1. The Usage of IT in The Banking Industry
Information technology has dramatically changed the way banking is done over the last 15 years or so. The era of change banking in Canada began from the establishment of Interac's national Automated Teller Machine (ATM) network in 1986. National Debit Card network was introduced in 1994. First full service virtual bank came into being in 1997. Most recently voice recognition banking has begun to emerge in the Canadian business scene. One of the enabler of this Information technology revolution in Canadian financial service industry is Automated Teller Machine, which is essentially a date terminal with two input and four output devices. The two input devices are Keypad and card reader. The four output devices are speakers, display screen, receipt printer, and cash dispenser.
The user inserts the card in the card reader and key in the PIN number via the keypad. The receipt printer prints the receipt and the cash dispenser ejects the cash out. All the operations are displayed on the screen along with the instructions to carry out the necessary steps. Like any other data terminal ATM has to connect and communicate through a host processor, which acts as a gateway. ATMs are connected to the host processor via leased telephone lines or dial up connections. Leased telephone lines have higher date rate transfer and are preferred at high transaction volume places. Banks themselves or independent service providers may be the owners of the host processors.
Security is the biggest issue of the transactions done electronically. According to the TIMES magazine issue dated March 7, 2005 there were 10 million people were affected by identity theft in US in 2005 with a total loss of US$ 5 Billion. ATM technology is turning to Biometrics to reduce the probability of the identity theft. The word 'biometric' means to measure life and to recognize an individual biometrics employs a biological trait unique to that person. The traits can be finger prints, iris patterns, retinal scans. For a biometric system to work first of all the individuals have to provide the samples of the unique trait such as finger prints to the organization planning to run the system.
This voluntary deposit of the samples can be a hurdle in the setting up of the system because some individuals may not like the idea of handing over their finger prints to some organization. Once the samples of the unique character are collected, they are arranged in a data base.
Another discrepancy between actual forensics and how it is portrayed in the media is the availability of information in databases. There is only a small percentage of the entire population’s fingerprints or DNA samples stored within databases such as the Integrated Automated Fingerprint Identification System (IAFIS). This makes finding a match between a DNA sample or fingerprint difficult, as a match would only be found if the person’s information was already stored within the database. If there is no match previously stored in a database, the fingerprint or DNA sample could be potentially rendered useless within a trial. Typically, in order to perform an analysis, investigators must already have a suspect in mind and request a DNA or fingerprint sample from him or her. If the suspect does not want to provide one however, the sample collected as evidence may not count as valid. The CSI effect creates an idealized image that all crimes can be solved with a hair or drop of blood, but this is not always the case in real life.
...nation without an idea way, it will lead the key to be the leader of the whole certification process, then the security system will be based on the key. Once the key is missing, the system will be collapsed. Based on the above analysis, while biometrics characteristics as an approximate random signal, people can consider to extract one key directly from such signals, instead of using the external inputs. In this way, we call it a key generation mechanism (key generation scheme).
It’s an undeniable fact that the Impact of ATMs on Maybank today is very large. Prior to the invention of ATMs, It was common for people to form long cues in the banks during transactions. However, today we rarely see this happening. Maybank bank has been able to provide its customers with the ‘Auto Teller Machine’ services, increasing the rate of transactions done all around Malaysia. Customers are provided with the ATM cards enabling them to do cash withdrawals, account inquiry, funds transfers, payment services, e-access ID application and even e-receipt. This has enabled Maybank to save costs as they will no longer need to pay their workers for the ‘Teller’ services, meanwhile, the performance for the transactions is increased. Now, they are able to provide services for a large number of customers within the shortest period of time. The ATM service is available for 24hours. This type of transaction has become beneficial to both the customers and the bank.
Using Biometrics for Security Today, the protection of everything has become an important issue that affects everyone. Whether it’s protecting a cashier’s cash drawer or preventing a suicide bomber from hitting an aircraft. Either way, there is going to be an increase and change in security. The advancement in the technology of computers has made it easier for people to get information. Today, a person can log onto the internet and view information on anything and everything.
Biometrics is described as the use of human physical features to verify identity and has been in use since the beginning of recorded history. Only recently, biometrics has been used in today’s high-tech society for the prevention of identity theft. In this paper, we will be understanding biometrics, exploring the history of biometrics, examples of today’s current technology and where biometrics are expected to go in the future.
When ATMs were introduced in the 1970s, they were set up only inside or immediately outside their banks' branch offices. They were seen by banks largely as a way of saving money, by reducing the need for tellers. Even with the relatively expensive computer technology of the late '70s and early 80s, the cost of processing deposits and withdrawals via ATMs proved to be less than the cost of training and employing tellers to do the same work.
