UG III Year FC ( Digital Awareness –Cyber

Security )
Unit I
Computer security refers to protecting and securing computers and their related
data, networks, software, hardware from unauthorized access, misuse, theft,
information loss, and other security issues. The Internet has made our lives easier
and has provided us with lots of advantages but it has also put our system’s
security at risk of being infected by a virus, of being hacked, information theft,
damage to the system, and much more.

Types of computer security

Computer security can be classified into four types:

1. Cyber Security: Cyber security means securing our computers, electronic
devices, networks , programs, systems from cyber attacks. Cyber attacks are those
attacks that happen when our system is connected to the Internet.

2. Information Security: Information security means protecting our system’s

information from theft, illegal use and piracy from unauthorized use. Information
security has mainly three objectives: confidentiality, integrity, and availability of
information.

3. Application Security: Application security means securing our applications and

data so that they don’t get hacked and also the databases of the applications
remain safe and private to the owner itself so that user’s data remains confidential.

4. Network Security: Network security means securing a network and protecting

the user’s information about who is connected through that network. Over the
network hackers steal, the packets of data through sniffing and spoofing attacks,
man in the middle attack, war driving, etc, and misuse the data for their benefits.

What is Firewall?

A firewall can be defined as a special type of network security device or a software

program that monitors and filters incoming and outgoing network traffic based on a
defined set of security rules. It acts as a barrier between internal private networks and
external sources (such as the public Internet).

The primary purpose of a firewall is to allow non-threatening traffic and prevent

malicious or unwanted data traffic for protecting the computer from viruses and
attacks. A firewall is a cybersecurity tool that filters network traffic and helps users
block malicious software from accessing the Internet in infected computers.

How does a firewall Work?

As previously mentioned, a firewall keeps track of all network traffic entering your
computer system. It acts as a barrier between your network and the internet to
secure your computer system. Firewalls examine the origins of data packets and filter
malicious and permitted network traffic. Additionally, they do deep packet
inspections to find malicious traffic that might try to get beyond the firewall.

Types of Firewalls
There are various types of firewalls. Some important firewalls are as follows:

1. Packet Filters

It is also known as screening filters and screening routers. A packet filter passes
(forwards or discards) a packet after applying a set of rules and making a decision
based on the output. Although IP spoofing, source routing assaults, and micro
fragment attacks can compromise packet filter security. Stateful packet filters and
dynamic packet filters are examples of advanced packet filters.

2. Circuit Gateway

It is comparable to an application gateway but has more features, such as creating a

new connection with a remote server. Additionally, it has the ability to modify the
packets' source IP address to utilize the end user's IP.

3. Application gateway

It is also known as the Proxy server. Since it acts as a proxy or substitute, controls the
flow of application-level communication, and shields the source IP from prying eyes.

Advantages and Disadvantages of Firewall

There are various advantages and disadvantages of the firewall. Some main
advantages and disadvantages of firewalls are as follows:

Advantages

1. It is a security tool that secures a computer system by creating a wall between

the system and malicious sources. Firewalls shield computers from virus
damage and block all trojans using their pre-set criteria.
2. Hackers constantly have malicious intentions when using a system or the
internet. A firewall provides security to those who wish to abuse or access
various sources.
3. Firewalls monitor all sources and traffic that may harm the computer system
since they might be harmful or undesirable sources and prevent them.
 4. Personal information is protected by a firewall so that it may not be
compromised. It provides anonymity and blocks any undesirable websites.

Disadvantages

1. If a firewall is running in the background, it might have an impact on the

performance of RAM resources and processor power. As a result, the total
system performance slows, but the hardware firewall is less effective in
slowing it down.
2. Hardware firewalls are more expensive than software firewalls and therefore
require more maintenance. Thus, software firewalls are less expensive and may
be utilized for personal purposes.
3. Many large organizations use IT staff and expertise to handle the firewall
because it is not manageable by anyone else.

