Under the guidance of the Federal Financial Institutions Examination Council (FFIEC), the banking industry has implemented sophisticated security systems such as “multi-layered authentication” to assist in the prevention of electronic fraud. This authentication process is the first line of defense against cyber criminals. Multi-layered security can be easily recognized. For instance, during an online transaction you may be asked to identify yourself in multiple steps such as inputting a username and password, followed by answering a security question.
The FFIEC is a formal inter-agency body empowered to prescribe uniform principles and standards to banks for online security. The FFIEC has been writing standards and making recommendations since 2005. Guidance currently being released includes several new areas of focus such as:
- Improved risk assessment and research to monitor current and emerging threats,
- Implementation of enhanced multi-layered authentication for online transactions,
- Increased customer education in all matter related to online fraud and the techniques deployed to protect their accounts.
For more information about the FFIEC guidelines and multi-layered authentication Click Here