2nd World Digital Banking Summit: Interview With The Chairman Steve Cook

1) CAN YOU TELL US MORE ABOUT YOUR ROLE IN THE BIOMETRICS AND DIGITAL IDENTITY INDUSTRY?

I have been working in the biometrics industry for the past eight years, mainly assisting a number of software vendors providing digital identity services to financial institutions. I have also been advising investor groups too. The role of biometrics in authentication has become a vital part of the banking landscape due to the accessibility of smart devices in the market. Banks are keen to exploit these new fintech technologies in order to improve the relationships with their customers to create a more frictionless user experience and provide up to date digital banking services.

2) IN AN INTERVIEW WITH BIOMETRICUPDATE.COM LAST YEAR, YOU SAID, “THE COMBINATION OF MOBILE BANKING AND BIOMETRIC SECURITY IN OUR SMART DEVICES WILL ENABLE CONSUMERS TO HAVE MORE CONFIDENCE REGARDING THEIR PERSONAL SECURITY AND WILL BE FAR SAFER THAN IT HAS EVER BEEN.” WHAT ADVANCES HAVE YOU SEEN WITH MOBILE BANKING AND BIOMETRIC SECURITY SINCE THEN?

Biometric technology is improving every year, especially in terms of accuracy, matching and identification; from fingerprints to face, voice, iris and palm modalities. Other biometrics such as vein and heartbeat are also being considered. Fingerprint such as TouchID is still by far the most widely used amongst these existing technologies. However, due to the number of smartphones that already have cameras, both face and voice are gaining in popularity. However, it is important to note that there is a huge difference between facial recognition and face authentication where GDPR and obtaining consumer consent is concerned.

3) WHAT ARE SOME OF THE LATEST DIGITAL BANKING INNOVATIONS THAT YOU ARE SEEING ENTER THE MARKET REGARDING EU REGULATIONS SUCH AS PSD2?

With the revised Payment Services Directive (PSD2); strong customer authentication (SCA) is a key part of the regulations which comes into effect on the 14th September 2019. This is crucial to all banking operations and payment service providers. Biometrics (something you are) within a two-factor authentication process under SCA will play a major role in the authorization and verification of payments, especially with regard to card not present transactions. However, the benefits are that as consumers get used to the idea that a selfie is just as reliable as a password or PIN code, the trust in these new methods will gain acceptance over time.

4) YOUNGER GENERATIONS ARE ALREADY USING MOBILE DEVICES FOR BANKING MORE THAN DESKTOPS OR PHYSICAL BRANCHES. WHAT TIPS DO YOU HAVE FOR BANKS THAT ARE TRYING TO SHOW THE VALUE OF MOBILE BANKING TO THEIR OLDER CLIENTS?

Obviously, financial inclusion is paramount across the whole banking industry. The technical world is moving at a rapid pace and new consumer trends for replacing the dependency for passwords and PINs will drive a new customer experience all together. While passwords will still be with us for some time, there is a growing desire to move away from passwords which can be hacked or stolen. A number of high profile data breaches have shown us that in order to protect customer credentials and private data, better security methods are needed. Therefore, as well as new technology trends, it is more important than ever to educate all consumers about the risks of using weak passwords, potential scams and phishing attacks. It is not just the older generation who are susceptible to fraudsters but everyone can get easily caught out.

Read the rest of Steve Cook’s interview here and learn more about the World Digital Banking Summit. Then, request your brochure here.