Banks continue biometric data collection

After July 1, transactions exceeding VND10 million per online transfer or VND20 million per day, as well as bill payments exceeding VND100 million, require facial verification, with many commercial banks reporting smooth implementation.

A BVBank staff supports customers with biometric authentication.

Currently, these banks continue to update biometric data by collecting information from chip-embedded citizen identity cards and collecting facial biometrics from customers to clean up personal data.

Mr. Tu Tien Phat, CEO of ACB, announced that ACB has successfully deployed facial recognition for 500,000 customers through the ACB ONE digital banking application, enhancing account security and protecting high-value online transactions.

"We anticipated potential system glitches when initially introducing facial recognition registration for customers. However, in practice, customers are verified in less than 30 seconds. This solution comprehensively addresses security risks and ensures account safety," Phat stated.

While facial verification is now mandatory for transfers exceeding VND10 million per transaction, ACB has encouraged customers to register for facial recognition to prevent disruptions in high-value transactions.

Phat also explained that with facial verification, only the legitimate account holder can initiate transfers. In cases where account information is compromised, criminals might gain control of phones to conduct unauthorized transfers. However, requiring facial verification that matches the ID card's face makes it challenging for criminals to impersonate and access funds.

Mr. Nguyen Hung, CEO of TPBank, reported that more than 500,000 customers have updated their chip-embedded citizen identity cards and undergone facial biometric collection. TPBank continues its comprehensive campaign to update chip-embedded citizen identity card information and collect facial biometrics, aiming to cleanse its customers' personal data as soon as possible.

Mr. Phan Viet Hai, Deputy CEO of BVBank, also noted that over 30 percent of BVBank's customers have already completed facial verification for smooth transactions under the new regulations. Transactions requiring facial verification for money transfers have been swiftly and error-free completed.

"During the setup process, customers can simply make a video call to our 24/7 support team to update their information and start biometric setup without visiting the bank. For those unable to scan NFC, they can visit our branches for assistance," Mr. Hai shared.

He also emphasized that BVBank provides support not just within branches for biometric collection but also runs a campaign to directly assist customers in their communities, with bank staff available upon request.

Mr. Nguyen Van Huong, Deputy CEO overseeing retail banking at OCB, noted that most customers have found the biometric verification process on the new OMNI software generation quite convenient. Thus, the main customers seeking support from bank staff for facial biometric authentication are predominantly older individuals. Specifically, transgender and cosmetic surgery patients unable to authenticate their biometrics on the OCB OMNI application must visit OCB branches for direct support in facial biometric registration, following the State Bank of Vietnam's regulations.

SBV reported that transactions exceeding VND10 million accounted for 8.8 percent of the total daily transaction value, slightly higher than the June average of 8 percent. Since the implementation of Decision No.2345/2023 on July 1, issues or disruptions with transactions exceeding VND10 million have been relatively minor compared to the overall daily transaction volume of the system.

According to the SBV, approximately 70 percent of individual payment transactions in Vietnam are valued at less than VND1 million. Transactions exceeding VND10 million constitute only about 11 percent of the total transactions, with those exceeding VND20 million per day accounting for less than 1 percent. Hence, facial biometric verification has a negligible impact on users' transactions and payments.

However, many people have complained about being unable to transfer amounts below VND10 million without completing facial biometric verification.

On the morning of July 2, P. Thai, residing in District 3, recounted her experience trying to transfer VND3 million using the BIDV application, only to find she could not proceed because the bank required facial biometric verification. Despite attempting to verify through the application, which froze, she had to visit the BIDV branch on Nguyen Thi Minh Khai Street in District 3 for assistance. Unfortunately, due to system overload, bank staff could not assist her in updating her biometric data.

"It's frustrating that even for transactions under VND10 million, facial verification is mandatory, causing inconvenience for customers," Thai lamented.

Previously, many people transferring amounts ranging from tens of thousands to several hundred thousand Vietnamese dong from accounts at ACB and VPB were also required to undergo facial biometric verification. However, these banks have since addressed this issue.

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