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Mobile and biometric authentication may replace PINs by 2020

Monday 23 November 2015 10:31 CET | News

Financial technology experts are predicting that the PIN number will be obsolete by 2020 as banks turn to biometric authentication technology, a recent study unveils.

According to a report by The Telegraph, banks will encourage their customers to use biometric readers or contactless payments at retail stores and ticket terminals instead of the standard “chip and PIN” system, by offering discounts and arguing that the technology offers a more secure transaction.

Several major banks, including Halifax and Barclays, have said that PINs are a flawed security measure that is inadequate in protecting customers against identity fraud. Banks have introduced new rules that state that customers who write down their PIN, even in disguised form, will be considered negligent.

Findings indicate that more than 96% of transactions are used via chipped credit or debit cards. However, the British banking industry lost nearly USD 730 million in card fraud, which is the highest loss in the last decade with the exception of 2008.


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Keywords: biometrics, applications, online security, web fraud, digital identity, authentication, PIN
Categories: Fraud & Financial Crime
Companies:
Countries: World
This article is part of category

Fraud & Financial Crime