One-time Passwords: Key to understanding safe online transactions


The Indian economy is about to enter in the list of the top 10 economies of the world with about 126 crore customers of the banking sector. The use of sophisticated information and communication paired with advanced technology enables banks in offering better and safer services to its customers in a reliable and very affordable manner.

One-time passwords are one of the most important messages now a days for any online/ecommerce owners for verification of their customers’ online transaction. It is a system to send a one-time password for money transfer, payment and login for banks. No one can these five-digit codes generated by this technique of messaging for a second time use.

One of the means adopted by banks these days for asafer and reliable service delivery is the use of sms otp api, wherein a code is sent to the customer with the help of a transactional short messaging service with the help of an application program interface.There is no code that can possibly be stolen by any entity. There is hardly any way to predict the next password. In order to login, one must be able to receive text messages on the said device.This technique of safer transactions is presently the most preferable method due to its speed, directness and cost-effectiveness to send a one-time password.

For one-time passwords to function properly, it is necessary to implement application program interface integration services. Other than real time delivery of SMS there are a number of ultimate benefits for the users like the organization of data, customer support and, if SMS is not delivered to the user, a voice SMS at zero cost.

Another method of one-time password verification is the sending of the five-digit code in an e-mail on the customers e-mail address. The customer can use this code in order to authenticate a transaction within a given time frame. This technique of otp sms by mail acts as a second layer of authentication to any transaction, ensuring that the login session is done only by an authorised user.

These codes provide a customer with a high sense of security as well as convenience. The method of one-time password protection is now available in every nook and corner of the world. It is also a very easy technique to adhere to for the safety and security of ones’ online transactions. It comes with the convenience of customizable use i.e. it depends on the choice of the customer to receive in via a text message or an email sent to an authorised email address.

A one-time password is more secure than a static password, especially a user created password, which can prove to be weak. Nowadays, with the threat of cyber security crimes looming over every transaction undertaken by any customer round the world, one-time passwords are of tremendous benefit for the safety of any customer. It is something which is extremely useful and serves a meaningful purpose. Its usage is key to the functioning of a lot of businesses and for verification of your identity.