A New Model for Enhancing ATM Security in Nigeria Using Second Level Authentication Process

Abstract

There are certain standards that must be met by banks in order to ensure the safety and security of their banking environments. The security measures been put in place by banks are of huge importance because they often prevent the incidence of fraud on customers and banks alike. However, on certain occasions these security measures could be awkward, thereby causing inconveniences and dissatisfaction to the customers. A recent directive was issued by the Central Bank of Nigeria (CBN) directing all banks to destroy trapped ATM cards by perforation before forwarding the cards to the issuers. This study focuses on the problem of confiscated Automated Teller Machine (ATM) cards in the Nigerian banking industry, with intent to reduce the incidence of trapped ATM debit cards. The second level authentication technique was adopted for the proposed system which was used to authenticate the user to the bank system in an incidence where an incorrect Personal Identification Number (PIN) has been entered trice. The proposed system was built on the existing system and it was able to reduce the number of incidents in which ATM cards were confiscated.