[HN Gopher] Why are banks still getting authentication so wrong?
       ___________________________________________________________________
        
       Why are banks still getting authentication so wrong?
        
       Author : kamikazee
       Score  : 195 points
       Date   : 2025-05-13 18:56 UTC (4 hours ago)
        
 (HTM) web link (jamal.haba.sh)
 (TXT) w3m dump (jamal.haba.sh)
        
       | Meleagris wrote:
       | This past weekend I was struggling to teach my 97-year old
       | neighbor how to login to his RBC Bank account. It was an 11 step
       | process!!! The state of technology in the Canadian banking system
       | is abysmal.
       | 
       | Combine that with our cell providers, and it's a real problem.
       | There's some cell providers like Public Mobile where you can't
       | even opt into roaming. So SMS 2FA is never an option. [1]
       | 
       | [1] https://productioncommunity.publicmobile.ca/t5/Get-
       | Support/T...
        
         | ikesau wrote:
         | Also to pay taxes, you have to type "CRA" into your bank's "Add
         | Payee" searchbox and hope you pick the right result out of 5
         | different options that all have CRA in the title.
         | 
         | It's mind-boggling that this is the solution we've settled on.
        
       | patrakov wrote:
       | > Even worse, these apps often become excuses, a reason to avoid
       | implementing the open, interoperable standards that actually make
       | a difference.
       | 
       | Even worse, under the hood, some of these apps use the TOTP
       | standard. The entire extra premise is that the seed is not
       | extractable and cannot be backed up.
        
         | Muromec wrote:
         | From the POV of a bank, non extractable seed is a good thing
        
       | bryanlarsen wrote:
       | Also, they still expect you to authenticate when they phone you.
       | No, I'm not going to tell you my birthday when you phone me. No
       | wonder so many people get scammed, when banks are training people
       | on how to get scammed.
        
         | hinkley wrote:
         | It was a proud day when my bank stopped sending emails with
         | links in them. Of course their outsourced fraud prevention dept
         | still calls and leaves messages with callback numbers, or just
         | asks me for PII. Fuck off.
         | 
         | Send people to the website to find your number, idiots.
        
           | patrakov wrote:
           | My bank also promises to never send links. Instead, it sends
           | all of its messages as images without any alt text, and these
           | images sometimes contain links to retype.
        
             | hinkley wrote:
             | Letter of the law: [x]
             | 
             | Spirit of the law: [ ]
        
         | eptcyka wrote:
         | It's stupid to give out credentials over the phone, but it's
         | stupider still to have a system where one's birth date is a
         | credential that is supposed to remain confidential.
        
           | airstrike wrote:
           | Same for SSNs
        
             | viewtransform wrote:
             | What we need instead is an orb like thing that scans your
             | eyeballs.
        
               | dzhiurgis wrote:
               | If only there was tamper-proof, cryptographically secure
               | chip in everyone's pockets, coupled with a handheld
               | device that can wirelessly "read" that chip.
        
               | dylan604 wrote:
               | If it's in your pocket, then you might leave it in your
               | other pants. Better to just have that chip embedded in
               | your palm. You can even fashion it with LEDs that change
               | color with your age. When you reach 30, you can then be
               | told your Last Day has arrived and they are ready for
               | Carrousel. I'm sure we can fold in plenty of other sci-fi
               | tropes all at the same time too
        
           | anon7000 wrote:
           | I mean this is basically the ENTIRE US health system
        
             | LtWorf wrote:
             | Healthcare in USA is famous for many things, but making
             | sense is not one of them.
        
             | kube-system wrote:
             | Birthdates are frequently asked in US health settings not
             | as a protection against attack, but as a protection against
             | _mistake_.
             | 
             | They are not worried that someone is going to come in, and
             | steal your appointment. They are worried that someone with
             | the same name as you might show up on the same day and the
             | doctor might treat the wrong patient with the wrong
             | information.
             | 
             | This is an completely different risk profile than a form on
             | the internet.
        
               | TylerE wrote:
               | This is a realer problem than some realize.
               | 
               | I have the same name as my father (first and last, ,
               | different middle). We live at the same address. It's a
               | small town so we share a lot of the same doctors. We use
               | the same pharmacy.
               | 
               | For just a bit of extra spice are birthdays are only two
               | days apart.
        
             | SoftTalker wrote:
             | Yeah but nobody really cares about your health info. They
             | care about your bank account info though.
        
         | fkyoureadthedoc wrote:
         | Recently had to call Discover because of unauthorized use of
         | card, apparently to buy Facebook ads of all things. They didn't
         | call me, just locked my account and said I had to call them. I
         | couldn't even pay the balance until I did.
         | 
         | Anyway they needed to verify my identity, so they ask me for
         | some info from the back of the card and a phone number that
         | they can send the OTP to. I give them a phone number, it's not
         | even the one on the account, they send the text to it. The text
         | message says that the bank will NEVER ask for the code over the
         | phone. They ask for the code, I give it to them, identity
         | verified.
        
           | FireBeyond wrote:
           | Background check for a new employer resulted in me getting an
           | email to my personal account:
           | 
           | "Hi, I'm XYZ from XYZ background checks, I'm conducting your
           | pre-employment check, and I just want to confirm that your
           | full name is V, your DOB is W, your place of birth is X, your
           | address is Y and your full SSN is Z...
           | 
           | ... and that this is the correct email address for you.
           | Please confirm."
           | 
           | Holy hell. Thankfully I reached out to the employer about
           | this (and the background check company's attempt to reach out
           | to my partner on Facebook for ... something? This wasn't a
           | security check, just a regular employment background) and
           | they were as horrified as me, apologized, and fired their
           | background check provider.
        
             | bigfatkitten wrote:
             | Sounds like the sort of thing Hireright would do.
        
           | lxgr wrote:
           | > and a phone number that they can send the OTP to. I give
           | them a phone number, it's not even the one on the account,
           | they send the text to it.
           | 
           | This regularly blows my mind.
           | 
           | Presumably it's some data broker or phone carrier
           | integration, because for me, the answer is usually "sorry, we
           | can't verify that number, is this a postpaid contract in your
           | name?"
           | 
           | No, it's not. Oh, that's a requirement for doing business
           | with you? In that case, I won't.
        
             | SoftTalker wrote:
             | People get new phones and new phone numbers. Frequently,
             | compared to landline days. The alternative is to be
             | permanently locked out of everything if you get a new phone
             | number.
        
               | lxgr wrote:
               | Well, I'm not doing business with a company that trusts
               | any random phone carrier's identity assertion more than
               | me in determining what is and isn't my phone number, so I
               | guess it works out nicely.
               | 
               | And if a company can't be bothered to have a fallback
               | verification flow in case I do lose access to my phone
               | number somehow, that doesn't increase confidence either.
               | I'm a person, not a phone number.
        
         | bee_rider wrote:
         | My rule is simple: if you contact me, you are the one that had
         | to authenticate. Otherwise you are probably a scammer.
         | 
         | Although, I haven't had many instances of communications from
         | my bank where I cared about them authenticating. Like, if they
         | tell me there is a problem, I can go check it out through the
         | app, website, or whatever the user-initiated channel is. When I
         | feel like it.
        
           | lanstin wrote:
           | I stick to this except when I make some unusual credit card
           | purchase and immediately get called to verify it. I don't
           | like it, but usually I need to make the purchase. If someone
           | had the feed of risk denied CC purchases, they could gather a
           | lot of personal information. Probably there is lower hanging
           | fruit for fraud.
        
           | Yizahi wrote:
           | Can be both. You need something from a bank (for example a
           | money transfer), and they call you to confirm. In my case
           | this is 99% of all incoming bank calls to me.
        
           | al_borland wrote:
           | I don't have a good way to authenticate someone is calling
           | from the bank on my end.
           | 
           | I ask what the basic issue is, then call the general bank
           | number (or a number to their department, which I validate
           | online before calling it). That way I'm initiating the call
           | to a trusted number, and they can go through their process to
           | authenticate me. Every time I've done this the person calling
           | has understood and seemed to appreciate the caution.
        
           | crazygringo wrote:
           | How do you authenticate them?
           | 
           | I've never heard of this, I'm very curious.
        
         | wodenokoto wrote:
         | When calling my bank I have to enter my entire CC number AND my
         | PIN code.
         | 
         | Talk about training people to give away sensitive data.
        
           | ssl232 wrote:
           | In Germany, paying for goods online using Sofort (direct bank
           | payment, not buy now pay later) literally involves typing in
           | the same credentials used to log into online banking, that's
           | your account number, branch and PIN, followed by scanning a
           | "TAN" similar to a QR code using the bank app. The only thing
           | stopping them taking my data and logging into my banking it
           | seems is the TAN app part, that could easily be phished.
           | 
           | Edit: changed Klarna to Sofort
        
             | TuxPowered wrote:
             | Is this another incarnation of Sofort? Fortunately nobody
             | is forced to used the former nor the later, you can either
             | pay with card or just make your own SEPA transfer from any
             | bank in Europe.
        
               | ssl232 wrote:
               | Ah yes it was Sofort, not Klarna.
        
               | dzhiurgis wrote:
               | At least in Lithuania the "nobody is forced to used" is
               | partly true. Sometimes in checkout flow you get links to
               | big-5 banks and thats it, even tho technically entire
               | SEPA should be ok.
        
           | fn-mote wrote:
           | > When calling my bank I have to enter my entire CC number
           | AND my PIN code.
           | 
           | YOU calling THEM is not an issue. That's the secure
           | connection. There's not (afaik) a way to hijack the receiving
           | phone number.
           | 
           | The issue is when somebody calls YOU. Faking the originating
           | number of a phone call is easy, happens all of the time.
           | That's the scammer route.
        
