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Study: Biometric services now a priority for FIs

Nearly 90 percent of banks surveyed said they offer — or are planning to offer — biometric services for customer authentication and transaction approval.

The financial services industry must set aside competition and collaborate on biometrics to ensure consistent, easy and convenient services for end users, according to a survey by Mobey Forum, a mobile financial services association.

For 235 survey respondents worldwide, biometric services are a priority, the study found. Twenty-two percent of banks already offer biometric services to their customers and 65 percent plan to offer them in the near future.

More than half plan to launch fingerprint biometrics for their end users, an additional 21 percent are pursuing voice recognition.

Nearly half of respondents said that customer convenience and the desire to be viewed as innovative are drivers for the adoption of biometrics. There are obstacles to be overcome, however: One in five respondents highlighted dependence on technology providers as an issue, and customer concerns about privacy were also perceived as problematic.

"Biometrics in financial services still face challenges," said Mobey Forum Executive Director Sirpa Nordlund. "It is clear, however, that progress is being made and there are well-defined use cases and benefits to moving forward ... a collaborative [interbank] approach will ensure consumers are presented with stable and consistent services, driving adoption.

Get a free download of the full survey.