RBS and Natwest up online security with new card reader

3 October 2007

Many online banking customers are to benefit from a new security device issued by two high street banks designed to make online payments safer.

The Royal Bank of Scotland (RBS) and NatWest have both issued hundreds of thousands of small calculator-like debit card readers to people who use online payments such as Direct Debits.

A customer enters their debit card into the reader as well as their PIN code, and an eight-digit code found on the bank's webpage.

The gadget then generates a code which must be punched in to the bank's website when the customer logs in.

It is hoped that the improved security measures will bring added peace of mind to online banking customers concerned about becoming targeted by cyber fraudsters.

"We see it as the most advanced proposition for security at the moment," an RBS spokeswoman told the BBC.

The scheme is similar to Barclays' PINsentry scheme launched in April.

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