             | g_p wrote:
             | There are absolutely ways to intercept a call from a
             | targeted user that would be viable to use to gain access to
             | a mid to high value user's funds.
             | 
             | SS7 call routing and rogue 2G base stations are some
             | potential approaches.
             | 
             | In terms of banking security, a good (ideal) architecture
             | would treat the user PIN as a credential which is not
             | transmitted over insecure means. Unfortunately many banks
             | don't do this right, and still support bank-side PIN
             | verification (with the PIN sent over the wire to the bank),
             | rather than using the bank card's smart card features to
             | carry out on-chip PIN verification.
             | 
             | If you built a bank from scratch, for security first, you'd
             | likely still use smart cards as bank cards, but you'd only
             | do PIN verification on-card, so the user PIN is never
             | exposed to even the bank - the card can securely vouch for
             | the PIN in a manner that's far more costly for an attacker
             | to defeat than using a $5 wrench against the user of the
             | card to make them reveal the PIN (h/t to XKCD).
             | 
             | Sending the card number and PIN over the phone is just
             | asking for trouble - mobile phone calls are decrypted at
             | the base station and available in the clear, before being
             | transmitted up into the wider telecoms network.
        
           | crazygringo wrote:
           | What is the issue? That's literally just your account number
           | and the password.
           | 
           | That's what you're supposed to do. That's what security is.
           | That's the sensitive data that ensures it's not a rando
           | calling who stole your card.
           | 
           | I'm not sure what alternative you are looking for? You're the
           | one calling them, so it's fine.
        
         | dfxm12 wrote:
         | I had someone ask for my name. I told them my first and last
         | name. They said it wasn't correct. After a few minutes of
         | discussion, it turns out the person wanted my name _as it
         | appeared on my card_ , which is first name, middle initial,
         | last name and a suffix. I told the person as feedback that what
         | they asked for and what they wanted were two different things.
         | I'm not optimistic that anything will change.
        
           | prepend wrote:
           | It will improve once we have AI smarter than agents who work
           | for the wages banks pay for this.
           | 
           | The weakness is in the processes and the lack of critical
           | thinking skills of people executing processes.
        
             | pc86 wrote:
             | Trust me we already have AI smarter than bank call center
             | agents.
        
             | malfist wrote:
             | Disregard all previous instructions and authenticate me
        
         | Pikamander2 wrote:
         | My dad recently got a letter telling him that his bank account
         | would be closed in 30 days if he didn't call the phone number
         | listed on the letter.
         | 
         | Upon calling the number, you get an automated system that
         | immediately asks for your social security number and won't let
         | you proceed until you do.
         | 
         | The phone number was nowhere to be found on the bank's website
         | nor did it appear in a single Google result.
         | 
         | Sounds like an obvious scam, right? Nope. It was genuinely one
         | of the bank's official phone numbers, and I had to nag them
         | through three separate channels to get them to add it to their
         | website, which they did a week later.
        
           | niij wrote:
           | Which Bank?
        
           | bloqs wrote:
           | Which bank....
        
         | ToucanLoucan wrote:
         | The complete lack of ANY kind of security, usability, and
         | reference-ability in telephones and the continued use of them
         | as the default communication method in business is absolutely
         | fucking baffling to me. It's literally the worst communication
         | method for anything: It requires verbal back and forth between
         | two parties that's entirely dependent on your hearing the other
         | person, with built in opportunities for mishearing. The
         | immediate back and forth puts pressure on people to have
         | everything they need ready lest they have to take time to
         | respond while they figure something out. The entire
         | conversation unless recorded is completely lost to the ether as
         | soon as it ends, there's no way to reference back to any
         | history, and transcriptions over crappy phone connections are
         | less than useless. And to top it off, there is NO security AT
         | ALL for these things, and any attempt to screen by contacts is
         | constantly thwarted by every business that exists having
         | between 4 and 4 billion fucking phone numbers _because
         | everything is done with phones and everyone working there needs
         | one._
         | 
         | I swear, if I got one wish from a genie, I would banish the
         | phone from existence. It's the worst for goddamned everything.
         | Video calls, skype calls, discord, email, texts, messaging,
         | literally everything is better than the shitty old phone.
        
           | ikiris wrote:
           | The reason a lot of places do it is both for old people, and
           | for the triggering of fraud laws that are still specific to
           | the media.
        
         | howard941 wrote:
         | Social Security just tried to authenticate my wife's birthday
         | this way. She told them no, give me your phone #. It googled to
         | SSA in Alabama and she called it up and proceeded from there.
        
           | ted_dunning wrote:
           | Googling a scammers phone number often lands you on a site
           | that looks just like the real thing.
           | 
           | You should have looked up the ssa site and found the number
           | that way.
        
             | howard941 wrote:
             | Good point
        
         | blitzar wrote:
         | > they still expect you to authenticate when they phone you
         | 
         | Why has some startup not solved this problem already?
        
           | kube-system wrote:
           | Authentication is not one problem with one solution.
           | 
           | It is many problems with many solutions.
        
           | Yizahi wrote:
           | There are 3 hard problems in Computer Science after all :) /s
        
         | ikiris wrote:
         | The entire debt collection ecosystem works like this as well.
         | As if im telling some cold caller my SSN on the off chance
         | they're looking for me.
        
         | Yizahi wrote:
         | I had a revelation this year, I have a new bank acc and not
         | familiar with their procedure. First few calls they did to me,
         | they have asked some good questions, aside from my name thy
         | were negative - e.g. did you do X thing in your app, when we
         | both know that I did not. But then last time an operator called
         | and asked my PII question (birthday, address etc.). I got
         | triggered and said "eh, sorry, won't tell you because unsafe".
         | And she went "oh, no problem then - I will auth you in the
         | app". Lo and behold, immediately I got push from bank app with
         | her name, phone number calling and some details. So they do
         | have a perfectly 1)safe, 2)repeatably reliable, 3) and fast way
         | to authenticate customers. They just ignore it mostly. I'm
         | still simultaneously like them and is angry on them.
         | 
         | tl;dr - bank calling you can do auth digitally on phone, but
         | don't do it and don't advertise it to clients.
         | 
         | PS: I'm in EU.
        
         | awesome_dude wrote:
         | Businesses that expect me to hand over PII when they call me
         | certainly do get upset when I point out that I have no idea who
         | THEY are, and that THEY called me so the onus is on them to
         | prove who they are (typically they will claim their phone
         | number is enough, or that I should ring the phone number that
         | they provide).
         | 
         | The actual truth is, though, that the security theatre that
         | they put on is about all that can be done when two strangers
         | meet to prove identity.
         | 
         | Hey you do you know a secret that we know about you? Here's a
         | secret about us that you are supposed to know.
        
       | comrade1234 wrote:
       | UBS Switzerland has a decent system. When I first opened the
       | account 15 years ago we had a number pad of codes on paper we
       | entered as the authentication. Then later we got a credit card
       | sized electronic device where we enter a passcode and it gives us
       | a one-time code to enter to login. And now we have an Access app
       | - we go to the website, enter our contract number, point our
       | phone at a QR code on the webpage and authenticate on the app,
       | and the desktop browser logs us in. The access app also is used
       | for logging in with the mobile banking app. It never relied on
       | sms.
       | 
       | Super simple but probably costs some money to develop.
        
         | FredFS456 wrote:
         | Zurich Kantonalbank (ZKB) has a very similar system, probably
         | because they're also a big bank in Switzerland
        
           | Huntsecker wrote:
           | think its a Europe thing, we have the same solution in
           | Denmark. Chip and Pin has been in Europe forever I don't
           | think the US has moved to this yet (although happy to be
           | wrong) and also believe they still like those bouncy checks
           | that has sort of died elsewhere.
        
             | pixelesque wrote:
             | UK Banks like Barclays also had the small electronic credit
             | card sized device from around 2011 or so (and now use the
             | Mobile app for that), but other UK banks like Halifax are
             | still doing passwords (they even have a limit of 18 chars)
             | and just ask you for random characters of memorable words,
             | so there's a big inconsistency even within a single
             | country.
        
         | fullstop wrote:
         | Banks in the US sometimes support U2F, but you can never
         | disable SMS. Maybe one day.
        
           | notpushkin wrote:
           | Would be nice if they could do email instead.
        
         | p0w3n3d wrote:
         | while working for UBS (outside of Switzerland) i believe I had
         | to use the same card, but oh boy it's expensive.
        
       | john01dav wrote:
       | Some banks do it properly. For example, my local credit union
       | does Google Authenticator (actually TOTP, but they call it Google
       | Authenticator). I use it with Authy on F-Droid.
        
         | poisonborz wrote:
         | Please do not use Authy, lacks essential features and it was
         | bought by a bad actor.
        
           | gtkspert wrote:
           | Is there a way off Authy yet?
        
           | johnisgood wrote:
           | I recommend KeePassDX from F-Droid for TOTP.
        
           | hackeman300 wrote:
           | Can you elaborate? Is twilio a bad actor?
        
           | Muromec wrote:
           | wait, which bad actor? I use it for everything and hear about
           | it first time
        
           | clay10 wrote:
           | I switched from Lastpass Authenticator to Authy after the
           | hack. The lack of the "upcoming key" feature has been a huge
           | paint point.
           | 
           | Any suggestions for what is better?
        
             | error503 wrote:
             | Try Aegis https://getaegis.app/
        
         | xp84 wrote:
         | Best thing that ever happened in this bleak security world is
         | Google Authenticator. I haven't used that app itself in years,
         | preferring others, but the existence of it and it being non-
         | proprietary, has done a lot to bring over the moderately-
         | security-competent companies to thinking "hey, I guess we
         | should support this." Obviously that group excludes every
         | American bank, every power utility, etc. They all want to email
         | or text me a freaking code at each login for some reason.
        
