The Australian Securities and Investments Commission (ASIC) has denied Australian banks the changes requested to the ePayments code due to further question on biometric technology.
The ePayments code regulates consumer credit card transactions, electronic payments, online payments, BPAY, and Internet and mobile banking in Australia. Most of the Australian financial institutions and payment processors get in line with the code but the ASIC rejected the industry’s recommendations for including biometrics to the code.
The main reason is that the banking industry still needs to establish a strict set of rules to address consumer protection when using mobile device for payments. Other industry concerns tackle the necessary rules for biometrics as the Code may be forced to prohibit users from allowing third-party biometric access to their personal electronic devices if the device enables digital payment methods or has access to mobile banking.
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