Mobile banking biometrics gains traction

Mobile banking biometrics gains traction

Banks are rapidly adopting biometrics as an authentication method for mobile services and are willing to cooperate to provide customers with a common interface, according to a survey from the Mobey Forum.

Of 235 respondents from financial institutions and solutions providers in Europe, North America and the Middle East, 22% currently offer biometric authentication for access to mobile services. However, this is set to rise to 65% in the near future, with fingerprint scanning the most popular method of authentication, followed by voice recognition and iris scanning.

The most common use for biometrics is authenticating users at the login, while transaction confirmation is also seen as a possible use for the technology and digital document signing is cited by some respondents. The main reason for introducing biometrics is customer convenience, while security is also important and many respondents simply want to be viewed as innovative and advanced.

There are concerns about the technology, noticeably the fact that things such as fingerprint scanning makes banks dependent on the handset makers. The vast majority of survey respondents say that fingerprint sensors with open interfaces that let banks control the authentication data are preferable to closed interfaces.

Meanwhile, 58% of banks are willing to collaborate on biometric authentication to create a common interface and enable customers to have one identity for many services.

Sirpa Nordlund, executive director, Mobey Forum, says: "Successful financial solutions need to be easy and convenient; a collaborative approach will ensure consumers are presented with stable and consistent services, driving adoption."

Comments: (1)

Zameer Syed
Zameer Syed - STROBUS InfoSoft - Mumbai 02 July, 2015, 10:22Be the first to give this comment the thumbs up 0 likes

Many entities who are engaged in critical customer trasnactions are trying to get biometric authentication as preferred authentication method. Instead of dependent on handset makers, they can incorporate it through the app or a common device which can be integrated thru APIs with the banking system (we have the both the solutions - app based and mini-device based - as a white label offer).