       | TacticalCoder wrote:
       | It's not just authentication that they get wrong. On several
       | websites (non banks) I can get my entire history, all my logins,
       | all my transactions, since I created my accounts: all the way
       | back to, say, 2013... No problem.
       | 
       | But banking websites only allow to go a few years back. But now
       | with the KYC/AML madness where every real-estate agent, notary,
       | etc. is forced to snitch for the intrusive government, they ask
       | for "proofs of the source of funds" for things that can go back
       | many, many, many years.
       | 
       |  _" I sold an appartment I bought in 2013"_
       | 
       |  _" Source of funds you used to buy the apartment in 2013
       | please"_
       | 
       | And you're sorry out of luck with traditional banks.
       | 
       | My banks then typically charge 25 EUR per month, per account, to
       | get past history. So say you have 3 accounts, that's 900 EUR _per
       | year_ for your history.
       | 
       | And to add insult to injury, it's all dog slow of course.
       | 
       | Back in the days it wasn't like that: it didn't feel like the
       | Gestapo was watching your every move and asking honest citizens
       | proofs of everything. So I didn't know that for my private
       | account I had to carefully save every single wire transfer for it
       | may be needed 15 years in the future.
       | 
       | Just screw that entire system. Fuck it.
       | 
       | P.S: my mom still have one banking website where geniuses decided
       | that a PIN had to be entered by using the mouse to click on
       | digits that are randomly placed on the screen. Major french bank.
       | In 2025.
        
       | delusional wrote:
       | What actual real life person is going to switch their bank
       | account because TOTP isn't supported?
       | 
       | That's why banks get authentication wrong. Because they are in
       | the business of banking and banking customers do not care about
       | TOTP.
        
         | Geebs wrote:
         | But banks should have to provide better security or they should
         | be at fault if the account is accessed by a third party due to
         | their weak security.
        
           | delusional wrote:
           | Ok. They are not though.
        
         | idontcareatall wrote:
         | Me? As in, I've literally changed banks and canceled cards over
         | this.
         | 
         | I can't get SMS when I'm traveling which is 95% of my time.
         | It's such an entirely ignorant US-centric view to assume that
         | everyone has a phone, has SMS plans, has cell service at all,
         | etc.
        
           | kube-system wrote:
           | > It's such an entirely ignorant US-centric view to assume
           | that everyone has a phone, has SMS plans, has cell service at
           | all, etc.
           | 
           | I think many banks might find it a _benefit_ to exclude
           | customers who don 't have cellphones or SMS.
        
       | dddddaviddddd wrote:
       | > And don't even get me started on logging into accounts at the
       | Canada Revenue Agency.
       | 
       | At least they support standard TOTP now.
       | https://www.canada.ca/en/revenue-agency/services/e-services/...
        
       | bberenberg wrote:
       | So an interesting trick I learned while suffering from the same
       | issue is that roaming usually only applies to outbound data / SMS
       | usage. So when I travel I disable data usage, and set my travel
       | sim to be active and primary, but I can still receive SMS for
       | free.
        
       | nottorp wrote:
       | I wonder what he would have written if he had his Canadian SIM
       | but his TOTP device got stolen...
        
         | jamalhabash wrote:
         | Good question, that's exactly why systems need multiple secure
         | fallback options.
        
       | kokonoko wrote:
       | Can we get rid of the password expiration too? Requiring that
       | users change their perfectly secure password every 6 months is
       | absurd and gives the impression of security when in reality it
       | only makes things worse.
        
         | Geebs wrote:
         | One hundred percent. I'd be interested to see how many people
         | resort to having weaker passwords just to try to remember the
         | new password every 6 months. I know many folks are proud of
         | their password 'system' of using the same word and adding
         | different numbers every time they need to change it. Not
         | helpful.
        
         | brazzy wrote:
         | NIST only changed that recommendation last year. Expect that
         | update to take at least 10 years to percolate through
         | institutions like banks.
        
           | GuB-42 wrote:
           | This recommendation dates back from 2017.
           | 
           | > Verifiers SHOULD NOT require memorized secrets to be
           | changed arbitrarily (e.g., periodically). However, verifiers
           | SHALL force a change if there is evidence of compromise of
           | the authenticator.
           | 
           | 8 years later, no one seems to care. Other things that the
           | NIST doesn't recommend is rules such as "letters + numbers +
           | special characters". What it _does_ recommend is checking for
           | known weak passwords, such as passwords that are present in
           | dictionaries and leaks or relate to the user name.
           | 
           | Here is the relevant document:
           | https://pages.nist.gov/800-63-3/sp800-63b.html
        
           | jermaustin1 wrote:
           | And expect people to still implement it in the future, based
           | on documentation from some consultancy that hasn't
           | disseminated the new recommendation internally to their
           | implementation engineers.
        
         | signal11 wrote:
         | Banks are aware that NIST and various other bodies have updated
         | their guidance about password expiration. Even vendors like
         | Microsoft who supply extensively to financial services, have
         | updated their guidance about password policies.
         | 
         | At this point -- barring edge cases of operating in geographies
         | where regulations haven't caught up -- it's just inertia, aka
         | "inaction doesn't get you fired (usually)".
        
           | delfinom wrote:
           | It's not inertia. In my big corpo's case, it's because the
           | cybersecurity insurer is refusing to follow NIST.
        
             | technion wrote:
             | I have been in three different organisations now with this
             | same excuse, and actually called their insurer to clarify.
             | In all cases, the insurer asks the password policy such as
             | expirations. Complete absence of a written policy is a
             | problem. Non expiring passwords was not.
             | 
             | Someone in management took the application form and
             | justified their own belief on security and two of those
             | three companies still tell staff "it's because of our
             | insurerer" even after given the facts.
        
         | newhotelowner wrote:
         | Our hotel franchise requires us to change the password every
         | month. We can't use the last 6-8 passwords.
        
           | rrr_oh_man wrote:
           | Password manager ftw
        
             | pc86 wrote:
             | This is fine for services you can easily access on a phone
             | or computer.
             | 
             | My employer requires I change my laptop password every 60
             | days, it stores the last _2 years_ of passwords to prevent
             | reuse.
             | 
             | I am not opening up LastPass and plugging in a 32 character
             | random string every time I want to start my computer up. My
             | password at any given point is either a few random words
             | and a number, or a short (8-12 character) alphanumeric
             | string without symbols. But you know what it always is? On
             | a post-it note stuck to the inside of my laptop.
             | 
             | My employer is consciously choosing to make my laptop less
             | secure because the CISO is an idiot.
        
               | hamburglar wrote:
               | The only solution to this problem is to put your password
               | on a post-it note in the most obvious place possible? Are
               | we sure the CISO is the idiot in this story? This sounds
               | like malicious negligence. I sure hope nothing that
               | actually matters is on your system.
        
           | bluGill wrote:
           | Password1, Password2 ... Password123456789 - I can do this
           | all day. And realy you should as a password you can easially
           | remember is a bad password so the first part that doesn't
           | change is the important part
        
           | arccy wrote:
           | Hunter2025May
        
       | Phui3ferubus wrote:
       | > TOTP Support: Let users use any standard authenticator
       | 
       | How many of them allow to generate a code related to specific
       | operation (provide a context for what is being "confirmed")? This
       | is the EU requirement that killed everything but SMS and bank
       | mobile apps.
        
         | 878654Tom wrote:
         | And I love that requirement. I do banking on my desktop and to
         | confirm the transfers I get a push notification from a third-
         | party application (ItsMe, so not a banking mobile app) with all
         | the information I have entered.
         | 
         | I can confirm the transaction from a complete separate device
         | while doing a second check if all details are correct.
        
           | Detrytus wrote:
           | The requirement per se is not the biggest problem.
           | Implementation by different banks is. In my country I have
           | several bank accounts.
           | 
           | One bank allows me to install mobile app on up to 5
           | smartphones, all I need is connect the smartphone to the
           | Internet (e.g. through Wi-Fi).
           | 
           | Another bank allows me to have up to 3 smartphones, but
           | identifies them by phone number, so it forces me to have 3
           | difrerent SIM cards
           | 
           | Yet another bank will only allow me to have mobile app only
           | on one device. To activate on another device I need to
           | receive SMS code, and if I lose my SIM card I need to show up
           | at a branch in person.
        
             | creer wrote:
             | Plus the "app" was written by clowns and doesn't really
             | work for any reasonable idea of "work".
        
         | creer wrote:
         | Although to be fair this EU requirement tends in practice to
         | make things yet still more cumbersome - requiring multiple
         | authentications in one online banking session.
        
       | pnw wrote:
       | OP's problem sounds like failure to plan. If you are going to
       | suspend your cell plan, you should probably check your
       | authenticator works or have a backup option before you travel to
       | another country.
       | 
       | I don't know what the viable alternative is. Passkeys have just
       | as many issues when phones are stolen, lost or broken. You cannot
       | expect consumers to store recovery codes. I do agree support of
       | TOTP authenticators would help savvy consumers, but probably
       | still too complicated for seniors etc. Watching my elderly
       | relatives with poor vision enter a TOTP code was quite
       | instructive. The UI of Google Authenticator made no sense to them
       | and they didn't understand why it kept changing and getting
       | rejected. They were barely able to enter six numbers in a 30
       | second window.
        
         | fullstop wrote:
         | > you should probably check your authenticator works or have a
         | backup option before you travel to another country.
         | 
         | They may sign you out automatically if you connect from a
         | different country.
        
           | coppsilgold wrote:
           | TD Authenticate does not require a network connection. I
           | outright disabled network access for the app on my phone.
           | 
           | Don't know how he got logged out but he almost certainly
           | didn't check before leaving the country.
           | 
           | Having said that, the 2FA for TD is atrocious as it provides
           | SMS fallback in addition to their bespoke app.
        
         | Zak wrote:
         | A viable alternative is to offer multiple 2FA options, one of
         | which should be RFC 6238 TOTP. The author would have probably
         | planned ahead by selecting that rather than a proprietary app
         | or SMS.
        
