Bank of Queensland is the first bank in Australia to introduce a new level of security for internet banking customers through its BOQ security token, in the form of Transaction Signing.
Transaction Signing is one of the two levels of security offered with BOQ’s internet banking token – the second being a One Time Password. Depending on a customer’s Internet Banking profile, their BOQ token will process either a One Time Password, or a Transaction Signature.
The One Time Password is just that – a password that is generated by their token and is valid for only a very short period of time.
The Transaction Signature is a more intricate security measure, using data supplied by the user around the transaction to generate a passcode which will then allow the transaction to proceed.
The token, the first two of which are free for Bank customers, is a device that generates a random series of unique numbers. Based on information registered with the system when each token is assigned, it is possible to match these unique codes with the customer’s profile when they transact online.
Tokens will not be required to log on to Enhanced Internet Banking, but will be used to authenticate some transactions where funds are transferred out of the Bank. This will allow customers to check account balances and move funds between their own accounts as easily as possible.
Managing Director David Liddy said that with the dual-functionality of the security token, BOQ’s Enhanced Internet Banking service was one of the most secure systems in Australia.
“This truly is market-leading technology, and should provide a level of comfort for those customers who have been uncertain about internet banking in the past. Particularly given that ‘ACNielsen’s Retail Banking report covering the period of first half of 2006 states that 30% of Internet users who are not Internet bankers selected 'Security of Transactions' as their main reason for not using Internet Banking’.” (Copyright © 2003-2006, ACNielsen.)
The token can be used with any computer and no special software is required.