Biometrics Poised to Maximize Security and Battle Banking Fraud Across Nepal
Biometric technologies are being incorporated into banking and finance solutions at breakneck speed around the world. Businesses are relying heavily on the benefits of biometric authentication to not only combat evolving security challenges (identity fraud, money laundering, account takeovers, etc.), but to also differentiate themselves through delivering an extraordinary customer experience.
The Nepalese banking sector is poised to partake in these game-changing biometric technologies, and they now have access to a robust offering designed to help fight fraud across Nepal and neighboring territories — a formidable combination featuring:
- World-class fingerprint readers from HID;
- Aristi biometric authentication solution from Soori Technology, a valued HID partner; and
- Pumori banking software, the #1 core banking software system in Nepal.
The technology combination delivers several innovative advantages when it comes to identity authentication and verification for banking and financial institutions in the region.
Advantage 1: Biometrics Enhance Security & Prevent Fraud
A foremost concern for banks around the world is the growing threat of fraud — and there’s no exception for Nepal. Traditional authentication methods predominantly rely on passwords, which are vulnerable to hacking and misuse. Passwords put customer accounts at risk as they are easily compromised through tactics such as phishing attacks — and can be stolen or forgotten.
The use of fingerprint biometrics is an ideal, easy-to-integrate and cost-effective update that works with existing software and infrastructure. Customers and employees simply place a finger on a reader and within seconds they are authenticated. It is a hassle-free and extremely fluid process for people of all ages, abilities and technical prowess.
Biometrics deliver the highest level of identity assurance — in particular fingerprint authentication is one of the most common forms of biometrics as it is easy, fast and secure. One fingerprint tied to one individual delivers irrefutable proof of presence when it comes to day-to-day identity verification.
An enormous benefit for banking institutions is this technology’s ability to confirm whether a living person is behind each presented finger. Fraudsters often use fake fingerprints to spoof biometric authentication sensors. Built-in, advanced Presentation Attack Detection (PAD) in fingerprint readers minimizes the risk of someone tricking the system and gaining unauthorized access. It’s all done with speed and accuracy to move transactions forward in a timely, secure manner.
For customers, biometrics simplify the authentication and verification process. People no longer need to remember complex passwords or hassle with changing these passwords periodically. Securing bank accounts by way of biometric authentication provides strong assurance that one’s hard-earned money is properly protected.
Advantage 2: Biometric Multi-Factor Authentication Fortifies Access
A critical use case for fingerprint biometrics in banking and finance is multi-factor authentication (MFA). MFA is a highly popular and effective way to safeguard sensitive information. This technique requires more than one distinct authentication factor to grant access — so not only a confirmed fingerprint, but also something you know (e.g., a one-time code) or something you have (e.g., your mobile device).
This added step creates a robust security framework for not only customers, but also to validate bank employees, who pose a substantial risk when it comes to unlawful access. Statistics underscore the pressing need for powerful authentication as a significant portion of fraud incidents within the financial sector stem from malicious insiders, negligent insiders and compromised insiders.
MFA not only helps safeguard sensitive customer data but also serves as a deterrent against looming insider threats. This lift in security contributes to the overall well-being and integrity of the financial ecosystem. In a landscape where both external and internal threats persist, biometric-based MFA is a cornerstone in the defense against breaches and fraud attempts.
Advantage 3: Biometrics Deliver Better Banking Experiences
Biometric authentication strikes the right balance between convenience and security. Throughout each customer touchpoint, authenticating with the tap of a finger shepherds a smooth banking experience — from mobile onboarding to interacting with ATMs to banking online, via mobile or at the branch.
Fingerprint biometrics are now a backbone component within modern authentication systems, supporting a number of use cases across banks and financial organizations. These include:
- Access Control — Ensure only authorized personnel have access to digital and physical spaces and places
- Know Your Customer (KYC) — Easy, frictionless customer onboarding for secure identification and authentication
- Secure ATM Services — Replace traditional pins and passwords and eliminate the need for cards
- User & Transaction Authentication — Ensure only the rightful account owner can authorize and transact
- Regulatory Compliance — Undeniable proof of presence with audit trails to document and assist with KYC and anti-money laundering (AML) compliance
- Fraud Prevention — Unique physical characteristics align one fingerprint with one individual to prevent identity theft, account takeovers and fraudulent activities
Pumori, Aristi & HID: Blending the Best in Banking and Biometric Authentication
Pumori banking software supports end-to-end banking operations with a complete lineup of agile solutions and core add-on modules designed for incredible flexibility and functionality in today’s dynamic banking environment. The system handles high-volume transaction processing, provides embedded workflow management and improves operational efficiency with increased automation.
Aristi biometric authentication solution from Soori Technology is an MFA solution that runs on HID fingerprint readers to facilitate biometric enrollment and verification. It can be seamlessly integrated with Pumori banking software, as well as other banking applications, and is being tested in additional core banking solutions currently in use across Nepal.
HID fingerprint readers and modules deliver next-level banking possibilities when combined with the Aristi biometric authentication solution and Pumori software to deliver fast, secure identity assurance. These leading fingerprint readers are easy to use, easy to integrate and remarkably accurate — capable of capturing even the most difficult customer fingerprints (dry, dirty, oily, wrinkled, damaged) in the most challenging environments.
This exceptional technology combination of Pumori + Aristi + HID can easily be deployed across banks in Nepal to immediately help:
- Combat bank fraud
- Bolster security
- Decrease operational risk
- Improve efficiency and transparency of vital social programs
- Elevate the customer experience
Biometric authentication aligns with Nepal’s commitment to good governance — and is simply a practical technology evolution within banking and finance today.