Don’t move your wallet onto your phone yet
TweetFollow Us on Twitter

Don’t move your wallet onto your phone yet

Mobile banking on Android phones could put consumers at risk of fraud and cost banks millions a year global IT security firm MWR InfoSecurity has warned.

MWR Labs, the research arm of MWR InfoSecurity, investigated the security standards of leading Android mobile phone brands to determine the overall exposure to risk of consumers who use mobile devices phones for online banking. Recent research has shown that Android is now the leading phone platform with over 50% market share, driving the development of mobile banking apps for the Android Environment. Results indicated that on some handsets as many as 64% of manufacturer added applications were exposing users to serious security issues.

"We found that while banking apps were generally well written and had very few security issues, the integrity of consumer phones was often compromised by software provided by the phone manufacturer or additional software added by the network provider, exposing online banking customers to potential fraud," Harry Grobbelaar, MWR’s managing director in South Africa, said. "Some of the leading Android handset manufacturers are already looking at shipping mobile devices with native near-field communication (NFC) payment functionalities but if the software in the phones is not secure, the risk will then be even higher."

More to the point, the increasing number of merchants moving to smartphone based Point of Sale (POS) devices, for example using Bluetooth or directly connected chip-and-pin accessories for iPhone or Android, indicates that mobile phones will become a critical element in the payment chain and if not adequately protected, they could introduce additional risks for card fraud that could cost banks millions a year.

The above findings were illustrated by the ruling on HTC by the Federal Trade Commission in the United States on Feb. 22 that required immediate action by HTC to address security weaknesses in the software developed for its mobile devices that allowed location tracking and the theft of personal information stored on users phones.

The MWR Labs looked at six classes of potential vulnerabilities in apps and packages in the leading brands and mobile phones using a modified version of Mercury, its security testing framework, to automatically scan the devices and identify security weaknesses.

The research discovered security vulnerabilities in software added by phone manufacturers or network providers which could be targeted by a malicious application inadvertently downloaded by the user. These weak apps often have more permissions that allow them to access contacts, make telephone calls and even record the content of those calls, meaning that the potential consequences are serious and sensitive data could be compromised. Other applications were found that allowed further apps to be installed with an arbitrary set of permissions, essentially leaving consumers fully exposed to fraud.

Grobbelaar adds: "The move by consumers away from PCs for online banking to mobile platforms will inevitably be followed by the criminal gangs who have been successfully targeting online banking for years. We have already seen many examples of malicious apps sending premium rate text messages and expect there will be a natural progression to higher value areas such as payments and banking."
MWR InfoSecurity supplies services which support clients in identifying, managing and mitigating their Information Security risks."
 

 

Community Search:
MacTech Search:

Software Updates via MacUpdate

Latest Forum Discussions

See All

Combo Quest (Games)
Combo Quest 1.0 Device: iOS Universal Category: Games Price: $.99, Version: 1.0 (iTunes) Description: Combo Quest is an epic, time tap role-playing adventure. In this unique masterpiece, you are a knight on a heroic quest to retrieve... | Read more »
Hero Emblems (Games)
Hero Emblems 1.0 Device: iOS Universal Category: Games Price: $2.99, Version: 1.0 (iTunes) Description: ** 25% OFF for a limited time to celebrate the release ** ** Note for iPhone 6 user: If it doesn't run fullscreen on your device... | Read more »
Puzzle Blitz (Games)
Puzzle Blitz 1.0 Device: iOS Universal Category: Games Price: $1.99, Version: 1.0 (iTunes) Description: Puzzle Blitz is a frantic puzzle solving race against the clock! Solve as many puzzles as you can, before time runs out! You have... | Read more »
Sky Patrol (Games)
Sky Patrol 1.0.1 Device: iOS Universal Category: Games Price: $1.99, Version: 1.0.1 (iTunes) Description: 'Strategic Twist On The Classic Shooter Genre' - Indie Game Mag... | Read more »
The Princess Bride - The Official Game...
The Princess Bride - The Official Game 1.1 Device: iOS Universal Category: Games Price: $3.99, Version: 1.1 (iTunes) Description: An epic game based on the beloved classic movie? Inconceivable! Play the world of The Princess Bride... | Read more »
Frozen Synapse (Games)
Frozen Synapse 1.0 Device: iOS iPhone Category: Games Price: $2.99, Version: 1.0 (iTunes) Description: Frozen Synapse is a multi-award-winning tactical game. (Full cross-play with desktop and tablet versions) 9/10 Edge 9/10 Eurogamer... | Read more »
Space Marshals (Games)
Space Marshals 1.0.1 Device: iOS Universal Category: Games Price: $4.99, Version: 1.0.1 (iTunes) Description: ### IMPORTANT ### Please note that iPhone 4 is not supported. Space Marshals is a Sci-fi Wild West adventure taking place... | Read more »
Battle Slimes (Games)
Battle Slimes 1.0 Device: iOS Universal Category: Games Price: $1.99, Version: 1.0 (iTunes) Description: BATTLE SLIMES is a fun local multiplayer game. Control speedy & bouncy slime blobs as you compete with friends and family.... | Read more »
Spectrum - 3D Avenue (Games)
Spectrum - 3D Avenue 1.0 Device: iOS Universal Category: Games Price: $2.99, Version: 1.0 (iTunes) Description: "Spectrum is a pretty cool take on twitchy/reaction-based gameplay with enough complexity and style to stand out from the... | Read more »
Drop Wizard (Games)
Drop Wizard 1.0 Device: iOS Universal Category: Games Price: $1.99, Version: 1.0 (iTunes) Description: Bring back the joy of arcade games! Drop Wizard is an action arcade game where you play as Teo, a wizard on a quest to save his... | Read more »

Price Scanner via MacPrices.net

Apple’s M4 Mac minis on sale for record-low p...
B&H Photo has M4 and M4 Pro Mac minis in stock and on sale right now for up to $150 off Apple’s MSRP, each including free 1-2 day shipping to most US addresses. Prices start at only $469: – M4... Read more
Deal Alert! Mac Studio with M4 Max CPU on sal...
B&H Photo has the standard-configuration Mac Studio model with Apple’s M4 Max CPU in stock today and on sale for $300 off MSRP, now $1699 (10-Core CPU and 32GB RAM/512GB SSD). B&H also... Read more

Jobs Board

All contents are Copyright 1984-2011 by Xplain Corporation. All rights reserved. Theme designed by Icreon.