SmartMetric -- Dispelling Misconceptions Regarding Biometrics - Seite 2

Dealing with the question of the affordability of this technology a misconception is that it would be too expensive for banks. If you just compare the cost of a standard credit card or even chip card then yes it is more expensive. But the economics of credit cards for Banks goes way beyond the cost of the piece of plastic. The cost of acquiring new customers, the cost of replacing customers cards when they are hacked, the cost of losing customers who following a credit card security breach stop using the Banks credit card and start using a competitors. And then you have the cost of fraud itself and it's impact on the Banks bottom line. When one analyses the cost benefit for a credit card issuer the benefits clearly outweigh the initial cost.

Having said all that, consumers were asked in a recent consumer survey of credit card holders in the USA if they would be prepared to "pay" for a biometric safer credit card. Nearly 2/3rds (67%) said they would. The same survey said that 80% of credit card holders are concerned about credit card fraud. So in reality if the Bank chooses to offer the card as a new paid for card they could issue these new biometric cards without cost to the Bank and still reap the economic benefits flowing from substantial fraud mitigation.

It has been said that mobile phones will replace credit cards so why bother with this technology. Reality is different then the perception of some. A well known mobile phone manufacturer who launched "mobile payments" on its phone has after a great deal of hype and promotion been able to only convince 3% of its phone users to use mobile payments. And none are using their phone exclusively for all card payment situations. Then you have the fact that there are more than 4.8 Billion credit cards with chips on them already issued by Banks around the world. Cards have not been replaced by mobile phones. Reality shows that cards for payments are not going away any time soon.

Yet another misconception is that it would be expensive and logistically difficult for Banks to put new equipment for these biometric credit cards in all the retailers around the world. Surprise, the SmartMetric biometric fingerprint card has the fingerprint scanner built inside the card and it does not need additional equipment for the card to work. The SmartMetric card works with existing chip card readers and ATM's and does not need additional hardware or software to be added by the Banks or retailers.