No OTP for Payments? Your Card Safety in 2025

Big payment networks want to replace OTPs with AI-based checks when you pay online. This could make checkout faster — but many Indians worry: without an OTP, how will you know if someone else is spending your money?

Here's what happened: Global payment networks are pushing to retire OTP-based authentication, calling it outdated for today's fraud landscape.. AI-powered systems would instead silently analyse your device, location, spending pattern, and behaviour to approve payments.. India's RBI already nudged banks toward 'risk-based authentication' in 2023, allowing OTP-free transactions below ₹15,000 on trusted devices..

What you should do: Enable transaction alerts via SMS and app notifications on ALL your cards — if OTP goes away, alerts become your only real-time fraud signal.. Review your card's 'zero liability' fraud policy with your bank — confirm in writing that unauthorised transactions are covered even without OTP misuse.. Lock unused cards or set international/online usage limits to ₹0 via your bank app right now — this limits your exposure regardless of authentication method..

RBI's tokenisation rule already replaces your card number with a unique token on apps like Amazon and Swiggy — enabling this for all saved cards is your strongest protection if OTPs disappear.