Banking has been an essential part of our lives from much before smartphones or internet or even computers came around. And though it is one of those services almost everyone avails, it remains clouded in secrecy and utmost security, where customers are driven more by trust than any other factor. While this behavior of customers has remained largely the same, banks themselves have gone through massive transformations over the years- from large complexes to ATMs to mobile apps. But no matter what shape the banks take, the central idea remains the same- provide efficient operations in a secure environment.
But as much as banks have evolved, the security threats they face too have matched the pace, resulting in encryption and authentication algorithms replacing vaults and guns as the primary security measure. And that is the reason mobile app development companies, banking app developers to be more specific, are at the frontier of such threats where they must strike the perfect balance between ease of usage and the security of app they create.
Here are 5 security factors that you must consider and incorporate in your mobile banking app to make it secure:
#1. Two-factor Authentication
The first and foremost concern that app developers need to address is to prevent unauthorized access because once a user logs in, they have complete control over the bank account and there is little that can be done to stop fraudulent transactions. The easiest and most common approach to tackle this problem is to not rely on a single password but also include a second factor for authentication purpose.
This second factor can be a randomly generated one-time password, a bio-metric factor like thumbprint or face recognition, or simply a secret question previously chosen by the authorized user. To put it simply, no matter which measure you take, it must be completely unrelated to the primary passcode and only the authorized user should have access to it.
#2. Behavior analysis
Most of the users generally use their personal device for accessing banking services and that too only for a few selected tasks. Banking app developers can use this information to map the general behavior of any particular user and if and when any anomaly arises, they can ask for re-authentication to prevent users from any unwarranted actions.
#3. Transaction alerts
Any banking transaction can be deemed unauthorized only when the users deny having done it, which essentially is possible only if they are promptly informed of every transaction. Text and mail alerts are the two most feasible options you can take to not just inform but also identify fraudulent transactions as soon as it takes place.
#4. Secure channel
This factor is essentially the foundation upon which the entire online banking operations rely and is something that must be incorporated in your app as well. Putting aside security attacks on individuals, most of the security breaches happen when an attacker traces the confidential data being transmitted from client to server. And unless you have this channel secured via measures such as HTTPS or SSL, all other security features may become futile.
#5. Leverage technologies
If you take a closer look at all the above factors, you will notice that most of the security breaches are caused by stolen or weak passwords. In which case, the smartest possible step you can take to improve security is to eliminate passwords altogether. From NFC to QR codes, there are today a myriad of highly secure technologies being used to transfer funds, which if you incorporate in your mobile app, will provide it an added layer of security.
Creating a banking app is by all means a major challenge that not only demands highest of expertise in user experience and security, but also poses a major risk if compromised. And it is due to such complexities and risks involved that there aren’t many mobile app development companies capable of undertaking such projects. But since we have been in the industry for over a decade- much before banking apps even came into existence, and worked on many such projects, there isn’t much we don’t know about the domain.