Biometrics in Credit Unions' Future

ARLINGTON, Va.-Biometric technology is catching the eyes of credit union leaders, according to NAFCU’s August Flash Report survey. The Flash revealed that while just 11% of the sample credit unions are using some form of biometrics, 3% plan to implement biometric systems with in the next year and 21% plan to do so within two years. Another 19% said they are looking to implement biometrics in the next three to five years, while 3% regularly review it for its applicability. Most (72%) that do use biometrics have fingerprint scanning at their credit unions. Fourteen percent use signature recognition, while another 14% employ hand scanning. Nearly half (43%) use it just to identify staff, but many use it to identify only their members (29%). About 28% apply the technology to both members and employees. Though none of the respondent credit unions said they had biometric technology for their ATMs, 3% have implemented it at their kiosks. Of the 54% of respondents that said they had no plans to offer biometrics, 22% said they had considered it and decided against it. The largest factor (39%) was cost, but another 35% said it was not a proven security method. Others said they did not feel a need for it (22%) or in-house capabilities inhibited implementation (4%). The complete Flash Report for August will be available to members tomorrow on NAFCU’s Web site at www.nafcu.org. [email protected]