What is Antivirus?
Antivirus software system scans a system for worms, viruses, and other threats and
finds, stops, and gets rid of them. Most antivirus programs have an automatic update
capability that downloads the latest virus profiles and scans for new dangers. It
should be installed on every system, but picking the right program is very important.

It was originally developed to identify, protect, and eliminate viruses from a system.
Some common instances of antivirus software are McAfee, Norton, BullGuard, etc.
Emails are a typical way for malware to access the system, and the email's
attachments could contain viruses. If the antivirus finds any such programs that may
have a security risk to your system, it can block, repair, or entirely remove the
software from the system.

How does Antivirus Work?

Antivirus software prevents malware or viruses from harming your device by
identifying, quarantining, and removing the dangerous code. Modern antivirus
applications update themselves constantly to provide improved defense against new
viruses and malware. Antivirus software employs a systematic threat detection,
identification, and removal approach.

1. Detection

The antivirus software firstly detects the malicious file or program.

2. Identification

It determines whether the threat is a worm, virus, trojan, etc.

3. Removal

Antivirus takes steps to remove the infected file based on the detected problem. It
has the ability to block, repair, or fully remove the software from the device and
restore the original backup program.

Internet safety and digital security :

Internet Safety :
Internet safety, also known as online safety, cyber safety and electronic
safety (e-safety), is the act of maximizing a user's awareness of personal safety
and security risks to private information and property associated with using
the Internet, and the self-protection from computer crime.

Unit II
What is Internet Banking?
Internet banking, also known as online banking or e-banking or
Virtual Banking or Net Banking or web banking or home
banking, is a facility offered by banks and financial institutions that
allow customers to use banking services over the internet. Customers
need not visit their bank’s branch office to avail each and every small
service. Not all account holders get access to internet banking. If you
would like to use internet banking services, you must register for the
facility while opening the account or later. You have to use the
registered customer ID and password to log into your internet banking
account.

 Internet banking is an electronic payment system that enables

customers of a bank or other financial institution to conduct a range
of financial transactions through the financial institution's website.

Features of OnLine Banking

Given below are some of the key features of Net Banking:

 A secure and convenient method of banking

 Password-protected banking system
 Easy access to financial and non-financial banking products/services
  Access your bank account anytime anywhere
 Track and manage bank balance, last transactions, statements, etc.
 Transfer funds online via NEFT, RTGS, IMPS anytime
 Process bill payments quickly
 Keep a track of payments, personal loans, home loans, business loans, credit
cards, savings account, etc.
 Channelize or cancel automatic payments
 Check the account statement online.
 Open a fixed deposit account.
 Transfer funds.
 Order for a cheque book.
 Buy general insurance.
 Recharge prepaid mobile/DTH.

Advantages of Internet Banking

The advantages of internet banking are as follows:

Availability: You can avail the banking services round the clock
throughout the year. Most of the services offered are not time-
restricted; you can check your account balance at any time and
transfer funds without having to wait for the bank to open.

Easy to Operate: Using the services offered by online banking is

simple and easy. Many find transacting online a lot easier than
visiting the branch for the same.

Convenience: You need not leave your chores behind and go stand in
a queue at the bank branch. You can complete your transactions
from wherever you are. Pay utility bills, recurring deposit account
instalments, and others using online banking.

Time Efficient: You can complete any transaction in a matter of a few

minutes via internet banking. Funds can be transferred to any
account within the country or open a fixed deposit account within no
time on netbanking.

Activity Tracking: When you make a transaction at the bank branch,

you will receive an acknowledgement receipt. There are possibilities
of you losing it. In contrast, all the transactions you perform on a
bank’s internet banking portal will be recorded. You can show this as
proof of the transaction if need be. Details such as the payee’s name,
bank account number, the amount paid, the date and time of
payment, and remarks if any will be recorded as well.

Disadvantages of Internet/Online Banking

The disadvantages of internet banking are as follows:

Internet Requirement: An uninterrupted internet connection is a

foremost requirement to use internet banking services. If you do not
have access to the internet, you cannot make use of any facilities
offered online. Similarly, if the bank servers are down due to any
technical issues on their part, you cannot access net banking
services.

