Auckland (The NZ Today)
Westpac New Zealand has become the first bank in the country approved to issue digital identification credentials, allowing businesses to verify information online through a more secure digital process.
The accreditation was granted under the Government’s Digital Identity Services Trust Framework, making Westpac the first bank and the third organisation in New Zealand to reach this stage.
The bank said its business customers will soon be able to create digital IDs that can be shared with customers and other third parties, reducing reliance on traditional document sharing.
Westpac NZ chief data, digital and AI officer Russell Jones told RNZ that the system would help businesses avoid processes such as downloading bank statements, manually removing sensitive information and sending documents through less secure channels.
He said digital ID would give people greater control over how they share personal information while helping reduce risks linked to fraud and scams.
Under the new system, a Westpac business customer could provide verified account details to another person digitally. For example, a car buyer purchasing from a dealership could confirm the seller’s bank account information through a digital credential rather than relying on manually provided documents.
The credential would be generated through a digital wallet, verified through Westpac’s systems and available for a limited period.
Westpac said the technology could eventually expand beyond banking, with potential uses including digital versions of identity documents, age verification at retail checkouts, accessing government services and simplifying online logins.
Jones said digital identity could reduce the need for people to maintain multiple accounts and passwords across different organisations by allowing trusted credentials to be used across services.
He said wider adoption would require cooperation between banks, businesses, telecommunications providers, hospitality operators and government agencies.
Westpac plans to extend digital ID capabilities to retail customers in the future as the technology develops.
The bank said the rollout aims to provide customers with more convenience while maintaining security and control over personal information.
Source: Westpac New Zealand announcement; Digital Identity Services Trust Framework information and RNZ.
