BankBazaar Singapore – January 31, 2018
Singapore: In its efforts to further improve the security of its cards, Mastercard has announced that its customers will be able to use biometrics for validating their payments by April 2019.
The company said that banks issuing Mastercard cards will have to support biometric authentication for transactions by April next year. This will be in addition to the existing modes of verification like PIN and password.
According to Mastercard, about 93% of card users believe biometrics offer a better way of validating payments than passwords. In a separate research conducted jointly with the Oxford University, Mastercard found that about 92% of professionals working at banks also prefer biometrics.
Once implemented and ready for use, the biometrics authentication will also work at Mastercard contactless-payments enabled merchants.
Mastercard said that the move has been made easier by the latest tablets and smartphones that support biometric identification. It’s also in line with the European Union’s regulations on secure transaction authentication systems, Mastercard added.
Meanwhile, banks are expecting the new system to also help reduce transaction abandonment rate by up to 70%. Banks believe that customers using biometric authentication are much more likely to complete a transaction as compared to those using existing methods like one-time password.
Commenting on the development, the President of Mastercard UK & Ireland, Mark Barnett said that the new biometric authentication system will benefit everyone including banks, retailers, and consumers. Mark added that card users will not have to remember passwords once the biometric system is implemented.