PayU, a prominent provider of digital financial services in India, has launched an innovative biometric authentication solution for card payments called Flash Pay. This industry-first technology was unveiled at the Global Fintech Festival (GFF) 2024, aiming to enhance the payment experience by increasing transaction success rates while bolstering security measures.
Flash Pay utilises advanced device-based biometric technology, allowing customers to authenticate payments using either fingerprint or facial recognition. Transactions can be completed in under 10 seconds, eliminating the need for traditional OTP-based verification. This development addresses common issues related to OTP delivery delays, manual entry errors, and the potential for fraud linked to OTP sharing.
For merchants, Flash Pay offers a comprehensive solution for card payment authentication across major card networks. Designed as a straightforward plug-and-play system, it facilitates quick and secure biometric payments, aiming to improve customer satisfaction and encourage loyalty. PayU intends to make Flash Pay accessible via SDKs, APIs, and web browser-based transactions, catering to a variety of merchant types.
Banks will also benefit from the seamless integration of Flash Pay with existing Access Control Server (ACS) infrastructures, which are typically employed for SMS OTP authentication. Operating within the established 3D Secure protocols by EMVCo, Flash Pay includes advanced security features such as device binding and jailbreak detection. Furthermore, the solution is supported by a comprehensive fraud risk management (FRM) engine, allowing banks greater control over customer authentication and ensuring robust financial security. It also aligns with the Reserve Bank of India's draft guidelines on Additional Factor Authentication (AFA) and offers the flexibility to revert to SMS OTP when necessary.
Manas Mishra, Chief Product Officer at PayU, stated, “At PayU, we are committed to advancing the digital payments ecosystem with innovative solutions that are secure and user-friendly. We recognise the importance of multi-factor authentication (MFA) in enhancing secure payment solutions while maintaining customer trust. Flash Pay exemplifies our focus on delivering efficient card payment solutions that adapt to the evolving needs of our users.”
Flash Pay was demonstrated at GFF 2024 in collaboration with South Indian Bank, a long-term partner of Wibmo, a PayU company. In addition to facilitating biometric authentication for online card payments, South Indian Bank allows customers to authenticate transactions via the bank’s app using the Swipe-to-Pay feature.
Sony A, Chief Information Officer of South Indian Bank, commented, “We are pleased to partner with PayU to introduce Flash Pay, which enables banks to implement biometric payments for their cards with minimal technical effort. This collaboration aims to provide a secure payment experience for customers and includes piloting the solution for merchant apps during GFF.”
