UK Home Office Announces Mobile Contactless Payments Guidelines
Action to prevent criminals abusing new mobile phone technology, which allows them to be used like debit, credit and pre-pay cards, has been agreed by the UK government, mobile phone and card payments industries, Home Office Minister Alan Campbell announced today.
The new technology, which will allow customers to buy things by swiping them over sensors in a similar way to Oyster cards, is being trialled by phone companies and banks in the UK. In an effort to design out opportunities for crime and reduce harm to consumers the government has been working with industry to ensure the technology builds in tough security measures at the earliest stages.
Working with the government, the mobile phone and banking industry have agreed to a set of guidelines. They have committed to ensuring consumers are not put at an increased risk due to the development of this technology, especially young people who are often the earliest adopters of technology and suffer from disproportionate risk. The guidelines include:
- ensuring contactless payment functions, SIM cards and phones will be disabled as soon as possible once a contactless payment mobile phone is reported lost or stolen
- that any transactions above the maximum contactless payment value (currently £10) will require verification, such as a pin code, similar to the current guidelines that underpin existing contactless card payment schemes. Additional security such as a pin codes will also be required if more than a certain number of low-value transactions are carried out consecutively
- any customer who signs up for a contactless payment phone will be encouraged to add their details on the National Mobile Phone Register (new window) to make it easier for stolen phones to be identified and recovered.
Alan Campbell said, 'These guidelines are an important step forward in protecting the public from criminals. I am pleased that the mobile and banking industries have worked with us to ensure that the public are protected at the earliest opportunity.
'By working closely with industry we have already put in place measures to make it harder for thieves to profit from mobile phone theft – around 90% of handsets reported stolen are now blocked within 24 hours of reporting, reducing their value and the incentive for criminals.
'This technology is an exciting new development but we must continue to work together to reduce any new opportunities for criminals to profit from mobile theft. As new technologies like this develop we aim to consider where safeguards can be incorporated at the drawing board stage.'
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