A survey from MemberPass™, the flagship contactless identity solution powered by credit union service organization (CUSO) CULedger, found that more than two-thirds of adults would have more trust in their financial institution if they offered a mobile-based biometric authentication solution for in-person or phone-based transactions.
Covid-19 has had an immediate impact on how consumers interact with their bank or credit union. The survey found 51% of bank customers, 68% of credit union members and 82% of those with accounts at both types of institutions reported changing their preferred contact methods due to the pandemic. This showcases that there is a distinct shift in channel utilization, with many branches having to modify the way they authenticate their members’ identities.
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As habits change, the demand for strong security and fraud protection remains a driving concern for all consumers. The survey found more than half (51%) of all credit union members had experienced identity theft and 68% had experienced debit or credit card fraud. These experiences influence the way people feel about authentication tools, with 61% of ID theft victims and 69% of card fraud victims indicating they would use a mobile biometric-based authentication solution to better protect their accounts.
“The findings from this survey confirms that there a demand from consumers to upgrade security for financial interactions at credit unions,” said Julie Esser, senior vice president, marketing and communications. “With MemberPass, credit unions can extend an extra level of security, trustworthiness and transparency with every transaction, allowing members to be in control of their identity while streamlining the authentication process.”
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The MemberPass app puts control of a member’s identity and authentication in their control. As an omnichannel solution, users of the app eliminate the need for knowledge-based authentication (KBA) questions when calling contact centers or visiting credit union branches. The app provides a contactless form of authentication that is perfect for the current masked environment. Members will also be able to verify the credit union representative contacting them, which is increasingly important in a time where fraudulent outreach is becoming common.
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