Multifactor authentication, the act of requiring two or more ways for a user to prove their identity, has been present in the banking industry for some time. But now there is a push to include multifactor authentication into Internet banking and increase the reliability of authentication methods, according to an IT Security article.
A 2009 study by Javelin Strategy & Research revealed that majority of American customers of banking institutions are very concerned about identity theft and other online security threats with a significant number interested in having a biometric solution.
A huge barrier in the way of adopting online biometric authentication for financial institutions is the need to provide their customers with the necessary hardware for scanning and transmitting the sample. However, the same study by Javelin Strategy & Research also gives banks the reason to move forward with the technology as the study estimates a gain of $8.3 billion per year that banks can achieve through customer adoption and increased loyalty as a result of their increased security.
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