Transaction Security: No matter how much precautions banks take

to provide a secure network, online banking transactions are still
susceptible to hackers. Irrespective of the advanced encryption
methods used to keep user data safe, there have been cases where
the transaction data is compromised. This may cause a major threat
such as using the data illegally for the hacker’s benefit.

Difficult for Beginners: There are people in India who have been
living lives far away from the web of the internet. It might seem a
whole new deal for them to understand how internet banking works.
Worse still, if there is nobody who can explain them on how internet
banking works and the process flow of how to go about it. It will be
very difficult for inexperienced beginners to figure it out for
themselves.

Securing Password: Every internet banking account requires the

password to be entered in order to access the services. Therefore,
the password plays a key role in maintaining integrity. If the
password is revealed to others, they may utilise the information to
devise some fraud. Also, the chosen password must comply with the
rules stated by the banks. Individuals must change the password
frequently to avoid password theft which can be a hassle to
remember by the account holder himself.

How to Register for Net Banking(offline)

Most of the banks open an internet banking account for the customers as and when they apply
for a new bank account. If you do not have an internet banking account already,

 You can submit the Internet Banking Application Form at your home branch along with
required documents such as a copy of your bank passbook, Aadhaar card, etc.
 The bank will verify all the information and then issue a customer ID and password for
internet banking
 The net-banking application form can be downloaded from your bank’s official website
 After receiving the credentials, you can log-in and access net-banking

Note: All the new users must change the password issued by the bank after logging in to net-
banking for the first time.

How to Register for Net Banking Online

Besides offline registration, which involves the submission of the application form at the bank,
users can register for net-banking online from the respective bank’s official website. However, it
should be noted that not all banks offer online registration for internet banking services.

Step 1: Visit your bank’s official net-banking website

Step 2: Click on the ‘login’ button under personal/retail banking option

Step 3: On the next screen, click on the ‘New User? Register Here’ option

Step 4: If you have already obtained the customer ID and password from the bank, enter and
proceed to login. Otherwise, click ‘Next’

Step 5: Now, you will be required to fill a ‘Self Registration Form’. Enter details such as account
number, registered mobile number, email address, branch code, CIF number, debit card details,
etc. After that, click on ‘Submit’

Step 6: Authenticate your registration using a one-time password sent to your registered mobile
number

Step 7: On the next screen, your temporary customer ID and password will be displayed

Step 8: Log-in using your temporary credentials. You need to create a new log-in password after
logging in for the first time
Note: Login and transaction password should be changed every 2 months to safeguard the net-
banking account.

Steps for Net Banking Login

After successful registration, you can follow the given steps to log into your net banking account-

1. Visit your bank’s official net-banking website. (Make sure the URL of the website starts
with ‘https://’. This means that the URL is secure)
2. If you are a retail user, choose ‘Personal Log-in’. If you are a corporate user, choose
‘Corporate Log-in’
3. Now, on the next screen, enter your customer ID and password
4. Enter Captcha and click on ‘Login’
5. Your Net Banking dashboard will be displayed on the next screen

Types of Fund Transfers available on Net Banking

Net-banking allows the transfer of funds from one account to another through three different
ways- NEFT, RTGS and IMPS. Let us understand these three methods in details-

NEFT

National Electronic Fund Transfer (NEFT) is one of the most commonly used payment methods
which enables one-to-one fund transfer. It is a time-restricted process at the bank, but available
24×7 on the net-banking portals. Generally, it takes about 30 minutes for the funds to be
successfully transferred via NEFT. However, the time can even stretch to 2-3 hours.

RTGS

Real-Time Gross Settlement (RTGS) refers to a continuous settlement of funds individually on an

order-by-order basis. This implies that the RTGS system ensures that the beneficiary’s account
is credited with the funds immediately. Transactions via RTGS are monitored by the RBI which
suggests that successful transfers are irrevocable. This method is used to transfer a minimum of
Rs.2 lakh. Just like NEFT, RTGS is also a time-restricted service at the bank, but accessible
24×7 via net-banking.

