Two-Factor Authentication

byPaytm Editorial TeamLast Updated: August 19, 2025

Meaning

Two-Factor Authentication (2FA) is a security process that requires two verification steps to complete a transaction.

How It Works

Along with entering a password, users need an OTP, biometric, or security PIN to confirm their identity.

Advantages

  • Extra layer of security
  • Protects against unauthorized access
  • Widely used in banking and digital payments

You May Also Like

Input Tax CreditNovember 10, 2025

Input Tax Credit (ITC) is a crucial mechanism under the Goods and Services Tax (GST) regime, allowing businesses…

AutoPayLast Updated: July 31, 2025

Definition AutoPay is a feature that allows users to set up automatic, recurring payments for bills, subscriptions, EMIs,…

Financial Inclusion FundFebruary 6, 2026

Meaning A Financial Inclusion Fund (FIF) is a dedicated pool of resources designed to promote access to financial…

UPI Failed Transaction NotificationLast Updated: November 14, 2025

Definition A UPI Failed Transaction Notification is a message informing users that a payment could not be processed.…

Van Dhan YojanaNovember 3, 2025

Meaning A government scheme empowering tribals by adding value to minor forest produce (MFP).Definition The Van Dhan Yojana…