Home Money What are passcodes… and are they really better than passwords for keeping your money safe online?

What are passcodes… and are they really better than passwords for keeping your money safe online?

0 comment
Belt and braces: Two-factor authentication created to make passwords more secure

Security experts warn that passwords are “no longer fit for purpose”, and that passcodes will be the future of keeping your money and personal data safe online.

In 2024, having a strong password is like riding a bicycle. Almost everyone knows what they should do to protect themselves online.

The problem is that human nature wins too often. Why bother with ‘X*a$86&f’, when ‘password’ is much easier to remember?

Worryingly, but not surprising, the most used password is ‘123456’, according to password management company NordPass.

The basic tip on how to create an uncrackable password is to opt for a random flow of numbers, upper and lower case letters and symbols, making them difficult to remember.

Belt and braces: Two-factor authentication created to make passwords more secure

Remembering passwords has become easier thanks to the advent of password managers, software that stores all your login information in one secure place.

But despite this, many still want a better solution as their lives are still plagued with having to reset passwords on a regular basis.

Fortunately, there is a solution that is gaining popularity. Passwords offer an alternative login method that cannot be compromised as easily.

What is an access key?

Passwords are unique identifiers generated by a user’s device, such as a mobile phone, and linked to the website or app they want to log into.

They can allow you to log into an account by simply unlocking your phone, which has access to the passkey credential. According to proponents of the technology, they cannot be leaked, guessed, or stolen.

Using fingerprint scanning or facial recognition is what verifies that you are in possession of your device and allows you to use the passcode.

You don’t have to remember anything to use a passcode, and because it’s completely unique, it can only be used for one account.

The invention of passcodes seeks to address problems with passwords that have led to decades of data breaches.

“Passwords are no longer fit for purpose – they are easily hacked and place too much responsibility on the end user,” said Simon McNally, a cybersecurity expert at security and defense firm Thales.

‘Our recent research found that 64 percent of customers are frustrated with cumbersome password resets and, with human error still the leading cause of data breaches, this should also be a top concern for businesses. companies.

“Advances in AI and quantum computing, which will highlight how and what data is used, only make this a pressing need.”

The idea, according to Google, is that passcodes will replace the need to remember long and complex passwords, as well as eliminating the need for “sticky” developments such as two-factor authentication, security questions and SMS verification messages.

I think I'll pass: Simon McNally says passwords are no longer fit for use

I think I’ll pass: Simon McNally says passwords are no longer fit for use

In 2022, Google, Microsoft, and Apple jointly endorsed a new login standard, aiming for a “passwordless future.”

More recently, passcodes have been adopted by companies such as PayPal, Ebay, Amazon and Shopify.

Passcodes not only eliminate the need for long and complex passwords, but also provide greater protection against scammers, hackers, and data breaches.

McNally said: ‘Using cryptographic techniques, access keys are harder to crack, making them much more secure. They are also automatically generated and can be stored securely on devices, making it easier for the consumer and eliminating the need to create long, complex passwords or phrases.

“Finally, passkeys enable greater privacy by providing authentication without handing over sensitive information, reducing the risk of data breaches.”

How widespread are access codes?

Currently, passcodes are still in their infancy, at least relative to passwords. But what is most likely is that an increasing number of online platforms will adopt the technology, taking full advantage of its cybersecurity benefits.

Matt Cooke, cybersecurity strategist at Proofpoint, said: “More recently, the use of passcodes has become more secure than passwords, eliminating the need to set unique, strong passwords and the hassle of remembering multiple credentials for different online accounts.

money item html_snippet module" data-channel-color="money"> 1707393328 462 Home insurance prices up 13 in a year heres

‘However, the adoption of passcodes will not happen overnight. The more sites that use them, the better (and safer!) things will be for all of us, but the devices we use to access them also need to start talking to each other to truly find a universal solution for everyone.’

Passwords typically rely on biometric data to confirm that the correct user is accessing an account. Because of this, devices that do not have access to fingerprint scanners or facial recognition cannot support this technology.

Despite this, more and more mobile devices have this technology and legacy devices will gradually become out of use. In the meantime, there is still a long way to go before passcodes are widely used, much less the only option available.

Unfortunately, there are many companies that have not yet adopted passcode technology. However, for those who do, it’s pretty easy to switch to this login method.

Simon McNally recommends checking your accounts with companies to see if passcodes are supported, although your devices may also have options to create a passcode.

Looking for this in your device settings will allow you to see if your device is compatible.

Some links in this article may be affiliate links. If you click on them, we may earn a small commission. That helps us fund This Is Money and keep it free to use. We do not write articles to promote products. We do not allow any commercial relationship to affect our editorial independence.

You may also like