As described in a previous blog on the requirements for SCA, a key area for innovations will be the first touch point for customers, their use of payment cards. Securing these transactions through biometric-based authentication would provide a keystone foundation for the whole process.
The BBC walk through the basics:
Payment Source expands on the principle of how PSD2 will act as a driver for them, highlighting key inflection points such as how Natwest will leverage the enhanced security to scrap the £30 limit on contactless payments.
Discussing their launch of the Visa Ready for Biometrics program Visa report that it is perceived that fingerprint recognition was ranked the highest of possible security options for consumers.
It can play a major role in enabling an enhanced customer experience, such as HelloFreshGo partnering with Wirecard to embed the capability into smart fridges. Users of the fridge will register an account and store the payment methods of their choice which creates a payment token to be used for all purchases thereafter. After account registration, users simply unlock the fridge with their fingerprint or contactless HelloFreshGO card.
In partnership with Mastercard and Gemalto, Natwest is the first UK bank to pioneer a card, testing it out with 150 customers.
The bank has previously piloted biometric debit cards, but this will be the first-time credit cards have been issued. Importantly there are no hardware changes needed to accept biometric cards, so cardholders can use them at existing contactless and Chip and PIN terminals. Enrollment is a simple five minute process the customer can perform at home, permanently locking their digital fingerprint to the card and the biometric data never leaves the card.
Mastercard provides more detail on their biometric card here, and FinTech Times interviews the Gemalto experts responsible for bringing this innovation to market. Their product info page explains the detail of the offering.