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Print 12 comment(s) - last by vwgtiron.. on Oct 13 at 11:39 AM
Mobile phones are still relatively safe, but a looming threat exists

The rise in popularity of smartphones and data plans has also increased the usage of mobile banking and bill payments.  Despite its overall ease of use, there is the growing possibility hackers and organized criminals will begin to target mobile users, attempting to gain access to bank account login and other information.

PayPal mobile threats still aren't as serious as PC threats at the moment due to the sheer number of mobile operating systems available to consumers.

"The variety and complexity that's involved makes it very difficult to formulate a large-scale attack that's likely to return a whole lot," according to Andrew Nash, PayPal director of identity services.

In the future, there certainly is a risk of security issues related to phone banking use, some analysts say, as criminals will follow the latest trends of users.  It should be a few years before criminals really begin to target mobile banking.  Until then, the biggest threat of compromise is when a phone owner loses or has their phone stolen.

"We're not looking at a six- to 12-month time frame, we're looking out four to five years," Nash said when discussing future security plans.  "If you're too far ahead of the curve, the cost of actually implementing this  doesn't correspond to what the bad guys are trying to do."

Smartphones are expected to total 180M shipped in 2009, accounting for 17% of the current handset market.


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Mobile Banking
By InternetGeek on 10/12/2009 10:26:54 PM , Rating: 2
I understand the idea of mobile banking. But I never use it and don't think I will ever use it at all. It's just asking for trouble.

All your info is in your cell phone and they just want you to wave it to pay. Yes, that is very convenient, but if your info is taken away you have yourself to blame. Not sure why paypal mobile hacking is even an issue.




RE: Mobile Banking
By MadMan007 on 10/12/2009 11:59:02 PM , Rating: 2
Yeah even CC 'wave paying' bothers me a little, maybe because it's RFID based afaik and that's not exactly secure.

Besides which, really, are people that hyper-ized gogogo can't take an extra 15 seconds to do stuff so much all the time? Sometimes I think 'convenience' is just a way for companies to come up with new answers to questions no one really asked.


RE: Mobile Banking
By Alexstarfire on 10/13/2009 12:56:03 AM , Rating: 1
I think we call that innovation. Though if you believe what you say then I guess the car was a bad idea. It's mere convenience after all.

Japanese people use their cell phones for just about everything. It's something I'm sure we could use in the downtown metros but not such else. It's far easier to use your cell phone to purchase stuff from vending machines, buy bus/train/subway tickets, to check out books from the library, and much more than it would be to have all the individual items. I do agree that it needs to be more secure than basic RFID though.


RE: Mobile Banking
By InternetGeek on 10/13/2009 1:32:22 AM , Rating: 2
Yeah, I think my major concern is security of my info given that the way this is being pushed is that the moment you wave the money is transferred away. Very few points of failure... and confirmation.

If for example the payments system connected with you through a different medium so you can confirm the operation, then I would use it. IE: You place an order for a bus ticket, but then you have to confirm that you actually have to buy it in a screen or form provided by your phone operator. 2 checkpoints = increased security.


RE: Mobile Banking
By tmouse on 10/13/2009 7:59:38 AM , Rating: 3
That is possibly one of the worse analogies I have seen in a long time. There is a big difference in walking somewhere vs driving and the few seconds one saves with a wave card. Comparing the Japanese to any western culture (and especially the US) is totally useless. They are a very homogenous culture with deeply ingrained social expectations besides their western embracing appearance. As a example disgraced politicians are more likely to disappear or commit suicide there, here they become political analysts and corporate board members.


RE: Mobile Banking
By omnicronx on 10/13/2009 8:21:12 AM , Rating: 2
You really have a false sense of security if you think any payment method aside from cash is secure.

I've had my debit card canceled 3 times in the last 2 years because of possible misconduct, and this is even when I clearly hide my pin number as I enter it. Worst part is, I am very careful, I always watch the teller to make sure he/she does not do anything funny.

The way I see it, anyone can take a camera and copy credit card numbers or imprint your debit card to get a copy, the same cannot be said about other methods of payment.

At least with an RFID it takes someone with a little skills to pull the deed off..


PayPal is a threat...
By Motoman on 10/12/2009 7:54:56 PM , Rating: 3
...no matter what platform it's on.




RE: PayPal is a threat...
By Alexstarfire on 10/12/2009 9:54:31 PM , Rating: 5
eBay and Paypal have long since passed their prime.


RE: PayPal is a threat...
By MadMan007 on 10/12/2009 11:57:10 PM , Rating: 2
This deserves a 6.


I'm safe
By lagitup on 10/12/2009 7:18:45 PM , Rating: 1
My cell phone service through skynet is guaranteed secure!




RE: I'm safe
By DarkElfa on 10/13/2009 9:43:04 AM , Rating: 3
Perhaps it is but dealing with PayPal is never safe.


Paypal is horrible
By vwgtiron on 10/13/2009 11:39:00 AM , Rating: 2
I bank online daily through my cell phone over the web. Mainly just billpay and transfers. I would notice activity in my account because I am in the account on a daily basis. I have been doing this on a Windows smartphone (various HTC)for over 4 years now.
That is how I noticed one day that Paypal had helped themselves to 1500 dollars for a charge. After fighting with BOA and explaining the situation to everyone at the bank who would listen; they explained to me that Paypal is not a financial institution and that by connecting my account to Paypal I had effectively granted them access to my account, just like adding a spouse.
I called Paypal (yes they have a number, it is hard to find) talked with them and they never returned the money. After 6 months I tried to cancel my ebay and paypal accounts. However they said I owed a service charge now and would not close the accounts. Needless to say I no longer have the BOA account and no longer do business with Paypal or Ebay.And the accounts are now not closed but deactivated for non payment LOL. You have been warned.
I do understand that there are two sides to every story and I am sure Paypal has one they just never offered it to me or BOA. BOA did confirm for me that this was not the first time this had happened-that week. And had experienced similar stories many times.




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