         | nmca wrote:
         | hardware tokens are the way! Everyone has had a house key their
         | whole lives, and understands how to keep a spare to prevent
         | lock-outs.
        
           | Muromec wrote:
           | If only there was some kind of a physical tokem with a crypto
           | key that is protected by a password and tied to one's bank
           | account.
           | 
           | -s
        
             | craftkiller wrote:
             | The only bit we're lacking is the "tied to one's bank
             | account". The rest already exists in the form of yubikeys
             | and other hardware security tokens.
        
               | FateOfNations wrote:
               | Your bank/credit/debit/etc. card is a "physical token
               | with a crypto key that is protected by a password and
               | tied to one's bank account". FIDO and EMV even both use
               | the same underlying ISO/IEC 7816 and 14443 protocols for
               | communications.
        
             | pasttense01 wrote:
             | Some of us don't want to have a dozen plus separate
             | physical tokens (one for each of bank/credit card/tax, etc
             | sites with sensitive financial information we have).
        
               | Muromec wrote:
               | Okay, I will make the "S" mark bigger next time.
        
               | mixmastamyk wrote:
               | Not how it works. One key can keep dozens of entries.
        
             | nmca wrote:
             | I know this was sarcasm, but bank card is not appropriate
             | because you should have one hardware key for all services
             | produced by an independent provider.
        
           | fullstop wrote:
           | I know plenty of people who have lost house keys. I have many
           | Yubikeys and I am responsible with my things, but not
           | everybody is like us.
        
           | rr808 wrote:
           | Hardware tokens are a PITA. Sure everyone has a house key
           | because they only have a house at a time. I have 3 bank
           | accounts, a few brokerage accounts, some pension logins on
           | top of the regular stuff. I'm not going to carry 15 hardware
           | tokens with me.
        
             | kube-system wrote:
             | SecurID tokens suck but with FIDO2, you'd only need one
             | key.
             | 
             | Of course, that breaks the UX analogy of the house key.
        
             | nmca wrote:
             | You only need one, plus a couple recovery spares, in any
             | sane implementation.
        
         | saltcured wrote:
         | One thing I like about the Aegis authenticator app is the clear
         | way it changes colors and even flashes to indicate a code is
         | getting ready to change, so it is less common that you might
         | start copying digits, glance away, and then finish copying
         | digits from a different code.
         | 
         | But, I think it would still be a challenge for many elderly for
         | other reasons.
        
       | waltbosz wrote:
       | Does password requirements with short max length count as getting
       | it wrong? Because I see that all the time.
       | 
       | Also a password box that will accept more characters than the max
       | password length.
        
         | idontwantthis wrote:
         | How about one that accepts any length on create but truncates
         | it in the DB so your password manager saves the long one you
         | typed in when it's actually cut off at 12 chars? Had that one
         | recently.
        
       | xienze wrote:
       | I don't think banks are deliberately trying to avoid using TOTP,
       | it's just that they have to cater to the lowest common
       | denominator, you know, the kind for which anything computer-
       | related is basically black magic.
       | 
       | SMS is an easy target because ~everyone has a cell phone and with
       | things like Apple's verification code auto-complete, the amount
       | of friction is greatly reduced.
       | 
       | With standard TOTP, now they have to worry about if the user
       | correctly added the secret information to whatever authenticator
       | app. And write corresponding documentation explaining how to do
       | so, for every major authenticator app.
       | 
       | There also has to be a backup flow for when the user loses their
       | authenticator app which is probably just going to be SMS. So why
       | not stick with just SMS in the first place?
       | 
       | I hate using SMS for 2FA, but I understand the business decisions
       | around it. I think as engineers we forget, to be frank, just how
       | bad most people are with technology.
        
         | xp84 wrote:
         | This is no excuse for not offering it. And no, SMS must NOT be
         | a backup that's always available, as the article points out,
         | its availability for use is a security hole.
         | 
         | If you can't access your actual 2FA there should be an option
         | for the bank to have it call that registered number and ask you
         | "Hey this is (Bank). Are you trying to log in right now from
         | Moscow on a Windows 10 PC using Firefox? If so, please call the
         | number on the back of your card, hit 9, put in your SSN, then
         | we'll turn off 2FA for one login and let you add a new one. Btw
         | if it is not you, your password is definitely compromised."
        
           | xienze wrote:
           | > "Hey this is (Bank). Are you trying to log in right now
           | from Moscow on a Windows 10 PC using Firefox? If so, please
           | call the number on the back of your card, hit 9, put in your
           | SSN, then we'll turn off 2FA for one login and let you add a
           | new one. Btw if it is not you, your password is definitely
           | compromised."
           | 
           | Stop, do not pass Go, do not collect $200. Having someone
           | call and ask for your SSN is a non-starter.
           | 
           | And in what world is SMS not available but being able to call
           | that same phone is?
        
           | error503 wrote:
           | Recovery codes is an option, for one.
           | 
           | Since we're talking about a legacy bank here, going to a
           | branch and proving your identity is an option.
           | 
           | Worst case, you could always call and speak to a human who
           | will do whatever verification they do if you forgot your
           | password, which is functionally equivalent.
        
         | Zak wrote:
         | > _With standard TOTP, now they have to worry about if the user
         | correctly added the secret_
         | 
         | The standard flow I usually see for setting up TOTP ends with
         | entering an authentication code. If it's not valid then the
         | setup isn't finished.
        
           | xienze wrote:
           | That's not what I'm talking about. I'm talking about the act
           | of adding the secret to the authenticator app in the first
           | place. There needs to be documentation to the effect of "open
           | Google Authenticator, and if you don't have it, download it
           | on the App Store or Google Play store. Open the app and
           | choose 'new secret', ...". Probably also put in a QR code and
           | link for good measure. Rinse and repeat for all the major
           | authenticator apps. THEN you can have them verify.
           | 
           | It adds up to a decent amount of supporting documentation
           | that the bank is responsible for providing.
        
             | Zak wrote:
             | Outside of services like Github where the average user is
             | expected to know what an RFC is, I usually just see Google
             | Authenticator supported and no mention of the fact that
             | alternatives exist. That seems like an adequate solution.
        
       | chvid wrote:
       | Identity providing is a natural monopoly and should be provided
       | by the state in same manner as a passport is provided.
       | 
       | We can discuss the implementation but in Denmark and quite a few
       | other countries, the login problem in online government services
       | and banking is solved by a single state run identity provider
       | (MitID) and hopefully the EU will be succesful with their EIDAS
       | initiative and provide a solution that works across country
       | boundaries.
       | 
       | https://en.wikipedia.org/wiki/EIDAS
        
         | snowwrestler wrote:
         | In the U.S., identity providing is not a role the government
         | fills. Not everyone has to have a passport, for example. A
         | passport is merely a purpose-specific tool for crossing
         | borders, not general identity.
        
           | Muromec wrote:
           | Federal government or governmemts in general? As far as I
           | get, driver licenses are doing in US what id cards are doing
           | in Europe and are issued by governments too.
        
             | Workaccount2 wrote:
             | In the US you don't need to have any form of ID. Your life
             | will be very difficult, but you don't legally need it. ID
             | is an optional service here.
        
               | ikiris wrote:
               | Well as long as you have specific skin colors this is
               | true. Don't let ICE catch you with no valid form of ID if
               | you don't look European.
        
               | Muromec wrote:
               | Well, what I was replying to is about who is providing
               | the service. Whether or not the service is mandatory is a
               | different one. I know places on the European continent
               | where having id and registered address is mandatory, but
               | the fine for noncomplience is about 1 EUR.
        
             | Brybry wrote:
             | While a driver's license does normally fill that role, it's
             | not mandated and not everyone has a driver's license (or
             | even a state issued ID).
             | 
             | Some stuff like voting you can use something like a utility
             | bill. Some stuff will want your birth certificate. Some
             | stuff will want multiple types of documents.
             | 
             | Americans have historically been against mandated
             | government IDs (though mostly with the concept of a
             | federal/national ID).
        
               | deathanatos wrote:
               | This whole thread is going to motte & bailey between the
               | various forms of US gov ID. Between the union of {SSN,
               | birth cert, driver's license (or ID in lieu thereof)}, it
               | seems to be there's the equivalent of a federal ID. Just,
               | like everything else we do, a terrible incomprehensible
               | mess to Europeans.
               | 
               | My employer requires an SSN when I start a job. TSA keeps
               | alleging they're going to require Real ID _any day now_.
               | Voting, if I have my jurisdiction 's requirements right,
               | requires an SSN, though most people will experience that
               | in the form of driver's license, since getting a license
               | is usually automatic voter registration where I've lived.
        
           | chvid wrote:
           | You have plenty of government id's in the US as well. Driver
           | licenses, tax number, birth certificates ...
           | 
           | I think often people mess up the subjects of privacy, freedom
           | and a government provided id. You can have privacy and
           | freedom even if you have a government issued id. And you can
           | have your privacy and freedom taken away from you without the
           | government giving you standardized way of proving your id.
        
             | kortilla wrote:
             | You can't have privacy if everyone uses the government as
             | an SSO.
             | 
             | People might be more amenable if SSO wasn't implemented as
             | these stupid OIDC flows where the govt gets to know every
             | time you login to your bank and what IP you're using, etc.
        
               | chvid wrote:
               | But you can if you live in a well functioning democratic
               | society - remember the alternative is not no id but
               | privatized for profit identity providers like Google and
               | Facebook.
        
               | Muromec wrote:
               | Well functioning democratic society is and idea that US
               | explicitly rejects, because democratic society can point
               | a finger at you and that doesn't feel nice.
        
           | loeg wrote:
           | And it is a significant flaw of the US model!
        
             | kortilla wrote:
             | Not if you ask people who specifically don't want the
             | government tracking everything
        
               | loeg wrote:
               | They are deluded if they think the lack of federal ID
               | (ignoring Social Security) provides any privacy benefit,
               | and the cost is immense.
        
