MasterCard has introduced MasterCard Identity Check, a suite of technology solutions that leverage advanced technologies to prove a consumer’s identity.
The credit card giant says the current means of asking consumers to prove their identity online risks taking shoppers away from a retailer’s website – the last thing they need given the current conversion levels. It says many people abandon their purchases because the final verification steps can be complicated and time consuming.
The company is trying to tackle the low conversion rates and lengthy verification processes by introducing biometric technology and a feature that involves sending one-time passwords via SMS.
“Today, people shop on all sorts of devices, and they expect technology to simplify and secure the transaction. This is exactly what Identity Check delivers,” said Ajay Bhalla, president of Enterprise Security Solutions, MasterCard.
The use of technology and data will move from a reliance on what the consumer knows (passwords), to what they have (mobile phone or other smart device) and who they are (biometrics). Hundreds of cardholders in the Netherlands began using biometric-enabled payments last month, while a similar trial is also underway in the US.
US financial institutions can choose to participate in MasterCard Identity Check beginning in the middle of 2016, with a global expansion in 2017.
These new security measures come on the back of new research that shows 53 per cent of shoppers forget crucial passwords more than once a week, losing more than 10 minutes when they reset their accounts.
As a result, more than a third of people abandon an online purchase, while six in 10 said it led to missing a time-sensitive transaction like buying concert tickets.
More than half of people want to see passwords replaced by something more convenient, while continuing to deliver the same levels of protection and peace of mind.
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