IMPS

Immediate Payment System (IMPS) also deals in the real-time transfer of funds. It is most
commonly used to transfer funds instantly within banks across India via mobile, internet and
ATM. One can transfer funds via IMPS just with the mobile number of the beneficiary.

What is E-Banking
E-banking or Electronic Banking refers to all the forms of banking services and transactions
performed through electronic means. It allows individuals, institutions and businesses to access
their accounts, transact business, or obtain information on various financial products and
services via a public or private network, including the internet.

Popular Types of e-banking Services in India

 Internet Banking:It is the type of electronic banking service which enables customers to
perform several financial and non-financial transactions via the internet. With internet or
online banking or net-banking, customers can transfer funds to another bank account,
check account balance, view bank statements, pay utility bills, and much more
 Mobile Banking: This electronic banking system enables customers to perform financial
and non-financial transactions via mobile phone. Most of the banks have launched
their mobile banking applications available on Google Playstore and Apple App Store.
Just like the net-banking portal, customers can use the mobile application to access
banking services.
 ATM: Automated Teller Machines (ATM) is one of the most popular types of e-banking.
ATMs allow customers to withdraw funds, deposit money, change Debit Card PIN, and
other banking services. To make use of an ATM, the user must have a password. Banks
charge a nominal fee from the customers on every transaction made after crossing the
specified limit of free transactions if the transaction is done from any other bank’s ATM.
 Debit Cards: Almost every person owns a debit card. This card is connected to your
bank account and you can go cashless with this card. You can use your debit card for all
types of transactions, the transaction amount is debited from your account instantly
 Deposit and Withdraws (Direct): This service under e-banking offers the customer a
facility to approve paychecks regularly to the account. The customer can give the bank
an authority to deduct funds from his/her account to pay bills, instalments of any kind,
insurance payments, and many more
 Pay by Phone Systems:This service allows the customer to contact his/her bank to
request them for any bill payment or to transfer funds to some other account
 Point-of-Sale Transfer Terminals:This service allows customers to pay for the
purchase through a debit/credit card instantly
Comparison
NEFT RTGS IMPS
Category

Settlement
Half hourly batches Real-time Real-time
Type

Minimum
Transfer Re.1 Rs.2 lakh Re.1
Limit

No Limit
However, the
maximum amount per
transaction is limited to
Maximum Rs.50,000/- for cash-
Transfer No limit Rs.2 lakh
Limit based remittances
within India and Nepal
under the Indo-Nepal
Remittance Facility
Scheme.

Service Available 365 days Available 365 days Available 365

Timings 24×7 24×7 days 24/7

No charges for
inward transactions

No Charges for
online transactions

Charges applicable
Charges for
for outward
remittance
No charges for inward transactions for through IMPS
transactions (at amount: are decided by
Transaction
destination bank the individual
Charges member banks
branches for credit to Rs.2 lakh – Rs.5 and PPIs. The
beneficiary accounts) lakh: not taxes are
included.
exceeding Rs.25

Above Rs.5 lakh:

not exceeding Rs.50

GST is also
applicable

Payment
Online and Offline Online and Offline Online
Options
 MCQ on Internet Banking
1.Which one of the following statement is FALSE regarding transactions of Internet
Banking?
a) Statement of account is for a specific period
b) Withdrawal of cash anywhere in India
c) Balance inquiry
d) Transfer of funds from one account to another account

2. The BHIM app was launched by Prime Minister Narendra Modi on:

a) 15th August, 2016

b) 31st October, 2016

c) 30 th December, 2016

d) 26th January, 2016

3.A computer used at supermarkets, departmental

stores and restaurant etc, is called _____ terminal.
(A) Smart

(B) Intelligent

(C) Dumb

(D) POS

Common name for ATM, Debit card, Credit card,

4.
Metro card etc is
(A) Master card
(B) Visa card
(C) Smart card
(D) Electronic card
 5.An electronic facility of transferring funds through
the Internet is _____ transfer.
(A) Caseh
(B) Credit
(C) Net banking
(D) None of these
6. What is the minimum amount of money that can be transferred through RTGS?

