KT Bank AG Implements Two-Factor Authentication Under PSD2 Directive
KT Bank AG is enhancing security for its payment services and online banking channels with the implementation of a new EU directive. The changes take effect September 14, 2019.
KT Bank AG will implement security enhancements for its online banking, mobile banking, and payment services starting September 14, 2019, in compliance with the new EU Payment Services Directive (PSD2).
The directive mandates strong customer authentication. KT Bank AG will introduce two-factor authentication, meaning customers will need to provide a second verification factor, such as an SMS code sent to their phone, after logging in with their user credentials.
Card payments will also be updated to include biometric authentication. The bank stated it will inform customers in advance of these changes. The PSD2 directive aims to foster competition and technical innovation in the European payments market while also increasing consumer protection and the security of payment services.
These updates are part of a broader industry trend towards strengthening digital transaction security and combating fraud.