According to Arcot, the authentication solution allows cardholders to use their mobile phones to secure e-banking, e-commerce, telephone orders or a host of other transactions where the customer is not face-to-face with the bank or merchant. The application can be used in combination with the Chip Authentication Program (CAP) solution from MasterCard.
The company said that the new offering enables users to generate single-use password through their mobile phones. The Chip Authentication Program (CAP) solution from MasterCard allows cardholders to authenticate themselves using their existing EMV banking cards and a personal card reader or the ArcotOTP mobile application issued by their banks.
Unlike a standard authentication token or paper-based system, CAP allows part of the transaction data to be included in generation of the password, resulting in a unique signature for each cardholder transaction, the company said.
Ram Varadarajan, president and CEO of Arcot Systems, said: “Cardholders can now use their mobile phones with MasterCard CAP to protect themselves when shopping or banking online. Financial institutions can deploy this protection to more customers without having to issue cumbersome card readers that can be lost or broken resulting in additional cost.”
Art Kranzley, chief emerging technology officer for advanced technology at MasterCard, said: “Innovative partners such as Arcot play a key role in achieving MasterCard’s vision of secure, convenient commerce and banking available on PCs and mobile phones.
“The ArcotOTP mobile authentication application allows us to expand the choices available to our customers for protecting online financial transactions from internet theft and fraud. This application also increases the value that EMV brings to merchants, financial institutions and consumers worldwide.”
