The additional security layer for mobile banking purposes using credit card has been added by banks with effect from today. The second layer was implemented after it was mandated by Reserve Bank of India for customers to get a one time use password for every transaction using mobile phone so as to decrease the rise in frauds.

From February 1, today, customers will only be allowed transaction over phone for their credit cards after they have an additional One-Time Password (OTP).

Earlier RBI wanted the process to get implemented by January 1, but after some banks requested for some more time to appropriately implement it, the date was extended by another month.

The OTP will now be required for all credit card transactions over phone, including payments and automated IVR ( Interactive Voice Response ) services.

With the new security layer in place, at least five sets of numbers would be needed by customers to conduct credit card transactions over phone viz. the 16-digit card number, card expiry date, CVV (Card Verification Value, which is printed on the back of the card) number, mobile number and the OTP.