Face recognition can be used in an increasing number of ways. The Fintech industry has easily adopted biometric solutions and is now using face recognition progressively as an authentication and verification tool to assist with:
- Secure login access
- Retail payments
- ATM cash withdrawals
- Access to secure areas.
Although, it may seem as if this is something that has just suddenly arrived, face recognition uses have been growing in Fintech for a few years already.
In 2019, an estimated 118 million Chinese users embraced facial recognition payments compared to 61 million in 2018, according to a report issued in late-2019 by iiMedia Research. By 2022, the research consultancy expects the number of users to exceed 760 million, representing about half of the country’s population.
Fintechnews
Some of the examples of where this has been implemented in recent years are:
Secure logins
Banks are implementing the utilisation of facial recognition as a secure login tool for customers using their banking apps on mobile and online banking.
In the US, banks including Chase, HSBC and USAA are using Apple’s FaceID to let customers securely log into their mobile banking apps. Bank of America is reportedly working on such capabilities as well, after being granted in May 2019 a patent for an authentication system using a variety of biometrics, including facial authentication.
With this technology offering a false match rate of less than 1 in 1,000,000, it is increasing the security of online banking.
Retail payments
This has a number of applications and is being implemented in a variety of interesting and creative ways to make payments easier and more secure for buyers.
From using QR codes and face recognition at demarcated pay points to MasterCard launching its “selfie pay” app in 2016, allowing customers to use a phone camera to approve online purchases, and that same year, Amazon filed a patent for a similar payment method.
It aids a customer in a seamless process to pay and be secure in doing so.
ATMS
It isn’t only the online payments that are protected by face recognition. Face scanning at an ATM helps to prevent fraud by removing a card swipe or PIN insertion, both of which are capable of being stolen and misused.
In Latin America, Brazilian digital bank Original rolled out a facial recognition system called Liveness in November 2018 to allow account holders to authenticate banking transactions, while in Guatemala, digital wallet Akisi App has been using ID card scanning and facial recognition technology provided by Mobbeel to enable digital onboarding.
Access to Secure Areas
Face recognition can provide contactless access to secure areas for staff. There may be certain areas only accessible by security staff, cleaning staff, Human Resources staff and select Management that require different levels of access.
This is easily organised and carried out with face recognition systems, being more accurate, and the most practically efficient and accurate non-racial and non-gender biased algorithm available globally.
This has been implemented by big retail chains such as Macy’s to secure access to varying departments needing different levels of access.
The Fintech industry has the opportunity to make seamless transactions, create better customer interactions and ensure that fraud is eradicated with face recognition solutions.
If you would like us to get in touch with you for a demo of how we can help your Fintech operations run with seamless security for you and your customers, send us a message on our contact form below.
Sources: Fintechnews, ElectronicID, Ntechlab, BusinessInsider, CBInsights
5 Positive ways our face recognition solution helps retail stores