Particularly relevant to the article I posted earlier in the week is the news that Barclays are to introduce a two-factor authentication system for their online banking customers. The One Time Password system is called PINsentry; customers setting up payment to a new third party will be the first to receive a PINsentry card reader. The card reader is used in conjunction with users existing debit card and PIN number to produce an OTP used during logon and the setting up of new transfers. Over half a million customers should be using the service before the end of this year.
Barclays is the third largest bank in the UK (based on assets); last year it offered online banking customers free Symantec anti-virus software and also introduced an SMS confirmation service. Barclays online banking won ‘Anti-fraud Strategy of the Year’ in Financial Sector Technologies 2007 awards.
This announcement makes Barclays the first UK bank to introduce a two-factor security system for it’s online banking customers. The PINsentry card reader has been designed to APACS standards which means that it should be interoperable with systems introduced in the future (assuming other banks take on the same system).