Question

Which of the following statements accurately describe the security features of UPI?

1. UPI uses a Virtual Payment Address (VPA) to protect sensitive banking details like account numbers.
2. Transactions require sharing of IFSC codes and card details for every payment.
3. The platform enforces two-factor authentication for all transactions.
4. Security in UPI relies solely on the user remembering complex passwords.

• A. ii, iv
• B. i, iii
• C. iii
• D. i മാത്രം

Answer 1

Answer:

B. i, iii

UPI places a strong emphasis on security. A key feature is the use of a Virtual Payment Address (VPA), which acts as an alias, shielding users from having to disclose their actual bank account numbers, IFSC codes, or card information during transactions. This enhances privacy and reduces the risk of data compromise. Furthermore, UPI implements a robust two-factor authentication process, combining something you know (like a PIN) with something you have (your registered mobile device), to authorize transactions. This multi-layered security approach ensures that payments are both quick and secure, aligning with global best practices and regulatory requirements for digital financial services.