News & Views - Savantor

The increasing prevalence of biometrics in payments

Wednesday, 09 March 2016

Biometric technology is not a new concept in payment card processing but its use is gradually becoming more mainstream. Many are already familiar with the use of fingerprint identification for use with Apple devices, which has now been extended to Apple Pay for contactless payments as a means of ensuring security. Samsung Pay, to be launched shortly in the UK, will also use fingerprint identification. Last month, HSBC announced that it is preparing for the roll out of voice and fingerprint recognition; first direct customers will be able to enroll for voice ID in the coming weeks, followed by HSBC by the summer. Touch ID is already currently available on Apple mobile devices for both sets of customers. Worldpay also announced at the end of last year that it was undertaking trials involving fingerprint scanning. Barclays Bank has introduced voice and fingerprint recognition for a select number of customers, while the new challenger bank Atom is planning to use face and voice biometrics as core credentials for customers logging in to banking apps.

Lloyds Banking Group has been testing the use of heartbeats as an authentication mechanism, although use of this technology is not believed to be launched in the consumer market in the immediate future. In the US, Capital One customers can now check their balances and pay their bills using voice recognition, by talking to Amazon's Alexa virtual assistant. In the UK, Lloyds Bank has also been exploring the capabilities of Alexa in relation to its online banking service.

Facial recognition is one of the areas also currently being explored by Worldpay as a security mechanism, by embedding small cameras into card readers that would capture an image of a consumer's face when they enter their pin number. The captured image would then be matched against an existing profile that is linked to the card. The payment schemes are also exploring the use of biometric technology: Visa has developed a specification to embed biometric data - whether from palm, voice, iris or facial recognition - into chip cards. MasterCard is developing a new biometrics payment system called MasterCard Identity Check, whereby users set up a biometric profile for online shopping and then verify transactions by fingerprint or facial recognition.

Apparently a user making a mobile purchase with their MasterCard will be asked to take a "selfie" to verify the purchase. Use of biometric technology as a means of security is supported by new new consumer research findings from YouGov which indicate that over a third (37%) of online consumers agree traditional passwords have become an outdated security measure. Apparently 38% of British consumers tend to use the same password across most of their online accounts while 55% say they rarely update their passwords. The findings also revealed that 78% of the adults questioned are confident that their body is unique enough to be used as a password and that 74% believe this will become the default password mechanism in the future.

Biometrics and its use in the payments arena is a fascinating technology – the initiatives mentioned above give an indication of how the technology is almost seamlessly working its way into being an accepted means of identification. At last – the ubiquitous taking a 'selfie' can be considered as more than just an act of vanity………….

Savantor Services

Savantor Services

Savantor services are tailored to Client needs based on our core service areas

Specialist Resourcing Payments Strategy Platform Transition Operational Efficiency
Savantor Services

Job Opportunities

Consulting and contracting roles in the payments, mobile and banking arena within the UK and across Europe

View more
Savantor Services

Savantor Views

Find out more from our Savantor brochures, MarketEye back copies and Industry opinion

Collateral Market Eye News & Views Sign Up to receive MarketEye

Client Quotes

Moneris Solutions

"Savantor did an outstanding job of the review and I received nothing but positive feedback on the interaction with our management team."

Jeff Guthri, COO - Moneris Solutions - Canada

Collections Transformation

"Savantor did an absolutely superb job for us on the Collections programme. The professionalism, hard work, courtesy and tenacity of their experts is a credit both to the individuals and to Savantor."

Peter O'Dea, Senior Manager - Collections Department - Permanent tsb bank - Ireland

Credit Card Migration and Operational Support

"The bank has undergone significant transformation of its card business on both the issuing and acquiring sides. One business partner we have looked to for support in the areas of strategy, major project leadership, management analysis and ongoing business support is Savantor. The Savantor team has contributed to our success as we have leveraged their deep industry knowledge and broad range of operational skills."

Sean Sheehan, Service Management Director - Bank of Ireland

Complex Cards Business Transformation

"This was a major business transformation that required us to build an excellent team made up of internal bank specialists, supported by external card business, technical and operations expertise. Savantor provided specialists from the local market and with international experience to fill a variety of important roles. The Savantor resourcing team are professional, reliable and good people to work with."

Ricardo Gomez, Director - Operations & Technology - WiZink Bank - Spain

Acquirer Risk Assessment

"The expertise provided by Savantor has greatly helped us evaluate our risk position and to take the right steps in managing our future risks. Strong, disciplined planning and an ongoing willingness to work closely with our staff played an enormous part in making this a very successful well-delivered project which will greatly help us in achieving our business goals."

Mark Healy, Chief Risk Officer - NEOVIA Financial - UK

Expert Witness

"After searching extensively for the required industry expert in a complex litigation, Savantor was identified to have the necessary industry knowledge and expertise on a range of complex issues. Savantor provided clear advice and was able to quickly hone in on the key issues, but most importantly, generating pragmatic winnable answers."

Gavin Ingram, General Counsel & VP Strategic Planning - Global Blue - Asia Pacific

Credit Card Launch

"Savantor's knowledge and experience were the key differentiators in selecting them and they contributed greatly to the success of the product launch and the effectiveness of the ongoing operational service."

Toine Schepers, Operations Director - Primeline - The Netherlands

Acquirer Strategy and Operating Model

"Savantor brought an effective blend of European acquirer market expertise and transaction processing solution design. Their experts quickly forged strong working relationships with our team. We enjoyed working with them to create our future acquirer strategy."

Mikko Hyttinen, SVP - Lending Services - OP-Pohjola Group - Finland

Clients - Request Support

Send us a support request and one of our specialists will be in contact to assist you.

Consultants – Upload your CV

Register your CV with us and gain access to a range of job opportunities through our online job search portal.