Two-Factor Authentication with Cell Phones
Here’s a good idea:
ASB and Bank Direct’s internet banking customers will need to have their cellphone close to hand if they want to use the net to transfer more than $2500 into another account from December.
ASB technology and operations group general manager Clayton Wakefield announced the banks would be the first in New Zealand to implement a “two factor authentication” system to shut out online fraudsters, unveiling details of the service on Friday.
After logging on to internet banking, customers who want to remit more than $2500 into a third party account will receive an eight-digit text message to their cellphone, which they will need to enter online within three minutes to complete the transaction.
It’s more secure than a simple username and password. It’s easy to implement, with no extra hardware required (assuming your customers already have cellphones). It’s easy for the customers to understand and to do. What’s not to like?