The bank will begin distributing the Digipass 250 authentication token to provide remote access, one-time passwords and e-signatures to Web banking customers at its retail subsidiary Baden-Wuerttembergische Bank (BW-Bank).

Vasco says the system will protect all information transmitted to the bank's server and prevent transactions being diverted to any accounts other than those designated by the bank's customers.

LBBW says the Vasco system will provide customers with a secure and easy way to use online banking application.

In a separate move, Vasco has launched Digipass for Web, a secure online authentication service targeting small-ticket item buyers using the Web.

The vendor says the technology will enable online retailers to verify users who use the Web infrequently to buy products and services such as books, concert tickets or e-newspaper subscriptions.

Users can be registered by completing a form which includes user ID, e-mail, PIN code and secret question and answer. During the e-mail activation process, a cookie is automatically installed on the user's PC. Once the activation link is transmitted back to the server, the user will receive a login applet requesting the user's PIN code.

Once the system is fully operational, with one-time password and digital signature functions, the end-user can use Digipass for Web from any computer by using his secret question and answer.

Jan Valcke, president and COO, Vasco, says: "Digipass for Web is a solution for a market segment that was until now deprived of authentication methods stronger than a static password... Digipass for Web will authenticate the non-frequent user, for whom strong authentication was deemed out of reach due to economical reasons."