Banks in Singapore to phase out one-time passwords in 3 months

Banks in Singapore to phase out one-time passwords in 3 months

July 14, 2024 at 11:37AM

The Monetary Authority of Singapore (MAS) has mandated major retail banks to phase out the use of one-time passwords (OTPs) within three months, in response to increasing phishing and scam threats. Instead, customers will use digital tokens on their mobile devices for enhanced security. Those who haven’t activated digital tokens are encouraged to do so promptly.

Key takeaways from the meeting notes:

1. The Monetary Authority of Singapore (MAS) has mandated the phase-out of one-time passwords (OTPs) for major retail banks in Singapore within the next three months.

2. The decision to phase out OTPs stemmed from the government’s collaboration with the Association of Banks in Singapore (ABS) in an effort to protect consumers from phishing and other scams.

3. Technological advancements and sophisticated social engineering tactics have made it easier for scammers to phish for OTPs, leading to the decision to replace OTPs with digital tokens for customer authentication.

4. Google has taken measures to combat the abuse of SMS permissions, with Singapore being among the first countries to receive the new protections.

5. Digital tokens will now be used by Singapore bank customers for authentication, with a significant percentage of customers from major banks already having activated them on their mobile devices.

6. Customers who have not activated digital tokens are strongly encouraged to do so to enhance security against phishing and scams.

7. Customers who continue to use OTPs will be in the minority as digital tokens become the primary authentication method.

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