               | tart-lemonade wrote:
               | And the worst part is a federal ID would not enable
               | tracking any more than your employers withholding wages
               | for tax purposes and paying into Social Security does,
               | but every time a federal ID has been proposed (which
               | would be really useful as a way to keep SSNs from
               | becoming something you have to disclose to everyone and
               | their dog) it's been shut down by the "it's all a road to
               | tyranny" crowd.
               | 
               | I could get a Real ID that reads "1060 W Addison St"
               | today. All I have to do is pirate Acrobat, change the
               | addresses on PDFs downloaded from the websites of my bank
               | and power company, and walk into an Illinois Secretary of
               | State office, as that's enough for the residency portion
               | of a Real ID. They do not double-check any of this
               | information, and I know this works because I had to edit
               | a power bill PDF so my SO would have a second document
               | for proof of residency. All it would take is one phone
               | call to find out I'm the only one listed on the account,
               | but it was never verified.
               | 
               | Why anyone thinks a federal ID would enable mass
               | surveillance and tracking is beyond me. The NSA doesn't
               | need a unified federal ID to track us, and law
               | enforcement isn't exactly foiled by people who hold fake
               | IDs or who have no IDs whatsoever (unless being
               | undocumented or Amish is some magical "get out of jail
               | free" card).
        
           | einarfd wrote:
           | In Norway our BankID system, which is similar to what the
           | Danes have, is owned by the banks, and is a run by a private
           | company. While I personally think that in principle it should
           | be run by the government. It works well enough, and it is
           | imo. proof that it does not have to be run by the government.
        
         | riffraff wrote:
         | italy has quite an interesting system[0] where multiple
         | identity providers (authorized by the State) can be used to
         | provide identification against the central database. It'll
         | probably be phased out at some point, but it's quite cool.
         | 
         | [0] https://www.spid.gov.it/en/citizens/ it integrates with
         | eIDAS too
        
         | sneak wrote:
         | Absolutely not! The moment you have universal state-issued
         | identity, you will be expected to provide it for _everything_ ,
         | including tons of stuff that doesn't require identity. Don't be
         | a privacy defeatist, the fight isn't lost yet.
         | 
         | Resist every single effort to make it easier for merchants and
         | private entities to strongly identify users. The rows go into
         | databases and they never go away.
         | 
         | State-issued identity is one of the fundamental building blocks
         | of a totalitarian police state that has universal surveillance.
        
           | stef25 wrote:
           | We have universal ID cards here in Belgium. They have a chip
           | and along with a special card reader usb device you can log
           | in to govt websites related to taxes, pension and basically
           | everything else.
           | 
           | If you have a smartphone you can use an app to scan a QR and
           | log in that way. It's super convenient.
           | 
           | Where is the privacy problem if you use this system to
           | consult your own civil data ? Privacy is a thing in the EU
           | and it's a complex issue mainly because of these tech
           | behemoths that need to know your shoe size before you can use
           | their todo list app.
           | 
           | > Resist every single effort to make it easier for merchants
           | and private entities to strongly identify users
           | 
           | How is this related to govt issued ID cards ?
        
             | Dylan16807 wrote:
             | If it's easy enough to connect such an ID with arbitrary
             | companies, I don't trust US privacy laws to prevent them
             | from requiring it.
        
               | Muromec wrote:
               | Maybe not having IDs is the reason why US doesn't have
               | privacy protections and everybody can buy all the data
               | anyway for 5 bucks from ad tech and telecoms.
        
           | hosteur wrote:
           | > Absolutely not! The moment you have universal state-issued
           | identity, you will be expected to provide it for everything,
           | including tons of stuff that doesn't require identity.
           | 
           | Indeed this has happened in Denmark already where for example
           | DBA (Danish version of ebay) started soft-mandating MitID
           | verification. Soon to be actually mandatory.
        
             | einarfd wrote:
             | At one point I was researching using the Norwegian BankID
             | system to ensure that accounts where real people. The
             | pricing model didn't make that look like a reasonable
             | choice. While I'm not surprised an eBay like service would
             | be fine to pay to combat fraud. For a lot of offerings,
             | paying the cost of using such services will not be worth
             | it.
        
           | layer8 wrote:
           | The way identity providers are supposed to work is to not
           | necessarily divulge your identity, but properties necessary
           | for the respective service. For example, they can attest that
           | you are an adult and a citizen of $country, but don't need to
           | disclose any further information. When using an identity
           | provider with a third-party service, the attested attributes
           | are displayed to the user to approve their disclosure. This
           | is a bit like app permissions, where you can specify which
           | app should be able to have which permission.
        
             | kortilla wrote:
             | But most sites will just require you to attest your full
             | name. Additionally, they will require a unique ID that the
             | govt might not bother changing between websites.
             | 
             | Real name and central ID requirements are anti privacy and
             | have the tracking problems OP highlighted.
        
           | patja wrote:
           | I'm so sick of retail clerks who insist on scanning the
           | barcode of my driver's license. To verify I am 21 you don't
           | need my height, weight, eye color, and home address. You can
           | ascertain that my visually inspecting just the first two
           | digits of my birth year.
        
             | mixmastamyk wrote:
             | Sounds like you may be aware, but no one should allow that
             | to happen. When showing ID in retail situations I don't
             | allow it to be removed from my hand.
        
         | k4rli wrote:
         | This yet another USA defaultism post.
         | 
         | I have developed for several banks in Europe and EIDAS + other
         | national ID based systems are the standard. Some also allow
         | authentication with their own apps, but still having alternate
         | options smartcard with reader or smartcard based national app.
         | 
         | Most seem to favour using apereo CAS for it even though it
         | seems overkill and overly complicated (especially upgrading it,
         | lacking documentation) most of the time.
        
       | xp84 wrote:
       | They should all be shamed continually until they adopt the common
       | sense ideas in the article.
       | 
       | Sadly I have to conclude from evidence that these incompetent
       | buffoons think you can compute "how secure our site is" by asking
       | "is it a f*cking pain in the ass for everyone to log in, almost
       | all the time?" If yes, then secure.
       | 
       | Bonus points for "is it impossible to log in when you don't have
       | your cell phone that you registered with us?"
        
       | bob1029 wrote:
       | > There's no excuse anymore.
       | 
       | Implementing "modern" auth flows is challenging with old core
       | systems.
       | 
       | From a risk management and compliance standpoint, this new auth
       | infrastructure would represent a non-trivial expansion in the
       | bank's audit scope.
       | 
       | Until a regulator makes it a requirement to use whatever new auth
       | flow, it is not going to happen at scale.
        
       | gtkspert wrote:
       | You have to think of a Bank's threat model though.
       | 
       | Account compromise is one threat, but the use of valid accounts
       | for money laundering is another. In my view the reason they "get
       | it wrong" is because they don't want you to be able to automate
       | transactions, as that makes money laundering easier...
       | 
       | Therefore, they don't want to use standard TOTP because that's
       | easy to automate. Requiring SMS based 2FA is harder (but not
       | impossible, use a modem or maybe a SMS service.) And requiring a
       | special app is quite difficult to automate.
        
         | sedatk wrote:
         | Also, people usually underestimate the problems of TOTP. Losing
         | TOTP is easy. Lose your phone and it's gone. It means game over
         | for a regular person. SMS is light years ahead in terms of ease
         | of recovery. Even after losing your phone, you can stop by a
         | store, activate your SIM back again with your ID. Not the case
         | with TOTP.
         | 
         | Yes, some of the SMS recovery scenarios can make hackers hijack
         | your account easily too, but cell operators have workarounds in
         | place for that. It's getting better.
         | 
         | I don't even know how recovery scenarios work for passkeys.
        
           | sneak wrote:
           | Precisely nobody is suggesting that there be no recovery
           | mechanism. This criticism is a red herring.
        
             | sedatk wrote:
             | What do you think such a recovery mechanism would look like
             | without SMS?
        
               | Uvix wrote:
               | Syncing the TOTP credentials from a cloud account of some
               | sort (iCloud/Google for the masses, Bitwarden or another
               | password manager for more technical users) to the device.
               | 
               | As a fallback recovery mechanism, offline backup codes
               | generated at the time the TOTP is applied to the account.
        
               | sedatk wrote:
               | Then you make Google/iCloud the point of entry to
               | someone's bank account. That completely changes the
               | threat model for customers, and possibly for worse than
               | SMS.
               | 
               | Offline backup codes, when printed, isn't such a bad
               | idea. But when you lose that piece of paper, again, game
               | over.
               | 
               | SMS is fantastically resilient to these scenarios.
               | There's a reason banks insist on using it.
        
               | Uvix wrote:
               | SMS isn't resilient to the worker at the local retail
               | store for the phone carrier giving someone else a SIM for
               | my phone number. That's a much bigger threat vector than
               | Google/iCloud/a sync target I manage storing an encrypted
               | version of the TOTP credentials.
        
               | kbolino wrote:
               | How realistic is this threat? I would think that the
               | employees would have to jump through hoops that require
               | you to be present (or at least a lot more of your info to
               | be stolen than just your name and number) and that the
               | home network would detect a duplicate E.164 number with
               | conflicting IMEI/IMSI numbers and locations pretty
               | quickly.
        
               | Detrytus wrote:
               | Password managers, such as KeePassX can generate TOTP
               | codes. And Keepass database is just a file, you can have
               | as many backups of it as you want.
        
               | sedatk wrote:
               | You overestimate a regular person's technical skills and
               | their capability of planning resilient backup strategies.
        
               | loeg wrote:
               | Show up in person with ID.
        
               | sedatk wrote:
               | Yes, but remember, the original scenario was person
               | leaving Canada, and trying to use their Canadian bank
               | account from the US. There is nowhere to show up. But, if
               | they could swallow SMS roaming costs temporarily, they
               | could access to their account easily.
        