a)Rs 2 lakh
b)Rs 2.5 lakh
c)Rs 3 lakh
d)Rs 5 lakh

7. What is the full form of NEFT?

(a)National Electronic Folio Transfer
(b)National Equity Funds Transfer
(c)National Electronic Fund Transfer
(d)National Easy Funds Transfer
(e)None of these

8. What is the full form of RTGS?

(a)Real Time Gross Settlement
(b)Real Time Grand Settlement
(c)Real Transfer Gross Settlement
(d)Real Time Goods Settlement
(e)None of these
9. Which one is not the means of electronic fund transfer from one bank to
another?
(a)RTGS
(b)NPA
(c)NEFT
(d)IMPS
(e)None of these
10. When National Electronic Fund Transfer (NEFT) started in India?
(a)1999
(b)2001
(c)2009
(d)2005
(e)None of these
11. How many digits are present in IFSC code?
A) 8
B) 9
C) 10
D) 11
12. NEFT works on the principle of _____ .
A) Priority Net Settlement
B) Deferred Net Settlement
C) Gross Batch Settlement
D) Domain Net Settlement

13.What does "QR" stand for in QR code?

a) Quick Response
b) Quality Recognition
c) Quicker Retrieval
d) Quick Representation
14.Which country originally developed QR codes for tracking parts in the
automotive industry?
a) United States
b) China
c) Japan
d) Germany
15.Which of the following types of data can be stored in a QR code?
a) Only numeric data
b) Only text data
c) Numeric, alphanumeric, binary, and Kanji characters
d) Only image files
16.What is the purpose of the quiet zone in a QR code?
a) To keep the QR code secret
b) To make the code look cleaner
c) To ensure there is enough space for the code to be properly detected
and decoded
d) To display advertising messages
17.Which part of a QR code helps a scanner determine the position and
orientation of the code?
a) Data Modules
b) Timing Patterns
c) Error Correction Level
d) Quiet Zone
18.QR codes incorporate error correction techniques. What is the highest error
correction level typically denoted as?
a) E (Error)
b) H (High)
c) Q (Quality)
d) L (Low)
19.Which type of information can be embedded in a QR code to quickly
connect to a Wi-Fi network without manually entering the credentials?
a) Location coordinates
b) Contact details
c) Wi-Fi network details
d) Social media links
20.Airlines often use QR codes on digital boarding passes. What is the primary
benefit of using QR codes for boarding passes?
a) Faster airport security checks
b) Enhanced in-flight entertainment
c) Access to exclusive airport lounges
d) Collecting passenger feedback
21.QR codes are widely used in marketing and advertising. What can a user
typically expect when scanning a marketing QR code?
a) Immediate product purchase
b) A direct phone call to customer support
c) Additional information, promotions, or access to online content

d) A random surprise gift

22. In what year did QR codes gain widespread popularity and usage?

a) 1992

b) 2005

c) 2010

d) 2020
 UPI
Certainly! Here's a set of 30 multiple-choice questions on the topic of UPI (Unified
Payments Interface) along with their answers:

1. What does UPI stand for?

a. Unified Payments Interface
b. Universal Payment Integration
c. Unified Processing Interface
d. Universal Payment Instruction
Answer: a. Unified Payments Interface

2. Which organization developed the UPI system in India?

a. RBI (Reserve Bank of India)
b. NPCI (National Payments Corporation of India)
c. SEBI (Securities and Exchange Board of India)
d. IRDAI (Insurance Regulatory and Development Authority of India)
Answer: b. NPCI (National Payments Corporation of India)

3. What is the primary goal of UPI?

a. Real-time Gross Settlement
b. Cross-Border Transactions
c. Simplifying Mobile Payments
d. Cryptocurrency Exchange
Answer: c. Simplifying Mobile Payments