Biometrics is methods of recognizing a person based on a physiological or behavioral characteristic. Some of the features measured in biometrics identification that I will include in this paper are: fingerprints, retina, face, signature, and voice scans. Biometric technologies are quickly becoming the foundation for a large array of highly secure identification and personal verification techniques. As the level of security and transaction fraud increases, the need for more secure identification and personal verification technologies also increases. Biometric-based solutions can provide for confidential financial transactions and personal data privacy. The need for biometrics can be found in federal, state, and local governments, in the military, and for commercial uses. Biometric security is already being applied in the areas of “Enterprise-wide network security infrastructures, government IDs, secure electronic banking, investing and other financial transactions, retail sales, law enforcement, and health and social services.” It is also important to know the uses of biometric security, which will be covered in detail in the later part of this paper.
Judson, Olivia. (2008). Sticky fingers: fingerprints are one of the oldest biometric measures of identity. What do we actually know about them? Natural History. 117.10. p16.
Another pivotal issue was that of the multichannel integration—call center, branch, ATM, and Internet—which is immensely important for large financial institution like ICBC to attract and retain customers with the promise of “anytime, anywhere” account access. Customers are eager to have the kind of flexibility to use whichever channel is most appropriate at a particular time. Continuing with the same point the, ICBC was also concerned about the relative penetration of the existing as well as new customer base to gain access to the banks new technological proposition.
The Standardization has emerged to provide a common software interface, which allowed sharing of biometric templates and evaluation of different biometric technologies from multiple vendors, doing this will definitely increase identification process and security purposes. “To be secure the private key must be protected from compromise and the private key must be portable. The solution to these problems is to store the private key on a smart card and protect it with a biometric.” (Vacca, 2007), one of the more challenging research areas involves using biometrics for
Information security is concerned with the confirmation of confidentiality, trustworthiness and accessibility of data in all structures. There are numerous tools and procedures that can help the management of information security. However framework focused around biometric has developed to help a few parts of data security. Biometric authentication upholds the aspect of Identification, verification and non-renouncement in data security. Biometric validation has developed in fame as an approach to give personal ID. person's ID is vitally huge in numerous requisition and the hike in credit card duplicity and wholesale fraud recently demonstrate that this is an issue of real concern in more extensive public opinion. Distinct passwords, pin recognizable proof or even token based arrangement all have deficiencies t...
As one of the feature of biometric, signature verification is used to find the authenticity of a person to give the access the most valued and important documents and shelf. Firstly the signature of a person are taken as a reference in database. To generate the database, number of attempts from the same person has been taken, as it would permit minute deviations in signatures that generates due to environmental conditions. Once it is done, then the signatures at other times are every time then verified with the existing database. Because of confidentially of the file/document/transaction giving access is the crucial process that should be monitored with perfection. The same happens with offline signature verification. Computerized process and verification algorithm (thus software) takes fully care of signature under test, generate results that are 100% authentic, and advocates credibility of the concerned person .However, there might raise issue of authenticity even if the same person performs the signature. Or, at times a forge person may duplicate the exact signature. Many research have been done to find the accuracy of result so as to prevent from forgery. Forgery is also divided into different categories depending upon their severity as
Communication modern technological tools that have been enhanced by Information Technology are having an impact on changing the very structure and communication of banking. That is, clients are enabled to make their banking transactions whenever and wherever they want. Bank clients, by just logging on their online account, can transfer any amount of money from their account to any other account, check their last processed banking transactions and apply for loans and other banking services. According to Keyes ( 2000, p.591) 'electronic checks provide consumers with the benefits of convenience and safety while allowing billers to maintain their existing depository relationships with their banks'. Further, e-mails has enabled bank employees to notify their customers of any new enhanced bankin...
The first online banking system was created in 1980 in New York, and was adopted by four main banks; Citibank, Chemical, Manufacturers Hanover and Chase Manhattan. The sector needed an innovation in banking systems because of growing consumer demand for service improvements as well as fear of losing market share. In the beginning, online banking was treated at private customers and small companies, to help customers have easier access to their bank accounts, however, now it achieves a global reach through the population. (Cronin 1997) In today’s world, electronic business (E-business) is very important especially for the banking system, plays a fundamental role in online banking (Nasri 2011). A true definition of online banking is difficult, because this system is connecting with different services which are constantly evolving. Access to online banking is possible through the internet, phone or even television. (Daniel, 1999; Mols, 1998). This ‘open system’ is available to the customers twenty four hours a day, seven days a week. This is a multi-level organized system, which helps people pay bills, check credit cards or even arrange mortgages without leave their houses. (Singer 2012)
up with the changes - they happen so fast. A good way to think about