BANKING SECTOR CONTINUES WORK ON
NARROWING THE DIGITAL DIVIDE

Sydney, 3 December, 2007: The Australian Bankers’ Association (ABA) has worked with community groups and other financial services sector representatives to produce guiding principles to assist banks in making retail banking even more accessible to people with disabilities and older Australians.

These guiding principles have been launched today on the International Day of People with a Disability.

While advances in banking technology, particularly telephone and Internet banking, has improved accessibility to banking for people with disabilities and older Australians, there is a need to make sure that new security initiatives do not create barriers to access.

As banks continue to seek out security enhancements for online banking, the “Guiding Principles for Accessible Authentication” provides advice to banks on how to make stronger authentication technologies accessible for all customers.

Authentication is the process of confirming the identity of a customer and verifying access to their bank. For example, one factor authentication is the use of a password to enable access to Internet banking.

Two factor authentication requires two independent steps for a customer to access Internet banking. Customers authenticate their identity and access to the system twice, first with something they know and then with something they have.

David Bell, Chief Executive of the ABA, said: “There are different ways that stronger authentication can be offered to a bank customer. It can be completed by sending a unique passcode via SMS to a customer’s mobile phone to authorise online payments. Customers have already logged on to Internet banking using a password and then need to enter the SMS passcode before they can finalise the online payment. Or the unique code can be generated by a device such as a security token.”

“Technology will no doubt deliver other solutions, but what is important is that these new methods of authentication, which provide greater security benefits for banks and their customers, do not disadvantage people with disabilities and older Australians.”

Adoption of the guiding principles by banks and other financial institutions in Australia will promote the confidence of users in online banking services and narrow the digital divide.

The guiding principles were developed with the assistance of the Human Rights and Equal Opportunity Commission (HREOC), Blind Citizens Australia, Physical Disability Council, Abacus Australian Mutuals and ABA member banks.
 
In addition, the Council of the Ageing (COTA) and other organisations representing people with disabilities or older Australians provided valuable feedback on the consultative draft guiding principles.

The guiding principles build on the voluntary Industry Standards on Accessibility of Electronic Banking launched in 2002, which were designed to improve the accessibility of electronic banking.

For a copy of the guiding principles, please visit the ABA website: www.bankers.asn.au or call 1800 009 180 and the ABA will send you a copy.


For further information:

Heather Wellard
Director, Public Relations
Phone: 02 8298 0411
Mobile: 0409 830 439