The Hong Kong Monetary Authority requires credit cards to be linked to mobile banking apps by default instead of SMS verification codes for online transactions.

In order to improve the security of online transactions, the Hong Kong Monetary Authority issued a notice to banks last week, requiring credit card issuing banks to cooperate with payment card scheme operators and requiring banks to link mobile banking applications with user-default device verification for online credit card transactions.

This new measure aims to strengthen protection against fraud and improve the security and reliability of online transactions by using mobile banking applications as verification tools.

Monetary Authority requirements

The Hong Kong Monetary Authority requires banks to cooperate with payment card scheme operators to ensure that users use mobile banking applications for device verification when making online credit card transactions.

Purpose of new measures

The purpose of this new measure is to improve the security of online transactions, prevent fraud, and protect users’ financial security.

Importance of Mobile Banking Apps

As a verification tool, mobile banking applications can ensure that users' identities are effectively verified when making online credit card transactions, thereby improving transaction security.