Big four bank Nedbank today unveiled “Approve-it”, an Internet banking security feature that the bank claims is a first for SA.
According to Nedbank, the cellphone-based transaction authentication system is seen as superior to the current one-time password (OTP) system and forms part of the bank's campaign to curb online fraud and phishing scams.
“Approve-it is a groundbreaking interactive computer security system, allowing clients to authenticate sensitive Internet banking transactions from their cellphones. This enables clients to 'approve' or 'reject' the transaction should they suspect that their profile has been compromised, thereby reducing the risk of fraudulent attacks such as account hacking and phishing,” says the bank.
Nedbank says Approve-it will replace the existing OTP system. “By authenticating each sensitive Internet banking transaction from their cellphone, Nedbank clients will be able to mitigate the risks and improve the experience related to entering sensitive information on their computers. To encourage further precaution, clients are advised not to access Internet banking via links embedded in e-mails.”
According to Anton de Wet, Nedbank's managing executive of client engagement, Approve-it seeks to empower clients by giving them control over the approval process. “It does not require registration for current one-time password users, and caters for the majority of cellphones.”
Schalk Nolte, CEO of Entersekt, which has partnered with Nedbank on this security initiative, says: “Banks worldwide are recognising the value of using mobile devices as an additional security device for online banking. However, most banks currently send OTPs by SMS to their customers who wish to execute sensitive online transactions. The weakness in this system is that the customer is then required to enter the OTP onto the bank's online site. If the bank's Internet site is mimicked by a fraudster (a phishing site), the transaction is compromised.”
Approve-it follows a process whereby Nedbank clients receive a message on their cellphone, and all they need to do is press the number one to approve the transaction or the number nine to reject the transaction.
For information on the new Internet banking security system, go to www.nedbank.co.za or https://netbank.nedsecure.co.za or call 0860 555 111.
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