Biometric Debit Cards To Replace Traditional Bank Cards?

Traditional bank cards will soon be ‘replaced’ with smart-cards that scans your fingerprint

Remembering your PIN could be a thing of the past.

Traditional bank cards may soon be phased out, thanks to the launch of biometric debit cards by Dutch chipmaker Gemalto.

The new bank cards will allow consumers to buy goods using their fingerprints in a similar way to Apple's Touch ID.  

Authenticating a payment with a fingerprint is more secure than a four-digit PIN, which means the new Gemalto cards ditch the contactless payment limit.

Chipmaker Gemalto launched its first biometric card earlier this year.

The card, which has now rolled-out to debit card customers for the Bank of Cyprus, includes the ability to authenticate payments with a fingerprint.

This can be used for both contactless and card machine payments.

Gemalto executive vice president of banking and payment, Bertrand Knopf said:  'Using biometrics for contactless payments is a natural move as it fits in naturally with the gesture used to pay.

'It allows a better user experience, enabling higher transaction amounts without entering a PIN while benefiting from the convenience of contactless.'

Gemalto's cards are the same as any other bank card, with the only notable difference being the presence of a small sensor on the right hand-side.

Howard Berg, who works at the digital security firm, told The Sun: 'Rather than having to use a PIN, you put your finger on the card and it authenticates the use of the card. It's the same for contactless.' 

For biometric cards, little of the existing payment infrastructure needs to change. 

Customers need only to register their fingerprint at their local bank using a tablet. 

HOW WILL FINGERPRINT BANK CARDS WORK?  

Dutch chipmaker Gemalto has launched a range of bank cards with an in-built fingerprint scanner.

This authenticates the payment and replaces the traditional PIN (Personal Identification Numbers).

Customers scan their fingerprint on a small sensor found on the right hand-side of the bank card.

Fingerprint data is stored on the card, not on a central database. 

Customers register their fingerprint at their local bank branch when they first set-up the debit card. 

Since the biometric card works with current standards, there is no need to change the existing infrastructure.

The magnetic field generated by the card machine used for payment powers the scanner, meaning no battery is needed.

This biometric data is stored on the card, not on a central database. 

According to the company, this will prevent hackers targeting the bank's systems to steal a copy of customer's fingerprint data.

Once the set-up process has been completed, customers can head to the checkout as normal and pay using the existing contactless infrastructure.

The fingerprint-enabled cards do not require a battery.

Instead, the system uses the magnetic field created by contactless card readers to the built-in scanner.

'The idea of using a four-digit number to identify yourself is old-fashioned,' Mr Berg explained.

'Ever been behind someone in a queue that forgets their PIN? It's embarrassing for them, and it's inconvenient for you.

'I think the big problem with PINs: one, you can forget them; two, you can change it; and three, you can unfortunately be subject to fraud.' 

Following its successful launch in Cyprus, there are reports the technology could be set for a wider roll-out across Europe in the coming months.

According to Mr Berg, there's 'an awful lot of interest' from UK banks and the cards could be in Britain by next year.

'In the next two to five years, we wouldn't be at all surprised if, in certain countries, they became mainstream,' Mr Berg added.

'We wouldn't be surprised if the UK was one of those countries.'

Gemalto this week received a 4.8 billion euro ($5.5 billion/£4.2 billion) bid to merge with French aerospace and defence group Thales.

The bid is being reviewed by the European Commission.

Should it go through, it will make the combined company one of the top three players worldwide in digital security.