New payment apps tap into bank accounts
Online payments companies, such as POLi and Acorns use customer access codes for bank accounts to execute transactions. While most Australian banks, including NAB, ANZ, Commonwealth and Westpac allow this but the banks have begun to warn about security and are advising clients not to share account passwords with third parties.
Most banks guarantee to compensate customers’ accounts if funds are stolen from their online accounts but it is not clear whether banks are prepared to extend such guarantees to cases where funds were stolen from accounts linked to third-party services.
Source: The New Daily