4. Which type of transactions can be performed using UPI?

a. Only Cash Withdrawals
b. Only Cheque Payments
c. Peer-to-Peer (P2P) and Peer-to-Merchant (P2M)
d. Only Credit Card Payments
Answer: c. Peer-to-Peer (P2P) and Peer-to-Merchant (P2M)

5. What is the maximum limit for a UPI transaction in India?

a. ₹10,000
b. ₹1,00,000
c. ₹5,00,000
d. ₹10,00,000
 Answer: c. ₹5,00,000

6. Which of the following information is NOT required to initiate a UPI

transaction?
a. UPI ID (VPA)
b. Mobile Number
c. Aadhar Number
d. Bank Account Number and IFSC Code
Answer: c. Aadhar Number

7. What is a UPI ID (VPA)?

a. Unique Payment Instrument
b. Universal Product Identifier
c. Virtual Payment Address
d. Unified Processing Identity
Answer: c. Virtual Payment Address

8. Which technology is commonly used for UPI transactions?

a. Block chain
b. NFC (Near Field Communication)
c. QR Code
d. Artificial Intelligence
Answer: c. QR Code

9. How is a UPI PIN used in transactions?

a. To Unlock the Smartphone
b. To Authenticate UPI Payments
c. To Activate Mobile Data
d. To Check Bank Balance
Answer: b. To Authenticate UPI Payments

10. Which of the following is a UPI-enabled payment app?

a. WhatsApp
b. Instagram
c. Snapchat
d. Twitter
Answer: a. WhatsApp

11. What is the UPI 24x7 feature?

 a. UPI transactions available 24 hours a day, 7 days a week
b. UPI transactions only available on weekdays
c. UPI transactions available only during banking hours
d. UPI transactions available every 24th and 7th of the month
Answer: a. UPI transactions available 24 hours a day, 7 days a week

12. Which of the following is a benefit of UPI transactions?

a. Lengthy Transaction Delays
b. High Transaction Fees
c. Real-time Fund Transfers
d. Dependence on Physical Banks
Answer: c. Real-time Fund Transfers

13. What is the primary security feature of UPI transactions?

a. Two-Factor Authentication
b. Facial Recognition
c. No Security Measures
d. Password Protection
Answer: a. Two-Factor Authentication

14. What role does NPCI play in the UPI ecosystem?

a. National Police Commission of India
b. National Productivity Council of India
c. National Payments Corporation of India
d. National Postal Corporation of India
Answer: c. National Payments Corporation of India

15. Which type of accounts can be linked to UPI for transactions?

a. Only Savings Accounts
b. Savings and Current Accounts
c. Fixed Deposit Accounts
d. Only Credit Card Accounts
Answer: b. Savings and Current Accounts

16. What is the purpose of the UPI mandate feature?

a. To Mandate Payment to Banks
b. To Schedule Future Payments
c. To Mandate Payment to Merchants
d. To Mandate Payment to Government Agencies
Answer: b. To Schedule Future Payments
17. Which of the following is NOT a UPI transaction status?
a. Success
b. Pending
c. Expired
d. Flying
Answer: d. Flying

18. Which channel is commonly used for initiating UPI transactions?

a. Radio
b. Television
c. Mobile Apps
d. Smoke Signals
Answer: c. Mobile Apps

19. What is the purpose of the UPI Autopay feature?

a. Automatic Bill Payments
b. Automatic Bank Withdrawals
c. Automatic Social Media Posts
d. Automatic Grocery Shopping
Answer: a. Automatic Bill Payments

20. Which authentication method is used for UPI transactions on mobile apps?
a. Fingerprints
b. Morse Code
c. Handwriting Recognition
d. Morse Code
Answer: a. Fingerprints

21. What is the UPI QR Code used for?

a. Unlocking Smartphones
b. Sharing Contact Information
c. Initiating UPI Transactions
d. Booking Flight Tickets
Answer: c. Initiating UPI Transactions’