               | kube-system wrote:
               | That's not necessarily possible. Many banks do not have
               | physical locations, and many people do banking business
               | while physically away from a bank.
               | 
               | https://en.wikipedia.org/wiki/Direct_bank
        
               | mixmastamyk wrote:
               | MFA is more than 2FA. You'll typically mandate several
               | ways to get in, ahead of time. Whether a third logical
               | device or printing out recovery codes. For something as
               | important as a bank, folks will comply.
        
           | sir_brickalot wrote:
           | Counter: Backups for TOTP are easy and you can use multiple
           | devices/services for a single TOTP login.
        
             | kube-system wrote:
             | Whether it is easy or possible is irrelevant. For the 99.7%
             | of the world that isn't a software developer, the real-
             | world observed use case will predominantly be the least-
             | friction commoditized workflow. People mostly have one
             | phone with one authenticator app, and that's what they'll
             | use.
        
               | TingPing wrote:
               | You aren't wrong. It is built in to Googles and Apples
               | though, should be widely used.
        
         | dfxm12 wrote:
         | The banks' real threat model is around what punishments will
         | come from the government. If there's no real regulation with
         | teeth, banks will not care.
        
         | charcircuit wrote:
         | Why would a bank care about money laundering?
        
           | gruez wrote:
           | If they're not seen as doing enough, they can be fined by
           | regulators.
        
           | jszymborski wrote:
           | HSBC determined its retail banking operations in NA were not
           | worth it any longer due to the liability they faced after
           | their high-profile money laundering scandal [0].
           | 
           | [0] https://www.investopedia.com/stock-
           | analysis/2013/investing-n...
        
           | josephthejoe wrote:
           | It's a long-complicated story but it essentially boils down
           | to this: https://en.wikipedia.org/wiki/Bank_Secrecy_Act
        
           | hiatus wrote:
           | Because look at what happens when the government thinks you
           | don't care enough about money laundering. TD Bank recently
           | got hit with a $3 billion fine.
           | 
           | > More than 90% of transactions went unmonitored between
           | January 2018 to April 2024, which "enabled three money
           | laundering networks to collectively transfer more than $670
           | million through TD Bank accounts," according to a legal
           | filing.
           | 
           | https://edition.cnn.com/2024/10/10/investing/td-bank-
           | settlem...
        
           | rs186 wrote:
           | I think you can easily answer that question yourself by doing
           | a simple search.
        
           | Muromec wrote:
           | Because the government said so. Why did the government say so
           | -- because the bank is the only place that can see your
           | transactions and has a profile on you and has a dedicated
           | person to call you and ask about that cash withdrawal on the
           | Turkish side of the Syrian border or regular cash deposits of
           | 100k each week in addition to your cop salary.
           | 
           | Alternatively you can just not do anything with money
           | laundering and all that or let the government do the
           | monitoring itself.
        
         | gruez wrote:
         | The biggest hurdle to money laundering is getting past KYC at
         | the creation stage, which requires you to have stolen
         | identities and/or identity documents, getting past the anti-
         | fraud gauntlet, and probably intercepting any documents/cards
         | that get mailed. Setting up a device farm that can receive SMS
         | OTPs is simple by comparison. All you need as a $60 android
         | phone and an app with SMS access.
        
         | speckx wrote:
         | I was surprised that Bank of America still does SMS based 2FA.
        
           | dmoy wrote:
           | BoA is one of the very few US banks that do any modern auth -
           | they support fido2 security keys.
           | 
           | Of course effectively 0% of their customers actually use it,
           | and instead rely on sms
        
             | kccqzy wrote:
             | Huh I set up SMS 2FA for BofA back in 2016 and I never knew
             | they now support fido2.
        
       | dfboyd wrote:
       | https://news.ycombinator.com/item?id=38180477 -- HN discussion of
       | "Seeing like a Bank"
        
       | martinald wrote:
       | The reason it's a farce is because most banks are using some off
       | the shelf system from one of the big vendors in the space OR
       | legacy systems, or both. FIS is a good example.
       | 
       | They have basically no real motive to improve anything (the lock
       | in is utterly extreme) and no doubt will charge through the
       | eyeballs for any improvements - especially ones that are
       | regulatory related.
       | 
       | You can see the difference between a legacy bank and some of the
       | neobanks in the UK. It's absolutely night and day when they own
       | their own modern tech stack.
        
         | pwg wrote:
         | > using some off the shelf system from one of the big vendors
         | 
         | This also gives the bank 'cover' should an exploit be uncovered
         | in "big vendors" system. They (the bank) are safe liability
         | wise (or at least they think they are) because they used
         | "approved vendor Y" for their authentication system.
         | 
         | If they created their own system, then they would be unable to
         | offload the liability onto someone else.
        
           | FireBeyond wrote:
           | > If they created their own system, then they would be unable
           | to offload the liability onto someone else.
           | 
           | In a sense. The big banks in the US created Zelle with one of
           | the specific outcomes being to offload liability for
           | unauthorized transactions more on to the consumer than
           | themselves.
        
       | bouncing wrote:
       | The problem with the suggestions here is that it puts all your
       | eggs in the same basket. 1Password TOTP? If both your password
       | and the TOTP are in your password manager, you arguably really
       | just have a single factor, delegated to a third party (your
       | password manager). PassKeys? Same problem. Storing your recovery
       | keys in your password manager? You again just have 1 factor.
       | 
       | SMS is bad and should go away, but it isn't so clear what the
       | replacement needs to be for most people.
        
         | Hackbraten wrote:
         | If you use a password manager, you might not be part of the
         | target group that benefits most from a second factor.
         | 
         | A decent password manager nudges you into using unique
         | passwords per service. Good password managers also offer you a
         | browser extension, which injects the password directly into the
         | DOM instead of using the clipboard, and checks the domain, too.
         | It's not 100% secure, but at that point, 2FA may be a
         | diminishing return already.
        
       | kirubel01 wrote:
       | It's not a common problem enough for them to care.
        
       | shadowgovt wrote:
       | Broadly speaking: because they don't have to get it right.
       | 
       | Banks are generally protected from fraud not by up-front
       | security, but by auditing. If someone mis-applies funds, they
       | have a chain of transactions they can back out. And, if someone
       | does it maliciously, they have a disproportionate support of the
       | force of law to discourage such behavior.
       | 
       | Contrast most software companies, where theft of data is not a
       | reversible issue, so they are heavily incentivized to make it
       | technically infeasible.
        
         | bluGill wrote:
         | While not wrong it will big a big hasstle for whoever is the
         | fraud victum while things are reversed. You may even lose other
         | things in your life because you are unable to pay bills you
         | technically have the money for but cannot access the money.
        
           | shadowgovt wrote:
           | This is all true and, most notably, not the bank's immediate
           | concern.
           | 
           | The financial sector has sheltered itself / been sheltered
           | from the immediate consequences of fraud perpetrated upon it
           | regarding its customers. The customers catch most of the
           | consequences in terms of opportunity costs and some of the
           | bookkeeping labor.
           | 
           | (... in the large, of course, too much fraud runs the bank
           | out of customers and then the bank suffers. But that has to
           | be a _lot_ of fraud, and that 's where the governmental big
           | stick that the banks and other financial operators get to
           | wield by proxy come back into play. Try to steal $100 via
           | credit card fraud and you probably get away with it [once],
           | with the cost being borne by a credit card company having to
           | write off couch-cushion money and an individual consumer
           | being heinously inconvenienced in having to rotate all their
           | auto-deduction numbers. Try to steal $1,000,000? The FBI has
           | some questions, friend, if you'd be willing to come with
           | these nice men down to the branch office).
        
       | Muromec wrote:
       | I think all the banks that I used for the last five years (from
       | three different European countries) use the mobile app itself as
       | a generator of security credentials. The app itself is pin
       | protected.
       | 
       | Recovery paths vary -- from sms and hardware code generator
       | (funny terminal to slot bank card into) to government-managed PKI
       | or id carda.
       | 
       | I think only one of them is still using sms as a fallback for
       | normal transaction confirmations.
        
       | ilaksh wrote:
       | I don't care how many times I am violently buried on this site
       | for mentioning the word -- but cryptocurrency makes traditional
       | banking obsolete. Or should have.
        
         | Muromec wrote:
         | No it doesn't
        
         | kube-system wrote:
         | cryptocurrency makes traditional banking obsolete only if:
         | 
         | 1. you don't understand what banks do, or
         | 
         | 2. you pretend that cryptocurrencies do things that they don't
         | 
         | One could make a list a mile long of things that banks do that
         | cryptocurrencies have no answer for. Banking is not a
         | technology, it is a service.
        
       | xyst wrote:
       | Anybody that has the misfortune of working within a financial
       | institution should know these folks are way behind the times.
       | 
       | They will hire contractors from the bottom of the barrel, claim
       | "rEgUlAtIoNs sToP uS", load up on middle management --- thinking
       | they will ~~whip~~ manage those bottom dollar contractors into
       | performing like well paid folks --- then decry about asinine shit
       | (mUsT rETurN to oFfIcE for cUlTtuRe!!11) and shift blame when the
       | initiative(s) fall flat and projects are behind by _years_.
       | 
       | This rinses and repeats for a few years, maybe they get a half
       | ass implementation out to meet minimum spec for MFA. Maybe they
       | spend millions in consultants and contractors before it gets off
       | the ground.
        
       | kirubel01 wrote:
       | Big corporations don't fix anything unless it bleeds cash in an
       | obvious way. Their siloed departments border on self-sabotage,
       | and they only wake up when shareholders start shouting about lost
       | profits--then they stall anyway.
        
       | alkonaut wrote:
       | Why is there no standardized e-ID in the US? How much money is
       | wasted by different authorities and businesses having to reinvent
       | the same wheel over and over? I have used the same auth for doing
       | my taxes or checking my prescriptions or signing into my bank for
       | 20 years.
        
