OTP fraud : How to avoid OTP fraud | Eswari Capital

Posted On: 05-May-2022


To know about otp fraud, you must know what otp is. As most of you all use the digital payment transaction methods you all are aware of what one time password is. For those who do not know otp is a unique numeric code that is required while you carry out online transactions. For every transaction that you make you get a new numeric code which you receive via text messages in your mobile number. The main purpose for using otp is that it authenticates online transactions or wallet payments for internet users. However, as it is about money, online fraudsters have been coming up with ways to get their hands on the confidential otp that belongs only to you.

Before we make you aware of these frauds, let's just tell you how the fraudsters carry on their stealing process. They get their hands on a range of techniques to target and steal your OTPs and finances. If you are an aged person or you're using internet for the first time it's a major security threat for you. But these threats can easily be avoided with a few basic steps.

1. Share Your OTP With No one

The first thing that your financial institution or any financial institution tells you is that never to share your otp with anyone not even with the banks. No matter who is the one asking you but you must never share your password. It is important for you to know that banks don't ask for OTPs, so if you're asked for an OTP you're being cheated.

2. Know Your Source and Amount Details

In order to avoid otp frauds you have to be conscious about minute but important details. Every time you make online payments double check the amount that's going to be debited from your account, and also check the name of the merchant you're making the payment to. If the source doesn't seem original or authentic and if you figure that the amount is changed cancel it immediately.

3. Receiving Money Requires No OTP

You must remember the fact that OTP is required only when you are making a payment and not when you're receiving one. So never give out an otp when asked even if the fraudster tells you that you're going to receive money. Receiving money requires no OTP. There have been incidents when people were asked to give out OTPs in the hope of receiving money. And clearly they were duped.

4. Avoid Using Suspicious Apps On Your Phone

Fraudsters also have ways to use apps to get through to your OTPs as well as card details. Thus avoid using apps that you might find suspicious.

5. Use Official Customer Service Numbers Only

You'll find many phone numbers on internet that you may think belongs to your bank. But do not contact them all. Contact only the one that is officially your customer service number. Also use official sites only if you're surfing through internet.

These are some of the most common ways in which the otp scammers in India trap you into their fraud. Avoid otp frauds in India as well as anywhere in the world by checking and avoiding doing the mentioned things.