UPI payments could soon be authenticated with Face ID, fingerprints: Here’s what we know
UPI payments have become an essential tool for digital transactions in India, serving millions of users every day. The National Payments Corporation of India (NPCI), which oversees UPI, reports that billions of dollars worth of transactions are processed across various UPI platforms across the country. These payments could become even more secure in the future as NPCI explores integrating biometric authentication, such as Face ID or fingerprint sensors, into the UPI system.
Biometric authentication is in development
Recent reports say that NPCI is in talks with companies to implement biometric verification methods for UPI transactions. The move comes after recently Reserve Bank of India (RBI) proposal to explore alternative methods for additional factor authentication (AFA) in digital transactions. RBI has suggested that methods other than traditional PINs and passwords, including biometric options, should be considered to enhance security.
The initial coexistence of PIN and biometrics
NPCI’s current discussions with startups are focused on the financial and legal aspects of potential partnerships. Initially, both PIN-based and biometric authentication methods are expected to be available to users, providing multiple options for securing transactions.
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This development could allow users to authenticate UPI payments using biometric features on their smartphones, such as fingerprint sensors on Android devices or Face ID on iPhones. The move to biometrics was prompted by concerns over the growing number of scams involving UPI transactions, where users are often tricked into sending money to fraudsters using their secure PINs. While the overall UPI framework is secure, these scams have highlighted the need for stronger authentication methods.
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Future prospects
The introduction of biometric verification for UPI payments is seen as a major step towards reducing fraud. However, the timeline for when the feature will be available remains unclear and it is uncertain which UPI apps will support it. With popular platforms like Google Pay, PhonePe, Amazon Pay and Paytm leading the market, it is expected that users will have the option to choose between PIN or biometrics as the technology matures.