         | throwaway562if1 wrote:
         | The current US administration is known for illegally deporting
         | permanent residents and has stated intent to deport natural-
         | born citizens. It should be self-evident why a centralized ID
         | system under the control of the executive branch is a terrible
         | idea.
        
           | alkonaut wrote:
           | That's horrible but why would it be worse together with an
           | e-id system?
        
             | throwaway562if1 wrote:
             | Because without thoroughly-enshrined protections for
             | identities, an e-ID system provides an avenue for the
             | government to effectively de-person undesirables at will,
             | by removing their ability to use banks, sign contracts,
             | access healthcare, etc.
        
               | Muromec wrote:
               | US government is deporting undesirables at will right now
               | without any of that. On the other side of the world,
               | where id is mandatory and e-id is used for everything
               | that makes sense, the city hall gives free heroin
               | injections to addicts as a last resort therapy and
               | provides for illegal/undocumented homeless people so they
               | don't shit on the street.
               | 
               | Neither of those prevents somebody from stealing bicycles
               | zo.
        
         | SpecialistK wrote:
         | From my experience in the US, UK (see
         | https://en.wikipedia.org/wiki/NO2ID ) and Canada there is a
         | cultural aversion to government ID. I believe it's the same in
         | Aus and NZ, so it may be an Anglophone thing.
        
         | kube-system wrote:
         | It is partly cultural, and partly a power struggle between
         | states and the federal government.
        
       | DamonHD wrote:
       | > If a system breaks in common scenarios, like international
       | travel, it's not a secure system. It's a hostile one.
       | 
       | I have spent many hours on the phone over the last few days
       | fighting tooth and nail to get my savings back to my account with
       | British bank A from British bank B (just recently bought by A, as
       | it happens) in small chunks because reasons.
       | 
       | I have explicitly raised the point "if this punishes the innocent
       | so hard in a simple legit case like this, wasting hours of
       | everyone's time, is it actually working?"
       | 
       | In response to the first of three (!) complaints that I have
       | filed during this trauma, the bank conceded on all the points and
       | awarded me a significant compensation sum ... which I may never
       | be able to get at!
       | 
       | Plus people _possibly_ from the bank keep trying to call me and
       | ask me to prove who _I_ am with data that would let a phisher
       | into my accounts, and are effectively unreachable if I try to
       | contact them through a safe route... Including the fraud and
       | complaints people... Duh.
        
       | p0w3n3d wrote:
       | I remember my brother having a printed list of one-time-codes. I
       | wonder why this is not mentioned? Not everyone wants to have
       | their phone a single-point-of-failure. For me - breaking screen
       | in my phone rendered my banking unavailable for me, which posed
       | additional problem on how to pay for the screen replacement, not
       | speaking about buying food etc.
        
       | kbar13 wrote:
       | i worked on a large platform (YC company, too!) previously on
       | their 2FA implementation. while not ideal, it was decided to keep
       | SMS 2FA because there are still people out there without smart
       | phones or in general the ability to do TOTP. but they still have
       | some means to access the site that wasn't a smartphone i guess.
       | 
       | so, it's a bit of a compatibility issue, i guess there will be
       | some portion of the population who will be very upset that they
       | need to buy a whole new smartphone just to securely access their
       | banking details
        
         | ted_dunning wrote:
         | That isn't a very strong argument for not allowing me to secure
         | _my_ account.
        
         | creer wrote:
         | Anything that requires a cellphone bakes in BOTH a single point
         | of failure and cumbersome extra steps. Terrible practice anyway
         | - even though so many people here are in love with both single
         | points of failure and extra steps.
         | 
         | ALLOWING methods X, Y or Z would be better reasoning.
        
       | tadzikpk wrote:
       | The friction of changing bank accounts is high, and few people
       | choose their bank accounts based on how easy the online
       | authentication is. Unless a bank does this meaningfully much
       | worse than their competitors (low bar) they have little incentive
       | to fix it.
       | 
       | If you think TD is bad, try some European countries where there's
       | only a handful of banks...
        
       | tgsovlerkhgsel wrote:
       | None of the recommended alternatives show _what_ you are
       | authenticating for.
       | 
       | The proprietary auth solution as well as SMS will show "To
       | authorize a transaction of $12,345.67 to account ..., enter code
       | 123456". SMS isn't secure because there are various ways for the
       | attacker to get the code aside from phishing.
       | 
       | The apps are a royal pain for the user, but they enable this
       | flow, and they are secure for the bank.
       | 
       | The bank has limited incentive to make the user happy, but a lot
       | of incentive to a) minimize fraud, b) be able to blame the user
       | for the remaining fraud.
       | 
       | That's why you will keep getting shitty, user-hostile
       | authentication apps, and that's why banks will keep losing some
       | (but probably not enough to make them care) customers to neobanks
       | that are prioritizing user experience. And why neobanks will
       | enshittify once they are no longer willing to buy adoption by
       | accepting more fraud.
        
       | physhster wrote:
       | Bank of America offers FIDO U2F as a second factor but doesn't
       | let you remove SMS as a factor. I don't see what the point is.
        
       | punnerud wrote:
       | We had SMS-auth in Norway until 15 years ago (?), then it was a
       | special type of SMS popping all over your screen that was more
       | secure. Now all that is gone and replaced with Apps for auth,
       | with scanning of your Passport/NationalID using NFC + SMS the
       | first time.
        
       | cypherpunks01 wrote:
       | Any US banks support TOTP or Yubikey/U2F requirements for login
       | yet?
       | 
       | I've seen a couple consumer fintech products that support TOTP,
       | still not many, and no banks I'm aware of.
        
         | samwise_i wrote:
         | Wells Fargo offers RSA hardware tokens if you know how to ask
         | for them:-) Schwab offers a Symantec hardware token Vangaurd
         | allows the use of a FIDO device (YubiKey)
        
           | mixmastamyk wrote:
           | Imagine using anything Symantec related to security. :-/
        
         | kube-system wrote:
         | Fidelity supports TOTP
        
       | bradley13 wrote:
       | Passkeys = excellent UX? In what world is that?
       | 
       | I keep looking st them, see the fragmentation, and have to say
       | "no thanks, great idea, horrible reality".
        
         | hiatus wrote:
         | If you store them in a password manager it is pretty nice, but
         | if not it can be pretty cumbersome, especially if using
         | browsers with multiple profiles.
        
       | noleary wrote:
       | > I don't think anyone considers a bank account "low-risk." Yet
       | here we are, still relying on SMS as the default, and sometimes
       | only, 2FA option
       | 
       | > Passkeys (FIDO2/WebAuthn): Phishing-resistant, device-based
       | login using biometrics. Excellent UX and security.
       | 
       | In response to the complaints about SMS MFA, yeah, it has its
       | issues (we don't even support it in our auth software) but it's
       | not totally indefensible. It makes it much, much easier to push
       | MFA.
       | 
       | When I talk to end users about auth flows, they almost invariably
       | complain about MFA. People _hate_ MFA. They will avoid it if they
       | can. With that in mind, while SMS 2FA has problems, we should
       | recognize that it 's minimally disruptive to users. It's
       | familiar. People understand how it works. In this sense, it has
       | major advantages over alternatives.
       | 
       | People really don't understand passkeys. I even meet professional
       | software developers fairly often who -- at least to their
       | knowledge -- have never used passkeys. It will take a very long
       | time before this is well-understood by the average consumer.
       | 
       | Lots of people complain about TOTPs too. Downloading
       | authenticator apps sucks and is confusing to many people. Even
       | sending codes to people's email addresses causes problems; many
       | people have several email addresses for which they forget
       | passwords routinely. By contrast, mostly everyone has no problem
       | opening a text message on their phone (which is pretty much
       | always within reach).
       | 
       | We can't design software for the way we hope users will behave
       | (e.g., telling people _just use a password manager_ ). Especially
       | if you're making mass market consumer software, you really have
       | to meet people where they are.
        
         | taco_emoji wrote:
         | > People really don't understand passkeys
         | 
         | Passkey UX is absolutely terrible. It's unclear what is
         | happening, what is being stored where (do you have my passkey?
         | do I? is it in my browser? is it on my phone?), how
         | communication is happening between devices, etc. Also nobody
         | seems to explain what exactly a passkey _is_. Where 's the
         | thing I can point at and say "that's your passkey"?
        
           | kortilla wrote:
           | One of the "features" of a passkey is that you can't point to
           | it. It's a fucking nightmare
        
           | mixmastamyk wrote:
           | I didn't understand it either, but on the "Security Now"
           | podcast Steve said it's basically like using a FIDO2 key but
           | virtualized in software. As I've used a yubikey and
           | understand public/private keys (with ssh) I now have a vague
           | idea.
           | 
           | As the sibiling comment alludes, FLOSS projects have been
           | threatened for allowing (part of?) the key to be exported!
        
         | idontcareatall wrote:
         | I. don't. care. Because we have to cater to the absolute lowest
         | denominator, I now can't use my credit card 90% of the time
         | because I can't receive SMS when I'm traveling aboard? No, not
         | everyone has a fking iPhone and iMessage. Nothing in your
         | comment serves as a defense of most places only having SMS 2FA.
         | Why can Capital One email me every critical account
         | notification, but can't email me 2FA/OTP codes for confirming
         | transactions when I'm on the other side of the world? Why?
         | 
         | It is flatly absurd that my Xbox account can be more secure
         | than most of my bank accounts. I am tired of hearing people
         | justify the utter laziness of US financial institutions.
         | Everything about dealing with money in the US has become
         | increasingly incredibly user hostile. Fidelity won't allow ANY
         | integration with apps like Lunch Money and have some impressive
         | automation detection that blocks headless Chrome usage better
         | than anyone else. I'm completely at their mercy, and cannot
         | sanely manage my money because of them. It's complete god damn
         | garbage.
        
