Automated Fee Payment Systems in ATM Enhancing Security & Efficiency Through OTP Verification

Abstract

This paper explores the integration of automated fee payment systems in ATMs, focusing on the use of One- Time Password (OTP) verification to enhance transaction security and efficiency. The system allows users to authenticate their identity through an ID card, enter a unique Zero Payment Reference Number (ZPRN), and deposit the required fee. The ATM then sends an OTP to the user’s registered mobile number, which the user must enter to complete the transaction. This method prevents unauthorized transactions, even if the ID card and ZPRN are compromised. The paper examines the design and implementation of these systems, their advantages, and challenges. It highlights how OTP verification increases security and user confidence, making ATMs a more reliable option for complex financial transactions. Additionally, it discusses the potential for future enhancements such as biometric authentication and blockchain technology to further improve ATM security and efficiency. Despite challenges like technical issues and the need for user education, the benefits of automated fee payment systems with OTP verification make them a significant advancement in financial technology.