In recent years, the development of Biometric authentication in the banking sector is no longer unfamiliar, due to the proliferation of high-quality smartphones and cameras.
Banks are actively using this new technology to identify customers in order to prevent the fraud more effectively and bring new experiences to customers. For example, there are fingerprint scanner (Bank of America, Chase, and HSBC); iris recognition (Woori Bank (Korea)); vein identification (Barclays and Wells Fargo); facial recognition (Wells Fargo and MasterCard) and voice-recognition (Citibank and Wells Fargo).
In Vietnam, as a company developing technological applications for banks, Hyperlogy has launched the MOBILE eKYC solution, which is the “electronic Know Your Customer” (eKYC) by Biometrics on mobile phones.
Mobile eKYC helps banks solve the problem
Accordingly, instead of authenticating by username and password in the usual way, now users can use Biometrics for authentication after each transaction on their own mobile devices, which is easy to use and convenient.
IMPROVE CUSTOMER’S INFORMATION SECURITY
In most cases, Biometric identification has not replaced existing systems, but it has acted as an additional protection, along with pin code or OTP authentication. For example, in case your card PIN is stolen, the scanners will detect the difference and will not allow the scammer to withdraw cash.
Biometric identification of banks improves their reputation and transforms them into technology leaders. This method attracts new customers, becoming a significant competitive advantage.
MOBILE eKYC responds to the needs of customers who have the rich knowledge of digitization and technology.
– No need to remember passwords.
– Even if the user has forgotten the card in the house, he can still withdraw money from the ATM or shop in the store due to Biometric identification.
– Smartphones are personal biometric devices, so application of this technology can quickly serve the majority of users, especially young people.
According to Oxford / Mastercard 2017 statistics, 93% of users prefer to use Biometric authentication than a regular password.
Using MOBILE eKYC, customers can register for Biometric authentication at the bank in the following forms:
1. Face recognition
Facial recognition technology works by identifying features on the user’s face. This method will help customers simplify banking transactions: transfer / payment via mobile / POS and still ensure security.
2. Voice – recognition
Biometric voice technology recognizes the voice characteristics of customers as fingerprint recognition is individual to each customer.
3. Fingerprint scanner
In fact, some banks have applied fingerprint authentication technology for ATM and E-banking systems. Because fingerprints of individuals are unique, they help to ensure the security of account transactions, avoid the fraudulent account signature or using fake ID when dealing at the counter or using counterfeit cards / stolen cards for ATM transactions.
In addition, there are other forms of authentication, such as iris and palm veins, where palm vein authentication achieves the highest accuracy, however, not yet supported on the phone.
Biometric identification helps to shorten the time of online transactions and is convenient because you do not have to remember your login name, password, or enter a security device password to authenticate the transaction. Not only that, this technology is absolutely confidential because fingerprints and iris shapes are unique signs of each individual.
With so many new applications and new technology, the Technology Revolution is fundamentally changing the operational model, governance and banking services. At the commencement of the 30th anniversary of Vietinbank, Prime Minister Nguyen Xuan Phuc emphasized that if Vietnamese banks are not keen on moving and losing pace in the renovation process, we will be abandoned left behind in the race with regional and global banks.
In fact, the pressure of customer experience enhancement, revenue growth and cost reductions, competitors and even internal constraints has forced banks to step up their investments to digital and new technology to create breakthroughs in process improvement, especially in retail.
Within the framework of Vietnam Retail Banking Forum 2018 held on 29/11/2018, Hyperlogy have introduced and demo the solution to the Bank to “electronic Know Your Customer” by SMART eKYC and MOBILE eKYC.