What is mobile phone authentication?
Mobile authentication is a security measure that uses a mobile phone to verify a user's identity. It can be used to verify the mobile device, or it could form part of a multi-factor authentication (MFA) solution.
The mobile phone can also be used in other authentication methods including digital certificates, out-of-band authentication, biometrics and solutions reliant on one-time passwords.
Mobile authentication best practices
In banking, best practices for mobile authentication include shifting from outdated SMS OTPs to passwordless solutions like biometric authentication. Another best practice is to utilize public key infrastructure and more secure tools like passkeys to verify a customer’s identity. FIs can also try to remove unwanted friction during authentication by using a layered approach, like Context Aware™ Authentication. Lastly, giving customers a choice of authentication measures to prove their identity, such as via biometrics on the mobile phone can help FIs make the most of this authentication type.
What fraud does mobile authentication help prevent
Mobile authentication can help to reduce digital banking threats like banking trojans or fraud like SIM-swap fraud, account takeover fraud and social engineering attacks like phishing schemes.
Why Authentication in Mobile Banking Matters
Mobile banking has become a central part of daily life, but it also exposes customers and financial institutions to digital threats such as account takeover, SIM-swap fraud, and phishing attacks. Strong authentication helps verify the identity of users while maintaining a seamless experience, balancing security with convenience. By adapting modern methods like biometrics, passkeys, and context-aware approaches, banks can protect customer accounts, reduce fraud risks, and build trust in their digital services.
Additional resources:
- Blog: Mobile authentication: Driving loyalty through innovation
- Video: The fraud vectors that digital identity verification can help address
- Video: Mobile authentication: Driving loyalty through innovation
Keywords:
Mobile authentication | Multi-factor authentication (MFA) | Biometric authentication
