Keep Your Online Banking Safe
The growing concern of online frauds and making online banking a safe option for customers who can carry out banking process sitting at home banks are implementing new techniques of online security systems. HSBC is one of the latest banks to adopt the new security regime for online banking. It introduced a new type of security keypad for its customers to help them login their personal accounts online. This keypad used two-factor authentication which the banking sector is using it recently for its security regime.
The new system is called "something you know and something you have." With this stratagem, it is no longer adequate for you to have a complicated password; you also need to have a tool that will enable you to admittance your online banking account.
According to the Payments Council of United Kingdom, this security keypad has reduced the occurrence of fraud. Barclays, one of the leading banks in the UK, has stated that this system has reduced fraud by as much as 90%.
Not all banks, however, are in a arrangement to put into practice this system. In fact, a lot of banks have their own ideas on how to execute online security. Santander, another leading bank in the UK, has established a fresh security system. It does not sketch to issue card readers to its customers. Rather, it will continue to keep an eye on transactions of customers through software. Through this system, any curious transaction from the customer will be blocked!
However this system may create some difficulties for end users who may make mistakes and the account would be blocked overseas. It is annoying for customers to have their transactions overseas get blocked because the bank's software decided it was bizarre! What if customers went to Japan for the first time and bought a lot of things using his online transaction facilities. As the software would detect it something unusual it will block the transactions!
The proliferation of fraud is not just confined in India, and the United Kingdom. The United States, as well as other nations of the world, also loses billions of dollars due to online fraud. This new system of authentication is a good way to improve online banking security. But it is not the only means as they need to make the system efficient as well for the customers.
Again as a customer you also need to be careful using your online banking. Always use safe portals for the transactions and if you notice any new things beings asked for your transaction contact the bank immediately to know about the unusual happening.
by: Amit Kumar