Lloyds TSB has launched a trial of a new online banking security device that could transform internet banking.
The trial is the largest one of its kind in the UK and involves 30,000 customers testing an Access Code Device to log on to internet banking.
When logging on to internet banking customers will use their logon and password as usual but instead of entering further memorable information, the Access Code Device will issue them with a unique code which they submit instead.
Once the code is verified by the bank customers can proceed with internet banking services.
Matthew Timms, internet banking director of Lloyds TSB, commented: “The Access Code Device will generate a new code every time it’s used ñ another blow to the fraudstersÖbut it’s vital that customers protect themselves by keeping their account details private.”
If successful, the device could also be used to improve internet security in online shopping.
Cahoot currently uses a ‘webcard’ which gives customers a new number every time they shop online so that current account and credit card customers do not have to give out their real card number online.
The ‘webcard’ is accepted wherever VISA is recognised and can be used in transactions where only a card number is needed.
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