Nedbank Implements Entersekt’s Online Card Purchase Authorization Technology to Enhance Internet Fraud Protection

  Nedbank Implements Entersekt’s Online Card Purchase Authorization Technology
  to Enhance Internet Fraud Protection

Business Wire

ATLANTA -- July 22, 2014

With EMV’s continued expansion overseas and impending adoption in the U.S.,
fraudsters are turning away from scamming physical credit and debit cards and
instead setting their sights on the card-not-present space online. In an
effort to further protect its customers from potential fraud online, South
African-based Nedbank has partnered with Entersekt, an innovative pioneer in
transaction authentication, to integrate the solution provider’s Online Card
Purchase Authorization technology into the bank’s Approve-it^™ system.
Approve-it^™ is an implementation of Entersekt’s interactive transaction
authentication technology, and since the launch of Approve-it^™ on Nedbank’s
online banking channel, Nedbank has published a 99% drop in phishing attacks
on this channel.

Given the success of Approve-it^™ on the online banking channel, Nedbank is
leveraging Entersekt’s unique Online Card Purchase Authorization technology to
expand the protective reach of Approve-it^™ to the card not present channel.
Approve-it^™ now also serves as an enhanced security feature to allow
Nedbank’s customers to authenticate online card purchases directly through
their personal mobile device. When a Nedbank customer performs a 3-D Secure
online purchase with their card, they will receive a push message via their
mobile device requesting them to authorize the transaction with a simple
“Accept” or “Reject” response. Not only does this enhance the customer
experience by eliminating the need to remember complex static passwords or
retyping one time passwords generated on a token, but the security of the
online payments channel is significantly increased as well.

“Despite the clear vulnerabilities one time passwords present, many financial
institutions continue to rely on this method of customer authentication before
a transaction can be completed,” said John Bestbier, Group Executive: Strategy
at Nedbank. “Rather than requiring our customers to enter static passwords or
one time passwords that can easily be stolen or intercepted by online
fraudsters, partnering with Entersekt enables us to leverage advanced
authentication capabilities to streamline the approval process by utilizing
the customer’s mobile to complete the purchase with a simple touch of a
button. With no password to retype anymore, there is no password left for an
online fraudster to steal.”

Designed to serve as an added layer of security for online card purchases, 3-D
Secure has been proven to lower instances of card not present fraud, but has
widely been dismissed by financial institutions due to the annoyances it
presents consumers, such as difficulty with activation and inconsistent
methods of authentication. Entersekt’s Online Card Purchase Authorization
reinvents the 3-D Secure user experience by allowing consumers to authenticate
purchases through their mobile device with the touch of a button.

“While there were definite short comings initially associated with 3-D Secure,
we saw major potential for the standard to significantly impact transaction
security once the consumer objections were fully addressed,” said Christiaan
Brand, chief technology officer for Entersekt. “By abandoning reliance on
passwords and instead leveraging the user’s mobile device for authentication,
we are able to reduce abandonment rates for online purchases and streamline
the authentication process to satisfy consumer demands and 3-D Secure
standards simultaneously.”

About Nedbank

Nedbank Group is one of SA’s four largest banking groups by assets and
deposits, with Nedbank Ltd our principal banking subsidiary. We are a JSE Top
40 company with our ordinary shares listed on the JSE since 1969 and on the
Namibian Stock Exchange since 2007. Our market capitalisation was R107bn at 31
December 2013. Old Mutual plc is our majority shareholder, owning 52% of
Nedbank Group. Headoffice in Sandown, Sandton, Johannesburg, SA.

About Entersekt

Entersekt is an innovative pioneer in transaction authentication. The
company’s one-of-a-kind approach combines the power of electronic certificate
technology (PKI) with the convenience of mobile phones and encrypted cloud
messaging to provide financial institutions and their customers with full
protection from online banking fraud. With its patented security products
authenticating millions of transactions globally, none of Entersekt’s clients
have experienced a successful phishing attack on their systems since
implementing the company’s technology. Financial institutions worldwide look
to Entersekt to strengthen the all-important bond of trust they share with
their customers, and to build on those relationships by introducing
increasingly innovative mobile and online banking services. For more
information on Entersekt, visit www.entersekt.com.

Contact:

For Entersekt
David Jones, 678-781-7238
or
Stephen Sprayberry, 678-781-7207
 
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