Students develop secure new procedure for online banking

Mar 06, 2013

Researchers and students from the University of Tübingen, working with GFT Technologies AG, have developed a new process to make online banking more secure. Their software is being presented this week at the CeBIT computer trade fair in Hannover.

The idea for the -TAN process came about four years ago, was patented and further developed by students as part of their undergraduate studies, says Dr. Bernd Borchert of the University of Tübingen's Wilhelm Schickard Institute of Computer Science. NFC stands for Near Field Communication, an international standard which allows electronic devises to transmit data over short distances.

When a customer wants to make a bank transfer from home, the bank sends him a transaction authentication number (TAN) for each transaction, which is only confirmed when the TAN has been entered. Up to now, TANs were sent by or generated by a chip TAN device. The first system was handy but fraught with risk, says Borchert. Malware on a person's smartphone could read his password and enable others to log into his account via his own phone.

The new NFC-TAN process is similar to using a TAN generating device, but now that device is replaced by the user's smartphone. The user is shown a 2D code on his , which he can scan into his phone using a special bank app. After a transaction is confirmed on the display, the customer holds his account card up to the phone. The card generates the TAN and transmits it via NFC to the phone. "It is a more secure procedure than the text-message TAN," says Borchert, adding that it is easier than using a TAN generator, because no extra device is needed. Nor does it cost more to start up or run. One in four smartphones on the market is NFC capable – and banks are already planning to introduce NFC-capable account cards.

The Tübingen are planning to market the process with the help of GFT Technologies, a Stuttgart IT company. Demonstrations are running at from March 5-9 in hall 16, (stand D30_64).

Explore further: SHORE facial analysis spots emotions on Google Glass

More information: A press conference with the University of Tübingen's Dr. Bernd Borchert and GFT representatives takes place on Thursday, March 7, at 10am in the press lounge, CeBIT hall 16.

add to favorites email to friend print save as pdf

Related Stories

New Internet ID Card Prevents Online Fraud

Mar 31, 2008

Times are getting hard for anyone trying to get away with online fraud. That’s because Siemens, in cooperation with a partner company, has developed an Internet ID card the size of an ATM card that enables ...

Turning smartphones into secure and versatile keys

Jan 03, 2013

It's already possible to open doors using an app—but we are a long way from seeing widespread acceptance of this in the market. Now, researchers have developed a piece of software that will make the technology ...

Recommended for you

SHORE facial analysis spots emotions on Google Glass

16 hours ago

One of the key concerns about facial recognition software has been over privacy. The very idea of having tracking mechanisms as part of an Internet-connected wearable would be likely to upset many privacy ...

Does your computer know how you're feeling?

Aug 22, 2014

Researchers in Bangladesh have designed a computer program that can accurately recognize users' emotional states as much as 87% of the time, depending on the emotion.

User comments : 0