Digital identity firm Intercede is out with a new study that shows consumers in the U.S. and the UK are still skittish when it comes to mobile banking.
The report – The Rise of the Identity Centric Economy – found that about 80% of mobile users in the U.S. are on smart phones, but 48% of them say they won’t use bill payment apps. Forty-four percent of U.S. consumers and 53% of UK consumers reject mobile banking services altogether.
“Across both countries, consumers believe that their mobiles and tablets are far less secure than other connected devices. This belief is creating lost opportunities for online banks, retailers, and others in m-commerce,” says Intercede CEO Richard Parrish. “Because mobile security is seen as so weak, there is a huge transaction economy that is being lost.”
More than half of respondents say security is a big factor in choosing a smart phone, but these same users are apt to choose easy-to-remember passwords, share their login information with friends and family, and opt for automatic logins for mobile apps and services – leaving them vulnerable to hackers.
“This highlights the need to find alternative security measures for mobile devices that go beyond the severely limited protection offered by basic passwords and PINs,” Parrish says.
Some 2,000 consumers in the US and 2,000 in the UK were surveyed.
Intercede is also furthering its partnership with Trustonic, extending its MyID software into Trustronic’s Trusted Execution Environment (TEE) technology. “From an end-user or consumer perspective, the MyID Trusted Application Manager experience will be as simple as using any Cloud-based service with simple and transparent user interfaces, high resilience, systems redundancy, massive scalability and fast response,” Parrish says.