Telstra launches bank-verified identity checks in store

ConnectID has launched across Telstra's retail network, allowing customers to verify their identity in-store through their bank.

Customers signing up for mobile or internet services at Telstra stores can choose the digital identity option instead of presenting physical documents. The system asks them to confirm their identity through an organisation that already holds verified information about them, such as their bank, then sends basic details, including name and date of birth, to Telstra with the customer's consent.

Identity checks are required when customers open mobile accounts, both to confirm the account is being created in the correct name and to meet regulatory obligations. The change brings a bank-linked digital identity process into a high-volume retail setting where staff have often relied on passports, driving licences and other documents presented in person.

Rick Iversen, Head of ConnectID, said the change addresses a long-standing issue in identity verification.

"Verifying your identity often means sharing copies of passports or driver licenses, which means your personal information can end up being stored in more places than it needs to be, as well as being inconvenient, particularly in-store," said Rick Iversen, Head of ConnectID.

"ConnectID allows people to confirm key details using organisations that already know who they are, such as their bank, without repeatedly sharing sensitive documents," Iversen said.

How it works

During an in-store sign-up, customers choose ConnectID and are then prompted to approve the request through a participating organisation. Once consent is given, the verified details are passed directly to Telstra without sharing document images or bank account information.

The exchange can be completed in seconds through a banking app or another familiar customer channel. ConnectID acts as the network provider between the two parties and does not see or store the identity data involved in the transaction.

The broader case for digital identity tools is that they can reduce the number of organisations holding copies of personal documents. That has become a growing concern for businesses and consumers after a series of high-profile data breaches in Australia increased scrutiny of how identity information is collected, stored and reused.

Telstra said the bank-verified approach may also help counter fraud and scams at the point of sale. Reusing data already verified by a trusted institution is intended to make it harder to open accounts using stolen or falsified documents.

James Wu, Head of Identity & Fraud at Telstra, outlined the company's rationale for introducing the service in stores.

"We're always looking for ways to help make identity verification simpler and more seamless for customers, particularly when in store," said James Wu, Head of Identity & Fraud at Telstra.

"Using trusted, bank-verified credentials through ConnectID helps streamline the sign-up experience and helps us better protect customers from fraud and scams," Wu said.

Bank support

ConnectID is an initiative of Australian Payments Plus, which operates several domestic payments systems and brands, including eftpos, BPAY, Osko, PayID, PayTo and the New Payments Platform. The identity service is already live with CommBank, NAB, ANZ and Westpac, giving it access to a large section of the retail banking market.

The service has also been used in other settings where verified identity checks are needed, including library membership, rental applications and age-restricted purchases. Its introduction to Telstra's retail network marks a significant consumer-facing deployment, given the volume of sign-ups processed through stores nationwide.

ConnectID said it was the first non-government identity exchange to receive Australian Government accreditation. That places it within Australia's developing digital identity framework, where public- and private-sector providers are trying to reduce reliance on paper and plastic credentials while limiting the amount of personal information shared between organisations.

For Telstra, the rollout reflects a wider industry effort to move account opening and verification further into digital channels, even when the transaction begins in person. For ConnectID, the agreement adds a major retail distribution point for a model that relies on banks and other trusted institutions confirming only the minimum data needed for a transaction.

Customers who use the service do not need to provide copies of passports or driving licences at sign-up, and Telstra does not receive any documents or bank account details.