European Central Bank Concerned Over Mobile Payments Security
The European Central Bank (ECB) has initiated a public consultation on mobile payment security for all participating stakeholders to address concerns, emphasizing in its provisional advisory that “the establishment of harmonized European high-level recommendations for the security of mobile payments is expected to contribute to mitigating payment fraud and enhancing consumer trust in mobile payments.” Among the mobile payment-related risk factors identified by the ECB is the current generation of mobile devices and operating systems’ failure to account for the necessary precautions to ensure payment security. Another factor is reduced security of data transmission via mobile devices compared to other means of payment. ECB also cites a dearth of consumer-focused awareness-raising and information efforts. Other key market players have stressed that mobile payment security is a matter of trust in banking institutions. A study by BNP Paribas found that 77 percent of French citizens trusted their bank for mobile payments, versus 12 percent who said they trusted large digital firms.
From “European Central Bank Concerned Over Mobile Payments Security”
EurActiv (Belgium) (11/21/13)