TelstraSuper has announced a faster and more secure way for members to complete their online transactions by leveraging an open banking service to validate member bank account information.
It will allow members to complete certain transactions online, replacing the need for hard copy bank statements and other documents necessary to validate their bank account.
These were previously used to verify member details as a cyber security measure, according to the $24 billion fund.
It said the open banking service can be used as part of performing select transactions online, requiring them to authorise the service with their bank and give permission for them to securely share their financial data with the fund via a third-party provider.
“Against the backdrop of increasing cyber fraud in our community, TelstraSuper has always taken great care to verify member details before completing online transactions, such as direct debit and withdrawals,” said Karen Symes, TelstraSuper chief technology and operations officer.
“However, this has previously required members to send through hard copy, and sometimes even certified documents.
“Open banking removes this time-consuming step, providing a more secure and seamless online member experience.”
Symes forecast strong uptake of the service from the fund’s “very tech-savvy” member base.
Last year, the importance of appropriate data collection and storage by superannuation funds was thrust to the forefront, with recent findings that three-quarters of Australians view data breaches as one of the biggest privacy risks today.
Less than half of Australians trust organisations to only collect the information they need, use and share information as they say they will, store information securely, give individuals access to their information, and delete information when no longer needed, according to a survey by the Office of the Australian Information Commissioner in August 2023.
The 2023 Australian Community Attitudes to Privacy Survey, which had over 1,900 respondents, tested attitudes on topics such as data practices, privacy legislation, data breaches, biometrics, artificial intelligence, and children’s privacy.
It found most Australians place a high level of importance on their privacy when choosing a product or service, with 70 per cent saying it is extremely or very important and another 26 per cent stating it is quite important.
