ABU DHABI – The UAE government has announced a significant digital shift in its online payment system, starting from January 6, 2026.
As per the decision, banks will completely phase out the use of SMS-based One-Time Passwords (OTPs) for online card purchases.
A notice sent to customers by banks on December 31, 2025, clarified that online payment verification will only be possible through the bank’s official mobile app. The SMS OTP service will no longer be available after the stated date.
Customers will need to use their bank’s mobile app to complete online transactions. A verification request will be sent via notification on the app.
Banks have urged users to immediately download their official mobile apps, activate them, and enable notifications to ensure a smooth transition.
This move is part of a broader digital transformation process in the UAE, which began last year. From July 2025, UAE banks gradually began limiting the use of SMS and email OTPs for online transactions and money transfers.
The shift is in line with directives from the UAE Central Bank to replace SMS and email-based OTPs with a more secure app-based verification system.
Bank officials stated that this change enhances security, reducing the risk of fraud and issues related to delayed or fake SMS messages.
