Security is a top of mind issue, and not just in the payments industry. Within the payments industry, new payment methods in particular must come under particular scrutiny as they represent new openings for attack. In this post from PC World, the author points out a potential weakness in Google’s approach that includes the entry of a PIN number to unlock the Google Wallet app.
Our history with PINs is checkered as so often we choose something really easy to remember, like four 1s in a row. That software interface is a potential target for hackers attempting to access the payment information.
Still, compared to the current methods, this is an improvement. You don’t have to enter a PIN to use a contactless or magstripe credit card at the drugstore. The card number itself is stored in the secure element on the handset, safely encrypted.
So, one cure might be to assign PIN numbers, a step many financial institutions have taken.
For smartphone owners, you’ll definitely want to keep one number handy. The one that locks, or bricks, your phone if it’s lost or stolen.