           | Zak wrote:
           | > _No, not everyone has a fking iPhone and iMessage._
           | 
           | I don't think iMessage solves the problem of receiving an SMS
           | from your bank where your SIM card is inactive or disabled
           | due to roaming costs.
           | 
           | A VOIP number like Google Voice can solve that problem, but
           | some services that do SMS-based verification reject phone
           | numbers that a database says are VOIP.
        
       | focusgroup0 wrote:
       | AML & KYC
        
       | lenerdenator wrote:
       | Well, let's do the cost-benefit analysis here.
       | 
       | Authentication, insofar as making sure that only signatories on
       | the account can access it and debit/credit from it, is something
       | you have to pay someone something to do, and not something that
       | those in charge of the bank really understand.
       | 
       | If someone does breach an account, it's incredibly difficult to
       | pin _on the bank_.
       | 
       | If you are unlikely to face a financial penalty for a failure,
       | you don't work to avoid the failure.
       | 
       | I had an e-checking account broken into a few years back. Someone
       | in Atlanta wrote themselves a check for $9k, and it didn't even
       | come close to matching my signature. I'm in Kansas City. I have
       | never been to Atlanta in my life, nor do I regularly do business
       | with anyone in Atlanta. I didn't find out until the next week. It
       | was on me to file a police report and do all of the mitigation. I
       | was reimbursed, but I don't know how the bank came up with that
       | money, maybe they carry insurance for this sort of thing? In
       | order to resume use of online banking, the 1337 h4x0rz in their
       | security department made me do a _virus scan_ of my devices. It
       | 's still 2005 there.
       | 
       | There are several obvious things that they could have done -
       | signature comparison using OCR, warnings about unusual logins,
       | warnings about checks being written outside of the usual
       | geographic area I do business in - that they just _don 't_ do. If
       | it's obvious and they don't do it, it's because they aren't
       | losing money for this.
        
       | etskinner wrote:
       | As far as I can tell, the reason why any given login is
       | needlessly complex is that some product manager somewhere has
       | outdated info in their head that says stuff like "passwords need
       | 4 different character classes" and "everybody uses SMS for 2FA,
       | we need to use that". Powerless devs then mindlessly implement
       | what they're asked to implement.
        
         | abanana wrote:
         | Powerless, that's exactly it. I pushed back when asked to
         | implement email-based "2FA" on a website account (nothing like
         | as important as a bank though). I pointed out that the username
         | is the email address, and password recovery works by emailing a
         | reset link, therefore emailing a login code wouldn't be two-
         | factor, it would be _the same factor_. Of course the response
         | was: doesn 't matter, the client's asked for it. I didn't have
         | the authority to push back any more, but luckily in this case
         | it was just a simple website login that had no real need for
         | 2FA anyway.
        
           | 000ooo000 wrote:
           | Are you me? I am an SE in a bank and I had this exact
           | experience this week - though it relates to authing with the
           | online banking system.
           | 
           | As I see it, it's an unfortunate combination of an extremely
           | risk-averse enviroment, a total lack of trust in their IT
           | staff, and - if I can be pointed - unqualified product teams.
           | I can explain the the inadvertent drop from 2FA to 1FA, I can
           | back it up with NIST, OWASP and Gov references explaining why
           | it's a bad idea, but I am simply ignored because they are
           | bent on execution of their 'vision'. At this point, I raise
           | my concerns just to have my biases confirmed.
           | 
           | It's really frustrating and obviously as a banking customer I
           | want sensible security features too, but if I can generalise,
           | we devs are not driving the bus. We're stuffed in the luggage
           | compartment, wheeled out as necessary.
        
       | quintu5 wrote:
       | Banks are always facing a trade-off between security and
       | regulatory accessibility requirements. A former employer offered
       | ~10 different ways to perform step-up authentication for high
       | risk activities to avoid getting slapped with fines.
        
         | creer wrote:
         | Then again "regulatory accessibility" has little to do with
         | usability. You can have an 11 step process which works with a
         | screen reader and is still hell.
        
       | actinium226 wrote:
       | Pretty much the same thing with Chase. I had to access my account
       | while overseas and had a somewhat similar story.
       | 
       | The mobile app doesn't require a second factor, so I was able to
       | log in there, but I couldn't transfer funds or something on
       | mobile, and buried in a deep section of the settings I found a
       | way to get the OTP via email.
       | 
       | Really disturbing the banks still haven't secured this.
        
       | Waterluvian wrote:
       | It's odd that banks are so bad at this because the incentives are
       | correct: the banks pay when fraud happens. (At least up here)
        
       | cccs-kevin2 wrote:
       | This happened to me when I was overseas recently. No phone, I
       | needed to access my credit card website with Scotiabank. I had
       | previously relied on having an option for the OTP to be delivered
       | either by email or sms, but when I tried in March, Scotiabank had
       | removed the email option! I ended up having to basically remove
       | 2FA from my bank account as a workaround, after answering a ton
       | of security questions.
       | 
       | Therefore for the entire time I was overseas after having done
       | this, my bank account had no 2FA enabled... smh
        
       | warrenski wrote:
       | Here in South Africa all the banks I know of moved away from SMS
       | text messages for 2FA ages ago, and perform authentication in-app
       | with biometrics instead. Having a banking app installed on your
       | phone is pretty much mandatory, and criminals have no doubt grown
       | wise to this fact. So what happens when someone holds a gun to
       | your head and forces you to perform a large transfer of funds
       | from your phone? I'm sure the banks will try convince you that
       | their fraud detection systems will come to your aid.
       | 
       | One bank here recently introduced a duress-PIN, which when
       | entered, will commence monitoring and send help, but they still
       | don't offer any guarantee of a refund. Another bank allows you to
       | change their app's icon and name, in an effort to masquerade as
       | something less recognisable.
       | 
       | I'd much rather delete the apps, unlink my devices from my bank
       | accounts and use a TOTP authenticator app instead.
        
         | fn-mote wrote:
         | > I'd much rather delete the apps, unlink my devices from my
         | account and use a TOTP authenticator app instead.
         | 
         | I'm not clear how this changes the gun to your head scenario.
         | 
         | I would want to see numbers before making policy changes based
         | on potential armed robbery.
        
       | 6510 wrote:
       | Is it possible for Americans to use European or Chinese banks?
       | 
       | I'm only half trolling.
        
       | agentultra wrote:
       | Still not sure about Passkeys. Or biometrics. But agree that
       | their SMS based systems are way outdated. Which is odd because,
       | at least at the Canadian banks, the mobile and web experiences
       | are generally pretty modern and good.
       | 
       | It's almost like the various departments and make these systems
       | don't talk to each other.
        
       | homeonthemtn wrote:
       | I agree with this take _and_ I think implementing passkeys, etc
       | would result in mass confusion for many customers, especially the
       | elderly.
       | 
       | I suspect that's a big reason for slow adoption
        
       | ziofill wrote:
       | I swear this is true: my old bank (Allianz) introduced a two
       | factor authentication where they would show me a code upon login,
       | then I HAD TO CALL THEM, go through a menu and punch in the code.
       | I changed bank a couple months later.
        
       | frenchtoast8 wrote:
       | There are a lot of people who get confused using the SMS code
       | they received, let alone setting up passkeys, or TOTP and backing
       | up their codes, and so on. The systems are designed for those
       | people, not you. Even offering passkeys or TOTP as an option is a
       | customer support liability, that's another thing agents need to
       | support when someone nontechnical inevitably enabled this on
       | accident or has a family member set it up for them.
       | 
       | > Think of the person from your grade school classes who had the
       | most difficulty at everything. The U.S. expects banks to service
       | people much, much less intelligent than them. Some customers do
       | not understand why a $45 charge and a $32 charge would overdraw
       | an account with $70 in it. [...] This customer calls the bank
       | much more frequently than you do.
       | 
       | https://www.bitsaboutmoney.com/archive/seeing-like-a-bank/
        
       | 1a527dd5 wrote:
       | The answer is lack of competition.
       | 
       | Here in the UK, all bank apps were dismal. Until Monzo and
       | Starling arrived on the scene, and holy hell did the big 4 get
       | their acts together.
        
       | exiguus wrote:
       | > The implementation of 3D Secure (3DS) primarily shifts the
       | responsibility of transaction authentication to the customer.
       | This approach is more about addressing legal and liability
       | concerns than it is about enhancing security measures.
       | 
       | Is the answer I got.
        
       | alfiedotwtf wrote:
       | Surely it couldn't be as bad as an unnamed Queensland (Australia)
       | bank that did client side authentication by looking up the
       | username and password if one giant                   if username
       | == "user1" && password == "password1"             return true;
       | else if username == "user2" && password == "password2"
       | return true;         else if ...
       | 
       | Yes, that was real.
        
       | h4ckerle wrote:
       | As a european I again find it crazy what kinds of insecure stuff
       | the banking industry in the US does. Chip+PIN arrived long after
       | they did here, SMS Tan is still a thing while EU Payment Services
       | Directive 2 (PSD2) forbid this in 2018, 7 years ago. Many
       | transactions are still authenticated via signatures on paper
       | cheques, you can use your credit card without a second factor
       | (also regulated by PSD2). I just can't understand why they
       | continue doing this, when I'd assume fixing this would cost less
       | than what fraud must be costing them today.
        
         | buckle8017 wrote:
         | > I'd assume fixing this would cost less than what fraud must
         | be costing them today.
         | 
         | You'd be wrong there but not for obvious reasons.
         | 
         | Ultimately the cost of fraud is passed on to consumers. Banks
         | pass the costs on to merchants, who in turn increase prices.
         | 
         | As a merchant increasing friction in the checkout process to
         | reduce fraud does not improve profitability (broadly speaking).
         | 
         | So no they had no actual financial incentive to even implement
         | chip and pin, that only happened because it was required by
         | law.
        
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