• Innovative technology works in the background to authenticate payments.
• Additional password for new Strong Customer Authentication (SCA) requirements could be replaced by new biometric authentication based on cardholder behaviours.

Next year, an additional form of authentication will be required for some transactions when Strong Customer Authentication comes into force. However, the technology, which has been customised in partnership with Visa for the purpose of increased transaction security, could replace passwords and helps to make payments more secure.

Strong Customer Authentication is part of the PSD2 regulation and is an extra layer of security designed to prevent payment fraud and check that it is the cardholder making the payment.

Behavioural biometrics works by analysing the unique ways a customer interacts with their device when making an online purchase. The technology uses this information to confirm who is making the purchase and does not access or share any private data held on a device.

Working in the background of a transaction, the technology is able to deliver a seamless experience for customers while ensuring a high level of security.

The development represents a major breakthrough in the application of biometric technology, with NatWest the first bank to test the technology specifically for the purpose of SCA compliance.

Georgina Bulkeley, NatWest Director of Strategy and Innovation said: “We continue to explore biometrics and how they can be used to make payments easier and simpler for our customers. The success of a pilot of this new technology demonstrates our ongoing commitment to developing innovative ways of enhancing customer experience while prioritising security.”

Jeni Mundy, Managing Director, UK & Ireland, Visa, said: “Visa is committed to working with its partners to develop innovative technologies that remove friction for cardholders, increase security and satisfy regulatory requirements. Behavioural biometrics has already been deployed successfully for the purpose of fraud prevention, and now, following work between regulators and industry partners including Visa, has been approved as a second layer of security to be used alongside one-time passcodes in the context of Strong Customer Authentication.”

Visa will be offering commercially available behavioural biometric technology to its clients via VCAS, Visa’s end-to-end authentication solution.

The new behavioural biometric technology follows on from NatWest’s successful pilots of biometric fingerprint technology with debit and credit cards which allowed payments of up to £100 to be verified using a fingerprint instead of PIN. The bank was the first in the UK to pilot the technology and is looking to develop it further this year.

The Royal Bank of Scotland plc. Registered in Scotland No 83026. Registered Office: 36 St Andrew Square, Edinburgh EH2 2YB. The Royal Bank of Scotland is authorised by the Prudential Regulation Authority, and regulated by the Financial Conduct Authority and Prudential Regulation Authority. The Royal Bank of Scotland N.V. is authorised and regulated by the De Nederlandsche Bank and has its seat at Amsterdam, the Netherlands, and is registered in the Commercial Register under number 33002587. Registered Office: Gustav Mahlerlaan 350, Amsterdam, The Netherlands. The Royal Bank of Scotland N.V. and The Royal Bank of Scotland plc are authorised to act as agent for each other in certain jurisdictions.
National Westminster Bank Plc. Registered in England No. 929027. Registered Office: 250 Bishopsgate, London EC2M 4AA. National Westminster Bank Plc is authorised by the Prudential Regulation Authority, and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.
The Royal Bank of Scotland plc and National Westminster Bank Plc are authorised to act as agent for each other.
www.rbs.com

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