banking

banking, leap-frogging, Netherlands, voice

More European biometric banking

NETHERLANDS: ING launches voice-recognition banking app (Computer Weekly)

Dutch banking group ING Netherlands has launched a banking application that can be navigated using voice recognition.

The firm hopes future generations of the app will use biometric voice recognition for user authentication to replace PINs.

Keeping in mind the difference between voice recognition and speech recognition, biometric ID management technologies sure seem to be gatting a lot of traction in the banking sector. This appears to be the case especially in Europe where banking security already far exceeds what you typically see in the United States as chip on card technology for bank cards has been standard in Europe for a long while now.

Perhaps it’s about time the United States gets in on the leap-frogging game. An interesting fact in this case is that a Dutch bank is implementing banking security two generations more advanced than US banks use and they’re doing it with voice recognition technology developed in the United States.

banking, industry

The future of large scale deployments

The rise of biometric banking (The Conversation)

Although not yet commonplace, biometrics are expected to become so over the next three to five years. Currently, the biggest users are governments which have already implemented biometrics into citizen identity documents (such as passports and national ID cards) and it is estimated that by 2015 biometric citizen IDs will outnumber non-biometrics by 4:1. In 2006, the UK joined 40 other countries in introducing e-passports that use facial recognition technology to authenticate citizens.

Read the whole thing.

banking, finger, finger vein

The summer of finger veins continues

Barclays and Hitachi unveil biometric security vein scanner (V3 co uk)

Barclays and Hitachi have announced a biometric reader, which scans the unique vein patterns in a finger as part of an effort to fight fraud with a more secure take on fingerprint scanning.

The Barclays Biometric Reader consists of a SIM card that holds the unique vein structure information of a single user, and a small infra-red scanner. By using Hitachi’s VeinID technology the reader captures the image of the vein pattern in a user’s finger, which, like a fingerprint, is unique to individuals.

ATM, banking, Europe, finger, finger vein, Poland

The summer of finger veins continues

Biometric ATM technology proves to be a hit in Eastern Europe (Companies and Markets)

Polish bank BPS was the first in Europe to install biometric ATM technology. The technology, developed by Hitachi, allows a user to gain access to their account without a card or pin number. It is an example of so-called “finger vein” biometrics, which involves recognising a unique pattern of micro-veins beneath the surface that is then referenced with a pre-registered profile.

Finger veins sure have been a hot topic in biometrics this summer.

From Hitachi:
Finger vein authentication uses leading-edge light transmission technology developed by Hitachi to undergo pattern-matching and authentication. Near-infrared light is transmitted through the finger and partially absorbed by hemoglobin in the veins to capture a unique finger vein pattern profile, which is then matched with a pre-registered profile to verify individual identity.

Image source: Hitachi
banking, mobile, NFC, UK

NFC + Mobile + Biometrics = The Future of Payments

British Banking Association reports on UK’s banking ‘revolution’ (NFC World)

“The revolution in the way we spend, move and manage our money is not over,” the report says. “Banks are looking at a range of new technologies to make banking even easier and more flexible. Biometric data could make accounts safer and security features more straight forward for legitimate transactions.

“Near field technology could end the need for taking your card out of your wallet or purse to make a purchase. Banks will strive to innovate because they know it’s a way to win new customers.”

The combination of mobile handheld device hardware (i.e. the perfect token), biometric ID verification, and NFC provides the tools for building extremely powerful ID management regimes.

Banks appear to be realizing that systems like these could make for happier customers and pose a real threat to the credit card/debit card/clearing house/merchant bank model of card-based payments provided by organizations such as Visa and Mastercard.

It’s possible that banks that successfully negotiate this opportunity could begin to take back some of the 3% of credit card transaction value (a massive amount of money) collected by credit card companies, but in order to do that banks will have to figure out how to make an extremely secure mobile app that that lives on a device that has a massive attack surface.

