For online shopping, more and more people have deposited numerous passwords, bank details and other personal details on various platforms. To make sure that these data and thus also our accounts and our money are even better protected from hacker attacks, the payment system should become more secure. Unfortunately, it also makes it more complicated …
Shopping on the net is not only comfortable, but can also save time and money. Hours of walking around in the crowded city center is therefore out of the question for many people. And it’s so easy: choose a product, register, pay by PayPal, credit card or Sofortüberweisung, and then the order is on its way. But this simplicity also has its pitfalls. Hackers still manage to break customer accounts with little effort.
TWO-FACTOR AUTHENTICATION: HOW IT WORKS
To ensure security when shopping on the net and to protect sensitive data, payment on the net is taken up by so-called »strong customer authentication«, which is based on the recommendations of the »European Forum on the Security of Retail Payments«. More specifically, this prescribes authentication via the use of two factors from the different features of knowledge (e.g., password, code, PIN), ownership (e.g., token, smartphone), and inherentness (e.g., fingerprint, voice or facial recognition).
PURCHASE BY FINGERPRINT OR FACE RECOGNITION
In detail, this means that in the case of an online purchase on a smartphone with a credit card, the fingerprint will be required in addition to the check number in order to complete the purchase. The same applies to payment via Paypal, Paydirect and similar providers. A previously assigned password will not suffice in the future. An exception could be purchases with small amounts under 30 euros. Here, the individual platforms decide for themselves whether they require more than the usual information.
With these measures, the EU wants to better protect its customers in the future. Platforms that are not ready yet have to be retrofitted by mid-September 2019. At the latest then, two-factor authentication is an absolute must for every transaction where money flows from your account.
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