Personal Identification Number (PIN): Meaning, Importance, and How it Works

Home

Services

Products

Help

Get App

The full form of PIN in the banking sector refers to the Personal Identification Number. It is a secret code that allows you to access your accounts and protects your personal information. It's similar to a password but made of numbers rather than letters. You need to enter a PIN when withdrawing cash from an ATM or making a transaction using a debit or credit card.

A PIN is required because it provides an extra layer of security for your accounts. Even if someone steals your card or phone, they need your PIN to access your money or information. It helps to prevent unauthorised use and protects you against fraud. This article provides all the details you should know about personal identification number.

What is a Personal Identification Number (PIN)?

The PIN is the numeric identification code required to complete electronic transactions. The bank usually sends the PIN to the consumer separately while issuing the card for the first time. The customer must reset this PIN to a new one. It is advisable to change the PIN on the first use.

If you don’t receive the PIN with the debit card, you can generate it online or offline through various ways.

How Does PIN Work?

After understanding what a card pin is, here’s how it functions:

Entering Your PIN: When using a debit or credit card at an ATM or a POS terminal, you have to enter the PIN.
Verification: The system compares the PIN you input to the one in your bank's database. This method assures that only you, the cardholder, may access the account or authorise a transaction.
Granting access: If the PIN matches, the system will enable you to proceed. You can withdraw cash, check your balance, and complete other banking transactions at an ATM. At a store, it authorises payment for your transaction.
Preventing Fraud: The PIN serves as a security layer, preventing unauthorised users from accessing your funds or making purchases with your card. Even if someone steals your card, they cannot use it unless they know your PIN.

How to Create a Secure PIN

Here is how you can create a secure PIN for your ATM:

Use Unique Numbers: Avoid using easily guessed numbers such as 1234, 0000, or birth year. Instead, select a random set of integers.
Avoid using the same numbers: Don't use the same numbers (1111) or sequences (4567). A combination of several integers is more difficult to guess.
Length matters: Make your PIN at least four digits long. If permissible, choose 6 digits as longer PINs are often more secure.

Ensure you follow these tips to create a strong password to secure your card and funds from fraud.

Steps to create a Kotak Debit Card PIN online

With Kotak, you can easily generate the PIN online using the Mobile App or Net Banking. Here is how to do it via our official website:

a. Go to the official Kotak website. Locate Instant PIN generation Instant Pin Generation for Credit, Debit, Gift, and Forex cards (kotak.com)

b. Choose the method you want to use to generate the PIN. It allows you to choose from available cards, including debit cards, credit cards, and forex cards.

c. You need to submit the card details, and a popup will display your PIN. You can now use it for transactions.

What is the Importance of a Personal Identification Number (PIN)

A personal identification number is important due to following reasons:

Security: Your PIN serves as a security barrier. It ensures that only you can access your bank account via the ATM. Even if someone steals your bank card, they will be unable to withdraw money unless they know your PIN.
Identity Verification: The PIN confirms that you are the rightful owner of your bank card. When you enter your PIN at the ATM, it compares it to what is already in the bank's system to confirm your identification.
Preventing Fraud: By requiring a PIN, banks make it more difficult for fraudsters to use stolen cards. Unauthorised users cannot withdraw funds or access your account information unless you provide the correct PIN.
Convenience: Using a PIN at an ATM allows you to withdraw money fast and conveniently at any time of day. You do not need to walk inside a bank or speak with a teller; just enter your PIN and finish your transaction.
Privacy: The PIN system ensures that your banking transactions are secret. Only you know the PIN, so your bank information and transaction history remain private.

Tips for Setting Strong Personal Identification Numbers (PINs)

Here are some tips to create a secure PIN for your ATM:

Avoid using personal information: Do not enter personal information, such as your birth date, phone number, or address, as this information is easily accessible to others.
Change your PIN frequently: Change your PIN frequently to lessen the danger of it being guessed or stolen. Plan to alter it every few months.
Do not Share: Keep your PIN to yourself. Don't tell anyone; don't write it down anywhere others might see it.
Use different pins: Use a separate PIN for each account. Even if one of your PINs is hacked, your other accounts remain safe.

Difference Between Personal Identification Numbers (PINs) vs Password

Here is a basic difference between PINs and passwords:

Passwords can be a combination of letters (uppercase and lowercase), numbers, and symbols, making them more complex. Passwords are used for various online services, including email and social media accounts. They are usually lengthier than PINs and may be more secure due to the variety of characters.

PINs are typically 4 to 6 digits long and consist exclusively of numbers. They are commonly used for devices such as ATMs, debit or credit cards, and sometimes to unlock phones. Since they are short, PINs are easy to remember, but they must be carefully designed to avoid being easily guessed.

How Do I Find My PIN Number?

Here are some methods on how to find your PINs:

Check Your Mail: When you first get your card, the bank usually sends your PIN in a separate mailer for security reasons. Look for this letter in your recent mail.
Log into your online banking account: Some banks allow you to view or reset your PIN through their website or mobile app.
Visit Your Bank: If you can’t find your PIN, visit your bank’s branch. You can ask for a new PIN to be issued.

Latest Comments

Related Information

FAQs About Personal Identification Number (PIN)

Why is a PIN important for security?

A PIN's primary use is to secure confidential information on your computer from unauthorised access. Only you have access to your device and can protect your data from prying eyes by inputting a unique personal code.

Can I use the same PIN for multiple accounts?

Yes, you can use your same PIN for multiple accounts. However, it is not recommended to do so as your security is at risk. If one PIN is compromised, there is a high chance that your other cards are at risk, too.

How do I check my ATM PIN?

You may check your ATM PIN in the following ways:

Via Email
Via internet/mobile banking
Visit your bank.

How do I check my ATM PIN on my phone?

To check your ATM PIN on your phone, simply login to your mobile banking, go to the credit/debit card section and click on PIN. You may be able to view your PIN.