Elsewhere in the news, Norwegian start-up Zwipe is trying to solve this riddle with dedicated hardware. As compared to networked mobile devices such as smartphones, the Zwipe device has a tiny attack surface in that users can’t download viruses to it via cellular signals, wifi or SMS. But in the name of security, the Zwipe device lacks some of the connectivity attributes that make smart devices so attractive for true e-commerce transactions rather than “point-of-sale only” transactions.

No matter how all this shakes out, this is a trillion dollar riddle and biometrics are a near certainty to factor in the solution.

banking, fingerprint, France, multifactor, token

France: Banking group looks toward multifactor authentication

France’s national interbank network, Groupement des Cartes Bancaires CB, is currently evaluating the use of biometry in payment transactions (TMCnet)

The first CB approval will involve the association of biometry and a chip integrated into a keyfob. Integration of the chip into a micro-SD card of a mobile phone is also being studied. Highly convenient, the user keeps the keyfob or telephone on his or her person, for example in a pocket or handbag, without needing to present it physically to pay or withdraw cash.

banking, ID, leap-frogging, Nigeria

Leap-frogging in Nigeria

Here’s another example of biometrics being used to leap-frog the technologies and methods other countries have used in the past to build an ID infrastructure. Even if the Nigerian government had the resources to attempt a paper-heavy, labor-intensive duplication of the systems some countries built in the early twentieth century, it isn’t at all clear that it could produce a better outcome than cheaper biometrics.

NIGERIA: Banks to Start Biometric Customer Registration on Friday (Daily Times)

“There will be teething problems, but we will learn from it. The biometric initiative is being pursued by the Bankers’ Committee,” the Access Bank boss said.

The Director, Corporate Communications Department, CBN, Mr. Ugochukwu Okoroafor, said the biometric system, when fully operational, would help to improve credit in the economy and boost the nation’s macro- economy.

Okoroafor said, “Nigeria runs on cash; there is no identity. We don’t know who is who. We are now going into identity confirmation. We can now create a credit system that will power our economy.

“Banks don’t want to lend because of identity issue. We want to move Nigeria from cash system to credit system that has identity.”

banking, fingerprint, Retail

Industries face different incentives for biometric adoption

Why Do I Get Fingerprinted at 24-Hour Fitness but Not the Bank? (Go Banking Rates)

When discussing the advancements in fraud prevention, executive vice president of the Federal Reserve Bank of Atlanta expressed that the United States is “falling behind the rest of the world in fraud protection, and I’m afraid American consumers are getting the short end of the stick.”

US banks lag behind banks worldwide and American fitness centers when it comes to tightening up ID.

banking, documents, Europe, France, ID, passport, survey

Europeans, especially the French, are open minded about biometrics

Majority of Europeans support biometrics for ID cards or passports (Biometrics Update)

Specifically, 81 percent of French citizens favour the application of biometrics for ID documents, compared to 74 percent of Danish respondents and 68 percent of the survey’s British respondents. Across Europe, 69 percent were also in favour of using biometrics as a form of access control for secure areas. In this case, the French respondents proved again to be the most supportive, with 77 percent, followed by the Danes at 75 percent and the Brits at 69 percent.

More survey results including private sector biometrics at the link. The French people surveyed seem to be way more positive on biometrics than their government.

UPDATE:
See also: French shoppers give new payment method the thumbs up.

ATM, banking, finger, modality, Poland, vascular

Seeing a lot more about finger veins lately…

Poland’s Getin Bank deploys Hitachi finger vein biometric tech in branches

Nowadays, biometrics is considered to be the best method of authentication in the banking sector with a wide range of applications, including at ATMs, branches and internet banking payments. “Within the framework of Getin Up project we want to offer our customers the package of technical innovations that will facilitate them day-by-day using of banking services. Our long-term objective is to implement biometrics in all bank branches.” – said Karol Karolkiewicz, member of the Management Board of Getin Noble Bank.

