November 23, 2015 -
Deutsche Bank is working with Callsign to trial an antifraud solution that analyses about 50 different factors to build a profile of a user. The technology takes into account how the phone is held, its physical location, facial recognition and thumbprint analysis.
The bank hopes the new security solution will eliminate the need for customer passwords and allow it to lift limits on mobile transactions.
Deutsche’s regional innovation manager Nick Doddy said that the system can adjust to even measure whether a customer is sitting or standing and can adjust to temporary physical changes.
“If you’ve broken your right arm and . . . you’re at home and now you’re using your left hand, it will say her location is good, her pin is good, her biometric is good, but she’s now handling it in a different way, so it might say ‘give me a facial recognition’,” Doddy said.
Deutsche Bank has been trialling the system and plans soon to extend it to 10,000 members of its staff as part of a larger pilot and said it would be up to managers of the bank’s business lines to decide if and when they wanted to roll out the system.
Paul Lee, an analyst at Deloitte, said other banks and payments companies are also looking at smartphone solutions. “Financial services companies are taking advantage of the fact that the modern smartphone has lots of sensors, and the more you use a phone the more data is gathered to authenticate the user,” he said.
Previously reported, fintech experts are predicting that the PIN number will be obsolete within the next five years as banks turn to biometrics technology, such as fingerprint, vein pattern and voice recognition, to authenticate clients and protect customers against identity fraud.