Mastercard has partnered with FinGo to offer fintech’s biometric verification offering to global markets. FinGo allows users to authenticate transactions and verify their identity using their unique finger vein patterns. FinGo has now been granted access to Mastercard Payments Services Gateway (MPSG), a white-label payment processing system. This partnership will allow FinGo to expand its reach in North America, the Middle East, North Africa, and the Asia Pacific.
Visa introduced a biometric authentication system to Abu Dhabi Islamic Bank in UAE (ADIB). Visa Consumer Authentication Service was used in the partnership. This nontraditional payment verification method uses facial recognition and fingerprints. This integration allows bank customers to use the technology to validate online transactions using the ADIB app. It is also the UAE’s first biometric authentication system for e-commerce transactions.
These steps can help Visa and Mastercard remain ahead of an emerging payments trend. A Mastercard survey found that 37% of global customers are at least somewhat comfortable accepting biometric payments.
After the pandemic, more people might have tried this method. According to Mastercard, 93% of global customers would be willing to try at least one new payment trend within the following year. Mastercard and Visa’s recent biometric partnership allows them to get more involved in a rapidly growing space. This will help keep them from losing market share in fintech and enable them to remain leaders within the payments industry.
This pandemic created a flood of fraud, including eCommerce fraud. In 2020, it was $17.5 billion. Juniper Research predicts that it will surpass $20 billion this year. Juniper Research also highlighted the need to strengthen payment authentication.
This could be another reason why both card networks have increased their identification services. Visa recently invested in biometric authentication startup LoginID, and Mastercard just purchased digital identification platform Ekata. Recent partnerships between Mastercard & Visa in biometrics could encourage more financial institutions and merchants to use these value-added services.