Biometric technology is used to authenticate a person based on unique human physical or behavioural characteristics such as iris, fingerprint, voice or finger vein patterns. Getin Bank chose finger vein biometrics based on it being safe and secure via the use of the unique structure of blood vessels inside fingers.

banking, UID, welfare

Dikshit sics Nilekani on banks

CM seeks Nilekani’s intervention to clear obstacles in UID cash transfer (Indian Express)

Chief Minister Sheila Dikshit on Monday sought Unique Identification Authority of India (UIDAI) chairman Nandan Nilekani’s intervention in overcoming obstacles in opening accounts in banks, which the government maintained, had not rendered active cooperation. Dikshit said she also plans to write a letter to the Union Finance Minister in this regard shortly.

Following a meeting with Nilekani, Dikshit said the government was keen on increasing the number of beneficiaries under the Aadhaar-based direct cash transfers. “We hope to increase intended beneficiaries in Delhi to at least 30 lakh but there are still obstacles in opening bank accounts. This results in difficulties for beneficiaries,” Dikshit said.

It was about a year ago that Chief Minister Dikshit reached out to Mr. Nilekani to help lift the pace of UID enrollment in Delhi.

Delhi is one of the most populated cities in the world. It’s also right next to/contains India’s capital of New Delhi (see Delhi or New Delhi: What’s the Delhio?). So, if UID is to be considered a success at streamlining the welfare system through cash transfers, it needs to succeed in Delhi.

application, banking, BigID, credit card, documents, ID, infrastructure, Nigeria

BigID and the changing nature of national identity infrastructures

Nigeria’s new ID has apps!

Credit card linked to Nigerian ID (Financial Mail)

In the programme’s first phase, Nigerians aged 16 and older and all who have been resident there for more than two years will get the new multipurpose ID, which has 13 applications. It is expected that up to 13m Nigerians will use the product in the first phase.

Among the apps is MasterCard’s prepaid technology, which will give cardholders the ability to make electronic payments. MasterCard says this will also have a positive impact on Nigerians who until now have not had access to mainstream financial services.

This one bears keeping an eye on.

In a couple of pioneering cases, the very concept of “The ID” is shifting

To most people, an ID looks a lot like a product — something useful that the government sells to an individual. Pay your fee; get your card. Lose your card; buy a new one.

India and Nigeria (South Africa is pretty bold, too) are pointing the way toward a future where ID isn’t just a product, though no government is going to give up its ID card product line any time soon. The future as these countries see it is ID as a government-backed platform supporting an ID ecosystem. They have the bucket (database structure). Now it’s being filled (populated). If they get the application programming interface/s (API) right, fasten your seat belt. Things will get really interesting really fast as all sorts of apps hooking into the ID infrastructure become available. Biometric technologies will be an integral part of this transition to “BigID.”

UPDATE:
See also:
Brainstorming UID with Srikanth Nadhamuni
The video there is very informaative and extremely worthwhile.

UPDATE II:
I forgot to mention the UAE as another forward-thinking ID environment. The UAE ID is set to be deployed on smartphones.

adoption, banking, mobile, payments, technology

It worked for the credit card companies…

…Adding financial-management tools and rewarding consumers could increase use of mobile phones as payment devices

Accenture survey on attitudes toward using more services via mobile platforms

More than half of respondents who currently use their smartphones to make payments said they were highly likely to pay by phone more often if they could use their phone to track receipts (cited by 60 percent of respondents), manage their personal finances (56 percent), or show proof of insurance (56 percent) or of a valid driver’s license (54 percent).

In addition, more than half of those who currently make mobile payments also said they were highly likely to pay by phone more often if they were offered: instant coupons from retailers when buying by phone (cited by 60 percent of respondents); reward points stored on their phone for future purchases at the store (51 percent); coupons that could be automatically stored on their phone (50 percent); or preferential treatment, such as priority customer service (50 percent).

banking, India, UID, welfare

India & UID: Connecting the ID and financial infrastructure

FinMin to study progress of financial inclusion, direct benefit transfer schemes (The Hindu)

The Finance Ministry has convened a meeting of the heads of state-owned banks on February 6 to take stock of their financial inclusion drive and readiness to roll out direct benefit transfer across the country.

In the run-up to the general elections, which is only a year away, the UPA Government apparently wants the financial inclusion and direct benefit transfer (DBT) initiatives to reach the bottom of the socio-economic pyramid.