CONTACTLESS BIOMETRIC PAYMENT CARDS
Financial institutions and payment card providers face increasing levels of payment card fraud. An increase in payment card transactions, in particular using contactless payment cards, and a decline in the use of cash makes this a challenge. Additionally, providers are continuously having to fight the ‘Top of Wallet’ battle.
Fingerprint biometric payment cards enable providers to adhere to Stronger Customer Authentication (SCA) requirements, reduce fraud, provide brand differentiation all whilst increasing consumer confidence and preference.
A key component of SCA is multi-factor authentication which can be defined as using multiple factors to verify an individual’s right to make a payment. These factors are categorized in three areas:
- What I Know e.g., a password or pin code
- What I Have e.g., a payment card
- What I Am e.g., a fingerprint.
There is a flaw with passwords and pin codes as people can forget them, write them down, ‘lend’ them or have them stolen. Whereas the combination of a payment card and a fingerprint sensor ensures that only the authorized individual can make the payment since the physical presence of the person is required for authentication.
Fingerprint biometric payment cards are also a great weapon in the ‘Top of Wallet’ battle. Not only do they show that their card provider really cares about the security of their money but also shows their provider is innovative in their approach to both security and customer satisfaction. Fingerprint biometric payment cards are a cool way to show brand differentiation.
Benefits of biometric authentication include:
- Stronger Customer Authentication (SCA) adherence
- Helps the fight against money laundering through enhanced KYC
- Fraud reduction
- Brand differentiation
- Accelerates penetration of cash transactions
- Top of Wallet growth
- Account growth effect
- Acquisition lift
- Broader customer reach including digitally excluded
- Enables touch-free payments with contactless payment card
- Biometric Payment Cards: Poised to Become a Mainstream Payment Product
- Biometric Payment Cards: The Game Changer for Financial Inclusion
- The Growing Issue of the Cost of Payment Fraud
Our fingerprint sensors and biometric solutions are the answer when an identity needs to be authenticated. If you are a smart card manufacturer looking to offer innovative biometric payment cards to your customers, then do get in touch; we are an experienced fingerprint sensor manufacturer and biometric experts.
If you are a payment network or card issuer looking to offer biometric payment cards to your customers, then we’re happy to have a chat. We can tell you if we are already working with your preferred payment card manufacturer or reach out to your preferred card manufacturer on your behalf. We can even recommend a smart card manufacturer that already produces biometric payment cards. As you can see, we’re very flexible in our approach.