Mastercard online authentication technology launches in India as banks tap biometrics

The Federal Bank of India has formed a partnership with Mastercard to use its global authentication program with the latest EMV 3-D Secure standards as a secure and user-friendly way to authenticate cardholders online without static passwords, but with increased approval rates.

The partnership is the first implementation of Mastercard Identity Check in India, according to the announcement. The technology and insights enable cardholders to shop through apps, browsers and IoT-enabled devices, decreasing shopping cart abandonment, reduces fraud, and improves ecommerce conversion rates, with other regions seeing approval increases close to 13 percent, Mastercard says.

“We are proud to be the first issuing partner in India to launch the Identity Check program for our cardholders and provide them with superior safety of Mastercard’s global network,” comments Federal Bank Chief Operating Officer Shalini Warrier. “We believe that this new solution will provide a seamless experience and will find instant affinity among our Mastercard cardholders.”

Mastercard highlights its focus on security by design and innovation with biometrics, artificial intelligence, and other technologies, as well as a commitment to invest $1 billion in India over the next five years.

“Mastercard is committed to creating innovative payments solutions that deliver enhanced safety and security at every touch-point, to enable simple, frictionless consumer experiences. Mastercard would like to congratulate Federal Bank on becoming the first bank in India to deploy the Identity Check program. Mastercard is delighted to partner with Federal Bank as it leads the way in payments authentication and security in India,” says Mastercard South Asia Vice President of Cyber & Intelligence Solutions Sujay Vasudevan.

Comerica voice biometrics for call center

Top 50 bank Comerica has implemented a portfolio of voice artificial intelligence tools, including voice biometrics, to automate a large portion of its contact center, as part of a strategy of continual evolution, The Financial Brand reports.

The technology builds on the banks use of biometric voice authentication, which it began using in 2018, but moves beyond IVR to conversational AI, according to the report.

“Conversational AI is the next stage, and it is what is making voice way more popular than it was before,” explains Philippe Dintrans, Chief Digital Officer, Banking and Financial Services, at consultancy Cognizant, which is working with Comerica on the project.

CULedger digital ID tested

Three pilot programs of blockchain technology for digital identity, with optional biometrics through the user’s smartphone, in credit union call center operations have been successfully completed by CULedger, the company announced.

The company’s MyCUID, which CULedger says is the first KYC-compliant, member-controlled, and interoperable decentralized digital credential, is being used by credit unions to provide a secure and private way to connect with members for a high-quality user experience. Members using MyCUID can use voice, fingerprint, or facial biometrics, and initial findings from the pilots indicate identity verifications were reduced from the industry average of more than 50 seconds to 10 seconds or less. In the longer term, gains fraud detection, ease of use by members, and member loyalty are anticipated.

“MyCUID, in its simplest form, is setting the standard for digital identity and authentication for all systems, starting with credit union industry systems,” comments Ron Amstutz, executive vice president of Desert Financial Credit Union. “Once my credit union fully identifies who I am and issues my MyCUID credential, other institutions like medical and government can trust and accept it too. Plus, we’re excited to eliminate the need for usernames and passwords.”

Biometrics extended for Turkey, Libya and business accounts

Turkish bank Garanti BBVA has integrated iris biometric authentication with its mobile services for all iOS and Android devices, which serve an average of 847,000 sessions each month.

Iris authentication also replaces password entry in the Garanti mobile app, and can work following enrollment with a simple glance at the phone’s camera after tapping the eye icon. For enrollment, the bank recommends customers scan their irises in a well-lit location, staying as still as possible.

The bank says it has also integrated voice biometrics with its customer support processes.

Libya’s Assaraya Trade and Investment Bank (ATIB) has launched a biometric e-KYC program using fingerprint and facial recognition, claimed by the bank to be the first of its kind in the country, according to the Libya Herald. ATIB says the service does away with the need for paper signatures, and that all public data will be encrypted and stored in secure databases.

Revolut, meanwhile, has launched a business services account offering, leveraging a photo of an ID with selfie biometrics for corporate account openings, Fintechnews Switzerland reports.

A human review process follows to confirm business details, and the new account is opened in between one and seven business days. The service is available now in the European Economic Area and Switzerland, and is planned for other regions soon.

Accuracy and data protection concerns

An article in Banking Dive, meanwhile, interrogates the ramifications for the banking industry of NIST’s recent report on bias, as well as congressional efforts to impose data protection standards for consumer biometrics.

A pair of senators proposed the Commercial Facial Recognition Privacy Act in March.

A Wells Fargo spokesperson says “customers who use our biometric authentication offerings for account sign-on have reacted positively to the capabilities,” and said the bank plans to add face authentication on Android at some point.

University of New Hampshire international criminal law and justice program chair Albert “Buzz” Scherr expressed concern with how personal privacy rights, such as Fourth Amendment protections, would apply to biometric data held by third parties.

Article Topics

banking  |  biometrics  |  data protection  |  digital identity  |  identity verification  |  India  |  Mastercard  |  online authentication