Challenge Flow

Challenge Flow Characteristics

User is prompted to verify their identity via OTP, biometric, or app approval.

Used when:

• Higher-risk transaction
• Regulatory requirements
• New device or unusual behavior

Common Challenge Methods:

• One-time passcode (OTP)
• Push notification to banking app
• Biometric verification (face/fingerprint)

Sequence:

1. Merchant sends authentication request.
2. Issuer identifies higher risk.
3. User is presented with challenge UI.
4. User completes challenge and transaction continues.