Much as banks might want to get rid of the use of usernames and passwords for online and mobile banking, they still bump up against a harsh reality: Nearly 75% of consumers in a recent study said they use that method when logging in to banking accounts.
But consumers are also warming to stronger authentication methods as they become more exposed to them on their smartphones and other devices. And regulatory pressure, both within the U.S. and in other countries, is gradually pushing banks and other companies to reduce their reliance on usernames and passwords. As a result, the day banks can ditch passwords may be coming sooner than once was thought.
« Banks of all sizes continue to innovate when it comes to security, » said Paul Benda, senior vice president of operational risk and cybersecurity at the American Bankers Association. « With so many people using face ID and fingerprint authentication on their smartphones, consumers are a lot more comfortable with using biometrics. »