Nothing phishy about HSBC's online business banking

Phishing usually takes the form of a forged email from a bank requesting that a customer visits a false web site, set up just like a bank's official site, and enters their account details and password information.

Damaged credibility

IDC Middle East, cited recently in Gulf News, estimated that banks in the Gulf region spent $18.7m last year cranking up their IT security technology.

Cyber crime can hurt banks badly as it erodes customers' confidence in using the online facility and can also damage the perceived credibility of a financial institution - a key criterion for SMEs looking to open a new account.

The HSBC enjoys a healthy number of its customers choosing to use its banking facilities and, for business users, its new security token system provides welcome extra protection. For SME customers, in particular, being the victim of cyber crime can be a devastating blow, perhaps more so than for larger organisations that can absorb major crises more easily: the HSBC's innovative security procedures offer reassurance.

Security tokens

The introduction of the battery powered security token system means that Internet banking for business customers have a form of two-factor authentication to access their accounts. Two-factor authentication is considered by the industry to be a stronger means of authenticating customers because it relies on something only the customer knows, and something only the customer has.

New business customers simply need to visit their nearest branch and they will be given a security token for a nominal fee, once they have registered for online banking. Activation is easy and involves entering the ten digit security code on the back of the token, as well as a six digit security code which is accessed by pressing a small grey button on the token: the code appears on the LCD display.

Logging on is then smooth and straightforward, as the customer just enters the security code, after again pressing the grey button on the token, and the Internet banking facility is a click away. The token is small, light and portable meaning that a customer can just as easily access their account details at home, at the office or on a business trip.

The protection provided by the token system enables business customers to gain an extra level of defence against threats such as fraudulent web sites, spyware and malicious Trojan Horse programs.

Care and caution

The main point any SME business should consider when contemplating using online services from banks is that financial institutions never ask for account information via email. If an email arrives asking for such details then the chances are it could be a scam and customers should, firstly, not divulge any information and, secondly, inform their bank immediately.