Barclays banks on two-factor authentication

Barclays is to use two-factor authentication for the first time in an effort to prevent fraudsters plundering bank accounts. The bank's PINsentry devices will be sent free to half a million customers later this year for use with their online accounts. Other customers will be able to get the devices if they are using online banking to make transfers to third-party accounts. Barnaby Davis, director for electronic banking at Barclays, said: "Barclays is constantly working to help protect customers and their money and that is why we have invested in this system.

"PINsentry is the next generation of fraud prevention technology and Barclays is proud to be the first organisation in the UK to roll it out to its customers. "The popularity of Barclays' online banking service comes down to convenience and security, and the introduction of PINsentry will enhance both these features." Barclays has done more than most to combat the phishing industry. The bank gave free antivirus software to its customers last year, and introduced an SMS alert service covering activity on online banks accounts. While broadly welcomed, many in the industry have been concerned at the slow introduction of two-factor authentication.

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News source: vnunet

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well beat them to the punch my bank has... For the last three years used two part login security part one is an 9 digit pin plus an upto 12 alpha/numeric password which then takes you to a page which asks for 3 letters and or numbers taken from a card which has an 7x7 alphanumeric grid of random numbers and letters know by the bank they call it NetGuard :redface: bit embarasing for a Bank of Barclays stature to only be doing this now oh and i forgot to mention its all done over 128bit SSL

maybe but NO, technically that is not two factor authentication, 2 fatcor authentication as it is known in the industry is somethign you have (a physical bit of hardware that is checked) and somethign you know (password) all your bank is doing is providing multiple llevels of password authentication from what i can read unless that card is somethign only you have ad only you have, i.e every custoemr has a different card, but i may be wrong.

all banks should be required by law to have two factor authentication, one factor authentication (encrypted passwords) are way to easily cracked or found from password stealers.