RBI's New Digital Payment Rules: Stricter Security from April 1

• RBI's new rules for digital payments will be implemented nationwide from April 1, enhancing security.
• Mandatory two-factor authentication will include dynamic factors like OTP, biometrics, or device-based authentication.
• The new framework allows banks and fintechs flexibility to use various tools, moving beyond the OTP-only system.
• Changes address rising fraud risks amidst rapid growth in digital payments, increasing consumer trust.
• Increased issuer liability for banks and payment providers, while merchants benefit from reduced fraud and disputes.