Which banks do NOT use a card reader for online banking? 1 March 2022 at 2:02PM edited 2 March 2022 at 8:50PM in Budgeting & bank accounts 100 replies 5.4K views

namford

Hi all,

Which banks do you use that do NOT require you to use a card reader to make new online transactions? I'm looking for banks that use text message or phone call confirmations instead of a separate device that I need to have with me. Anything accessible by mobile phone is ideal, such as text, authentication app, phone call etc.

These do not need a card reader [updated to include contributions given below - thank you!]:
Bank of Scotland (no card reader for personal account but needed for business account)
First Direct
TSB
Starling
Halifax (no card reader for personal account but needed for business account)
Lloyds group of banks (no card reader for personal account but needed for business account)
HSBC
Barclays (supply a card reader but you can also use app instead)
M&S
Monzo
Chase
Santander
Co-operative Bank
Smile
Cynergy Bank


And these DO require one:
Nationwide
RBS
Ulster
Whole Natwest group of banks

I'd really appreciate if you can help me flesh out these lists!

Thank you,
Natalie

Tim11111000111

Starling don't need one, and I imagine that's also true of most of the other "challenger/digital" banks.

You don't need one for Halifax/Lloyds either (along with Bank of Scotland all part of Lloyds Banking Group so security approach will be the same).

Emmia

HSBC authenticates via the phone app, barclays similarly.

sheramber

You don’t need one with RBSApp

leonj

None of the banks I use (Monzo, Starling, lloyds, Halifax) have ever needed a card reader, it's a bit inconvenient to have to carry a card reader around with you!  

cx6

Lloyds use text messaging.

Chase uses the app.

4justice2

Santander doesn't use a card reader, uses texts.

SebH

Hi Natalie,

Your list is pretty much it for banks that absolutely require a card reader, although  it might be helpful to broaden the list out to banks that require a secondary authentication device of any type.

Mainstream banks that use card readers are:
- Nationwide
- NatWest / RBS / Ulster Bank and the whole NatWest Group
- Barclays

However, the NatWest Group banks now allow you to use biometric authentication to authorise most actions instead of a card reader, and Barclays allow a version of the card reader integrated into the app so you don’t actually require a card reader if you don’t want to use one.

Co-operative Bank and Smile also used to use card readers, but no longer do.

All the banks in the Lloyds Group don’t use card readers for personal accounts (Lloyds, Halifax & Bank of Scotland) but Bank of Scotland and Lloyds business accounts do use them.

HSBC & First Direct, plus M&S Bank, require Secure Key authentication devices which are like card readers except they don’t use a card; similarly to Barclays you can simply opt to use their app instead with Digital Secure Key.

Virgin Money require actions to be authorised either via their app or using a token device that works like HSBC’s Secure Key.

Cynergy Bank use an authenticator app which verifies actions initiated in online banking, with the same alternative of a token device if you don’t have a smartphone.

All other main banks use SMS authentication.

Brie

Add M&S bank as they have their own mini version that eliminates the need to have your card or your phone when going on line.  Not sure it would work overseas if you needed to check accounts when off on your jollies but I'd ask that about any bank I use.  

Oh & TD work via text as does CIBC.  At least their canadian accounts do.

400ixl

I wouldn't use any bank that is still relying on text messages for their method of authenticating access or payments. It is a very insecure way of doing it.

Most banks now do this through the mobile apps which require authentication (bio-metrics, PIN, Password) to in order to then authenticate the access / purchase.

SebH

Brie said:

Add M&S bank as they have their own mini version that eliminates the need to have your card or your phone when going on line. 

Ah yes, I forgot about them!

They are part of the HSBC Group so have the same options as other HSBC brands.