Starting July 25, 2025, banks in the UAE will gradually stop using one-time passwords (OTPs) sent via SMS or email for online transactions. Instead, customers will need to verify transactions through their bank’s mobile app using in-app confirmation features.

This change will apply to all local and international financial transfers, as well as other digital transactions. The move follows new directives issued by the Central Bank of the UAE and will be rolled out in phases across all banks.

The aim is to strengthen digital security and reduce the risks of fraud associated with traditional OTPs. Cybercriminals have become more advanced, using methods like SIM-swapping and AI-powered scams to intercept or bypass OTPs. As a result, SMS and email-based OTPs are no longer considered fully secure.

Experts welcome the shift, highlighting that mobile apps now offer more secure authentication methods. Many banks are also introducing enhanced tools like behavioral biometrics, hardware authenticators, and security keys for high-value or VIP accounts.

This upgrade in verification methods is part of a broader push by UAE banks and regulators to improve security, protect customer identities, and deliver safer, seamless digital banking experiences.