What is biometrics?
Biometrics refers to authentication methods based on unique personal traits, whether physical or behavioral, such as fingerprints, facial features, iris, or voice.
In the context of payments, biometrics allows replacing traditional systems like PINs, passwords, or signatures, adding an additional layer of security and authenticity that is practically impossible to forge.
Types of biometric authentication in payments
- Fingerprint recognition: The most common form of biometric authentication, especially used in smartphones, tablets, and other electronic devices. A sensor captures fingerprint information, converts it into a biometric hash that is securely stored, and can later be used to authorize a payment.
- Facial recognition: Its use has grown in recent years, largely thanks to the integration with wallets and mobile payment services like Apple Pay or Google Pay. It works similarly to fingerprint recognition: the device camera analyzes unique facial features, stores the data, and can be used later.
- Voice recognition: Less common due to technical complexities. Vocal features such as tone, speed, timbre, and pronunciation patterns are analyzed to create a user voice profile. Mainly used for virtual assistants and digital banks to authorize payments or phone transactions.
- Iris recognition: Rarely used due to the complexity of data capture. It analyzes the unique iris pattern with high-resolution infrared cameras. Like other options, biometric data is encrypted to prevent insecure storage or transmission of the real iris image.
Evolution of biometric authentication
Before payments, biometrics was used in police, immigration, and security fields. These systems verified identity through physical traits or behavioral patterns. Over time, sensors became smaller, faster, and more accurate, allowing integration into consumer devices.
With the rise of smartphones, tech companies promoted mass adoption of biometric payments. Apple pioneered Touch ID in 2013, followed by Apple Pay in 2014, allowing payments via fingerprint. Samsung introduced Samsung Pay with fingerprint and later iris and facial recognition. Google developed Android Pay, now Google Pay, integrating biometric authentication for mobile payments. These initiatives marked the start of widespread biometric payments on personal devices.
As ecommerce and digital banking grew, the need for strong authentication increased. The payments industry saw biometrics as a method capable of complying with security standards such as PSD2 / SCA, reducing fraud risks and improving user experience.
Use cases for biometric payments
Biometric payments are applied in a wide variety of fields:
Retail
Allows customers to quickly authorize payments using fingerprint or facial recognition, both in physical stores and ecommerce.
Banks and financial services
Used to access accounts and validate transactions. For example, banking apps frequently allow login via fingerprint or facial recognition. It is also widely used for instant payment systems like Bizum.
Digital wallets
Users with wallets can authorize payments, access digital tickets, or boarding passes via biometric data, simplifying purchase and access processes.
Benefits of biometric payments
Adopting biometric payments brings a range of benefits for both merchants and users:
Benefits for users:
- Enhanced security: Biometric traits (fingerprint, face, iris, voice) are unique, making fraud much harder.
- Convenience and speed: Payments can be authorized without remembering PINs, passwords, or carrying physical cards.
- Contactless authentication: Facial or iris recognition minimizes physical contact, useful for mobile payments or POS terminals.
Benefits for merchants:
- Reduced fraud and chargebacks: Reliable customer identity verification decreases unauthorized transactions and chargeback rates.
- Optimized payment flow: Faster processing improves customer experience at the point of sale.
- Compliance with security standards: Properly integrated biometrics supports compliance with PCI DSS and EMV 3DS standards.
