Banking transactions are increasingly problematic, with new vulnerabilities emerging daily. Data shows nearly 47% of reported fraud cases were card related, 18% involved mobile fraud, 11% were attributed to merchant fraud, 13% were digital fraud, 6% concerned virtual currency fraud, 4% were related to cheque fraud, and 25% of countries reported issues with lost or stolen cards. Additionally, 20% of countries reported account takeover fraud, and 15% experienced identity spoofing. To combat these challenges, individuals, industries, organizations, and financial institutions worldwide need a banking transaction system that minimizes fraud, is user-friendly, and robust. This paper proposes integrating existing technologies with a zero-trust security model to address contemporary banking fraud issues. Specifically, it introduces a device-specific trust mechanism that generates a dynamic One-Time Password (OTP) only if a secure handshake occurs between the banking system and the device each time a customer engages in banking activities, whether at an Automated Teller Machine (ATM), or during online purchases, through net banking transfers, or at a Point-of-Sale (POS) system. This paper explores a novel banking transaction security mechanism involving dynamic Quick Response (QR) codes for transaction authentication. Upon card insertion, the ATM generates a QR code based on a hashed master password, Integrated Circuit Card Identification Number (ICCID), and Mobile Station Equipment Identity (IMEI) from the device registration database. To ensure the QR code is unique for each transaction, a seed value representing the elapsed time of the day is incorporated. The customer scans the QR code with their mobile banking application, generating a matching hash value. Upon a successful match, the mobile banking app displays a four-digit OTP derived from the hash value, which the customer uses to complete the ATM transaction. The paper details the algorithm’s functionality and unique OTP generation approach and addresses potential challenges related to timing, synchronization, and implementation complexity.