Source: The Economic Times India
MUMBAI: Many e-commerce platforms and mobile apps are set to do away with the second-factor authentication of one-time passwords (OTPs) for regular customers on payments up to Rs 2,000, making online transactions quicker and smoother.Flipkart has already done so, and others like Swiggy and ride-sharing apps are about to follow.A key driver for this has been the phased relaxation of rules by RBI—most recently last Friday—on one-time passwords. The central bank had allowed banks to facilitate transactions without OTP for online transactions so long as the merchant can verify the customer.Puneet Jain, senior vicepresident in charge of Paytm’s payment gateway, said his company is empowering merchants to accept credit card payments without OTP, subject to a one-time consent.Another recent innovation is the enabling of recurring payments. We are now letting customers authorize such payments through the unified payment interface (UPI) in addition to cards and wallets,” he said.Paytm’s payment gateway, which is a part of One97, claims to have 40% market share in volume of transactions.
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