Biometric verification will be mandatory according to the State Bank of Vietnam (SBV)'s regulations for first-time mobile banking users or large-value transactions. Customers have been told to update their facial images and chip-based ID cards by July 1 to avoid disruptions in high-value online transactions. However, many users have reported difficulties in updating their data.

Nguyễn Hòa from Cầu Giấy, Hà Nội, said that due to unfamiliarity with technology, in spite of following the bank app's instructions several times, the system still reported errors and requested several reattempts.

Xuân Nam from Hoàng Mai, Hà Nội, highlighted another issue. The banking app requires users to place their chip-based ID cards close to the NFC (Near Field Communication) reader on their smartphones, but not all smartphones have NFC readers, or the reader’s location varies by device, complicating the verification process.

In another instance, Phan Minh from Hoàn Kiếm, Hà Nội, expressed concerns about the potential risks of data breaches. Updating information on the banking app involves capturing facial images and scanning detailed personal data, including fingerprints. “With the increasing sophistication of scams, I worry about privacy and the possibility of data leaks, which could facilitate fraud,” Minh said.

In response to these difficulties, banks have stated that customers can update their data online via the banking app or visit bank branches with their chip-based ID cards for in-person verification using NFC readers.

Foreign residents in Việt Nam who do not have chip-based ID cards can use their passports and visit bank branches for biometric data updates and get help from staff.

Tiên Phong Bank (TPBank) was among the first to implement biometric data registration, including facial recognition and fingerprint data, synchronised with chip-based ID card information. Since March 2024, all TPBank employees have used biometric data for transaction verification and in May the bank extended this update to its customers.

Phạm Anh Tuấn, Director of the Payment Department at the SBV, reported that 60 financial institutions have implemented customer verification using chip-based ID cards at branches, 49 institutions via mobile apps and 22 institutions with the VNeID electronic identification application.

To verify biometric data for the first time, users need to log into the banking app, select the 'Update Information' feature (name may vary by app), scan their face, capture both sides of their ID card and use the phone’s NFC reader to scan the chip-based ID card. Finally, confirm the information and complete OTP verification.

Experts note that traditional verification methods like passwords and OTPs are increasingly vulnerable to attacks, while biometric verification, unique to each individual, offers stronger protection.

However, a security expert cautioned that protecting biometric data is crucial and without proper security measures, this information could become a target for cybercriminals. — VNS