Banking
Facing up to the tech trust gap – how do banks prove themselves and their tech?
Published by Jessica Weisman-Pitts
Posted on October 27, 2022
4 min readLast updated: February 3, 2026
Global Banking and Finance Review
Company
Published by Jessica Weisman-Pitts
Posted on October 27, 2022
4 min readLast updated: February 3, 2026
By Sanjay Gupta, SVP and MD, Mitek
In tough economic times, people rely on their banks more than ever. However, mounting levels of fraud and scams coupled with the uncertainty of new identity and verification (IDV) technology is putting consumers under increased suspicion and threat. There is also a dependency on traditional, vulnerable digital access methods like passwords, and a lack of education on the benefits of more secure technology like biometrics.
In contrast, consumers are happy to embrace the convenience and security of tech in most areas of life, with the video doorbell and wireless home security camera markets soaring. But when it comes to something as sensitive as our finances, the trust gap becomes evident.
A recent survey from YouGov and Mitek found that 79% of customers want banks to adopt the latest technology to keep their accounts safe, yet only 35% of mobile banking app users have set up face biometrics to log in. With this technology proving the most secure option for login, banks need to step up to promote its ease of use and prove the security of biometrics to their customers. The industry is in danger of facing a market-driven stalemate in their research and development should the tech trust gap continue to widen.
So, how can banks win customer trust in new IDV technologies?
Understand the knowledge gaps
To start, we need to help customers understand that passwords and basic multifactor authentication (MFA) are no longer enough to protect them from fraudsters. MFA attacks are at their highest level ever, with 113 million in the first 90 days of 2022 alone. Cybercrime groups are deceiving targeted users to generate codes and approve access requests, often bombarding users with repeated requests until they give in.
Customers can be reluctant to add steps to their login process and question why their passwords are not sufficient to protect them from scammers. What they might not understand is that the change of password is merely just one mode of authentication. A password does not authenticate your identity, it just proves that you can access an account.
The best way to make your account more secure is via a multi-modal approach of biometrics and passwords as it allows you to prove who you are and what you know.
Biometric authentication offers high security and assurance, as well as a convenient and fast user experience, simply scanning a customer’s face for entry without the need to remember codes or passwords. Everyone has a unique set of biometrics that are very hard to fake or steal and act as an added layer of security between you and someone who is trying to break into your device or app.
Mind the customer trust gap
However, despite the clear benefits of IDV technology, many customers remain wary of it. According to the Mitek and YouGov research, this trust gap is evident among all ages, though it is particularly prevalent in older generations. 80% of those over 55 don’t have biometrics set up, just relying on vulnerable passwords and MFA methods. This suggests a lack of education in cyber hygiene and awareness of the benefits of biometrics in securing bank accounts – which needs to change.
Traditionally, identity verification would require paper documents, and standing in long queues to meet at banks face-to-face. Now, to ensure compliance without losing customers along the way, banks turn to biometrics, artificial intelligence (AI) and machine learning (ML). Digital identity verification technologies can complete this process in minutes on a mobile device, as new customers take a selfie and a photo of their ID document. The ID document is then checked by AI for signs of forgery, ‘matched’ against the selfie, and ‘liveness detection’ ensures that the selfie is being taken there and then. What’s more, thanks to ML, the technology learns to recognise more signs of forgery over time to further improve security.
Looking ahead, developing more advanced technology will only be possible if more customers get on board with the security solutions that currently exist.
Bridging the gap
Making login processes easier for customers does not mean that it will become easier for cybercriminals to attack. That said, encouraging customers to make the move from ‘something you know’ to ‘something you are’ can be tricky, so banks need to make the process of setting up biometric security easy and stress-free to promote uptake. More investment is also needed to instill confidence in customers and educate them on these advanced technology’s merits without putting them off.
Ultimately, the key to closing the tech trust gap lies in striking the right balance between security, education, and a seamless customer experience.
Biometric authentication is a security process that uses unique biological characteristics, such as fingerprints or facial recognition, to verify an individual's identity.
Multi-factor authentication (MFA) is a security measure that requires two or more verification methods to gain access to an account, enhancing protection against unauthorized access.
Identity verification technology involves methods and tools used to confirm a person's identity, often through digital means such as biometrics or AI-driven processes.
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