22. Which organization regulates UPI transactions in India?

a. TRAI (Telecom Regulatory Authority of India
b. IRDAI (Insurance Regulatory and Development Authority of India)
c. RBI (Reserve Bank of India)
d. SEBI (Securities and Exchange Board of India)
Answer: c. RBI (Reserve Bank of India)
23. What is the UPI Cash-on-Delivery (COD) feature?
a. Paying with Physical Cash
b. Paying with Digital Currency
c. Cashback on UPI Transactions
d. Paying at the Bank Counter
Answer: a. Paying with Physical Cash

24. Which of the following is a UPI transaction type for requesting money?
a. UPI Pull
b. UPI Push
c. UPI Slide
d. UPI Glide
Answer: a. UPI Pull

OPT (One Time Password)

1. What is the primary purpose of using One-Time Passwords (OTPs)?

a. Enhanced security
b. Faster internet speed
c. Better user experience
d. Cost reduction
Answer: a. Enhanced security

2. Which of the following is a common method for delivering OTPs to

users?
a. Email
b. Social media messages
c. Carrier pigeon
d. Smoke signals
Answer: a. Email
3. OTP tokens generate passwords that are valid for:
a. Multiple logins
b. One specific session
c. One day
d. One month
Answer: b. One specific session

4. Which factor of authentication does OTP fall under?

a. Single-factor authentication
b. Multi-factor authentication
c. Biometric authentication
d. None of the above
Answer: b. Multi-factor authentication

5. What is a significant advantage of using OTPs over static passwords?

a. Easier to remember
b. Higher risk of unauthorized access
c. Reduced vulnerability to replay attacks
d. Lower cost
Answer: c. Reduced vulnerability to replay attacks
6. Which type of attack is OTP specifically designed to prevent?
a. Phishing attacks
b. Social engineering attacks
c. Brute-force attacks
d. DDoS attacks
Answer: c. Brute-force attacks

7. True or False: OTPs are typically used for encrypting data during
transmission.
a. True
b. False
Answer: b. False

8. What is the maximum number of times an OTP can be used?

a. Once
b. Twice
c. Three times
d. Unlimited
Answer: a. Once

9. Which of the following is a drawback of OTPs?

a. Complexity
b. Limited validity period
c. Lower security
d. Higher cost
Answer: b. Limited validity period
10.Which OTP method involves sending a code to the user's mobile
device via SMS?
a. TOTP (Time-based OTP)
b. HOTP (HMAC-based OTP)
c. SMS OTP
d. Email OTP
Answer: c. SMS OTP

11.What is the purpose of a backup code in OTP systems?

a. To recover a lost OTP token
b. To generate additional OTPs
c. To bypass multi-factor authentication
d. To reset the password
Answer: a. To recover a lost OTP token

12.Which OTP method generates passwords based on a counter and a

secret key?
a. TOTP
b. HOTP
c. SMS OTP
d. Biometric OTP
Answer: b. HOTP

13.True or False: OTPs are immune to phishing attacks.

a. True
b. False
Answer: b. False
14.What is the primary disadvantage of using email for delivering OTPs?
a. High cost
b. Slow delivery
c. Vulnerable to interception
d. Limited storage capacity
Answer: c. Vulnerable to interception

15.Which OTP method is time-based and generates passwords that expire

after a certain period?
a. TOTP
b. HOTP
c. Biometric OTP
d. Email OTP
Answer: a. TOTP

16.What is the primary advantage of using hardware tokens for OTPs?

a. Low cost
b. Ease of use
c. Portability
d. Enhanced security
Answer: d. Enhanced security

17.Which of the following is a common challenge associated with

implementing OTP systems?
a. Lack of user awareness
b. Excessive cost
c. Limited scalability
d. Compatibility issues
Answer: a. Lack of user awareness
18.Which type of attack involves intercepting and altering
communication between two parties?
a. Phishing attack
b. Man-in-the-middle attack
c. Brute-force attack
d. Denial-of-service attack
Answer: b. Man-in-the-middle attack

19.What is the primary benefit of using OTPs in online banking?

a. Faster transaction processing
b. Higher interest rates
c. Improved customer service
d. Enhanced security for transactions
Answer: d. Enhanced security for transactions