Multifactor authentication solutions are gaining rapid acceptance since this solutions can be used in wide variety of applications. This application range includes banking, travel, and security and so on. Above mention applications are the most common application areas where MFA is been used. In addition to this in coming future MFA is expected to be used widely in payment systems and online gaming consoles.

MFA is now became part of our life, it is used in ATM’s, smart cards and also in home security now days! One of the prominent advantages of MFA is its ease of use. MFA can be define as a, it is something that we have (smart card/ ID cards) and something which we know (password/ PIN). As the use of computers became pervasive, people increasingly depend on computers to do business through the Internet. Internet has turned out to be an ideal source for multitude of e-commerce and e-banking. Companies providing Internet-based products and services are adopting multifactor authentication for identification of customers. The single-factor authentication methods such as “password-enable authentication process “are not considered to be secure as they can be captured by the public computer and later reused by a hostile party.

Today MFA’s impact on e-commerce website, tele-transfer, and cross-country transfers is low this mainly due to the fact that people are hesitate to use online payment system because of the security concern. But in coming five to seven years because of rapid technological advancement, and increase in user comfort and reliability Multifactor authentication market for payment system is about to shoot.

Out of band authentication will play crucial role in the growth of MFA systems. Out of band (OOBA) authenticate user with the help of two different networks. This can be one time password reception or a real time phone communication which required human interaction. Because of OOBA payment systems will be more secure as fraudulent user can gains all security credentials but he/she cannot complete transaction without access to second network.

Thus with the proper authentication methods and algorithms in place, MFA will be the game changer for next generation payment systems.