrawals, card skimming, fraudsters, card cloning, and other fraudulent activities. Very recently, the bank started a facility wherein an SBI customer checks his/her bank account balance through an ATM, an SMS will be sent to the customer to inform him/her about the request.