cancel
Showing results for 
Search instead for 
Did you mean: 

Banks Using Mobile App Location Services

Highlighted
Valued Contributor

Banks Using Mobile App Location Services

More cards are using your phone location as added security. They assume if your phone is in a general location of a store, or out of state, and a large transaction is processed near that location, then its probably the cardholder. I recently charged about 2K total at 2 locations within 20 min of each other, no issues, no phone calls or security warning texts.

Scores, HPs/24 mos. (updated 10/09/20):
    Experian FICO Score 8 = 825, 1/24
    Experian FICO Score 9 = 813, 1/24
   TransUnion = 815, 1/24
    Equifax = 819, 0/24

Total 2019 rewards, incl. offers/deals = $1,709.07
Avg. rewards rate, incl. offers/deals = 3.92%

Total CL: $247,000

Cards (hover over for CL | interest rate | Date Opened):
Message 1 of 21
20 REPLIES 20
Highlighted
Mega Contributor

Re: Banks Using Mobile App Location Services


@CardNut wrote:
More cards are using your phone location as added security. They assume if your phone is in a general location of a store, or out of state, and a large transaction is processed near that location, then its probably the cardholder. I recently charged about 2K total at 2 locations within 20 min of each other, no issues, no phone calls or security warning texts.

What do you mean here.   How are issuers tracking phone location?   When you use a mobile payment app such as Apple/Samsung/Google Pay (in which case the security is there in other ways)?   Pretty sure if I just use a physical credit card, the issuer isn't aware of my phone location unless I want them to be by logging in to their app/site.

Message 2 of 21
Highlighted
Valued Contributor

Re: Banks Using Mobile App Location Services


@longtimelurker wrote:

@CardNut wrote:
More cards are using your phone location as added security. They assume if your phone is in a general location of a store, or out of state, and a large transaction is processed near that location, then its probably the cardholder. I recently charged about 2K total at 2 locations within 20 min of each other, no issues, no phone calls or security warning texts.

What do you mean here.   How are issuers tracking phone location?   When you use a mobile payment app such as Apple/Samsung/Google Pay (in which case the security is there in other ways)?   Pretty sure if I just use a physical credit card, the issuer isn't aware of my phone location unless I want them to be by logging in to their app/site.


It's by the banking app, if you install it and use it.  I was asked by Bank of America app if I wanted to enable location services to improve card security and decrease change of fraud declines due to travel.  Since I do travel for business, it seemed like an appropriate purpose so I enabled it even though I am privacy-aware and skeptical of those kinds of things.  I have heard that a lot of retail store apps are doing the same thing to the extent that they know where you are in the store and if you're lingering in a certain section.  Kinda creepy to me to take it that far.  Big Brother is watching you. 



Updated 10/08/2020
Total Length of Credit = 35+ years; AoOA (Currently open accounts) = 27+ years;
AAoA = 8+ years; AoYA = less than 1 year (Aug 2020)
Total Open Credit Lines Over $538K. Utilization Less Than 1%.
Inquiries until Nov 2020 (TU:3 -- EQ:4 -- EX:9)
New Accounts: 3/6 months; 8/12 months; 12/24 months (as of 10/15/20)
*Hover cursor over each card to see name & CL, or press & hold on mobile app.
Message 3 of 21
Highlighted
Valued Contributor

Re: Banks Using Mobile App Location Services

The card app runs in the background and sends back your location. A card app can have a background process running regardless if the phone app is running or not. For instance, with CO you can no longer set travel notifications and is no longer needed. They verify using your phone as long as the app is installed.

Scores, HPs/24 mos. (updated 10/09/20):
    Experian FICO Score 8 = 825, 1/24
    Experian FICO Score 9 = 813, 1/24
   TransUnion = 815, 1/24
    Equifax = 819, 0/24

Total 2019 rewards, incl. offers/deals = $1,709.07
Avg. rewards rate, incl. offers/deals = 3.92%

Total CL: $247,000

Cards (hover over for CL | interest rate | Date Opened):
Message 4 of 21
Highlighted
Valued Contributor

Re: Banks Using Mobile App Location Services

Yes, BoA is the newest on the block to use it. I enabled it as well. I've used CO in Puerto Rico a couple months ago without travel notifications and had no problem making 3 transactions under $100 each within an hour.

Scores, HPs/24 mos. (updated 10/09/20):
    Experian FICO Score 8 = 825, 1/24
    Experian FICO Score 9 = 813, 1/24
   TransUnion = 815, 1/24
    Equifax = 819, 0/24

Total 2019 rewards, incl. offers/deals = $1,709.07
Avg. rewards rate, incl. offers/deals = 3.92%

Total CL: $247,000

Cards (hover over for CL | interest rate | Date Opened):
Message 5 of 21
Highlighted
Valued Contributor

Re: Banks Using Mobile App Location Services

I dont even turn my phone on in foreign countries and Amex has no travel notifications and they have never turned down a charge.

More cards than I can mention in a signature.
Message 6 of 21
Highlighted
Super Contributor

Re: Banks Using Mobile App Location Services

I kinda doubt there is a sophisticated link between the phone apps, and approval for charges on the card. I checked and nearly all my bank apps are set to only track location while the app is open. The exception Diners, however Diners seems to be most used for airline lounge locator, and I just now opened it to even look at it. Most of the Location data is used in a marketing sense.

Chase has caught some fraud years ago, based on location, but that is after the small charge started through approval and likely has more to do with the fraudsters pattern.

I have also, on rare occasion, gotten a text from one of my banks “is this charge yours?” as I was making some charges on one day. Simple reply “yes it is me” and all was well. But that’s not the phone confirming, that’s me via text.

High Bal Jan 2009 $116k on $146k limits 80% Util.
Oct 2014 $46k on $127k 36% util EQ 722 TU 727 EX 727
April 2018 $18k on $344k 5% util EQ 806 TU 810 EX 812
Jan 2019 $7.6k on $360k EQ 832 TU 839 EX 831
Message 7 of 21
Highlighted
Valued Contributor

Re: Banks Using Mobile App Location Services

There is no link for approval, I'm saying that once a charge comes through, it can check your phone to see if you are in the vicinity of the merchant. If so, no security verification is needed. If your phone is at home, then a security verification may trigger.

Keep in mind that when you install a phone app, you may be installing more than one app, and other ancillary app(s) installed may not have a user interface, and run in the background without your knowledge.

Scores, HPs/24 mos. (updated 10/09/20):
    Experian FICO Score 8 = 825, 1/24
    Experian FICO Score 9 = 813, 1/24
   TransUnion = 815, 1/24
    Equifax = 819, 0/24

Total 2019 rewards, incl. offers/deals = $1,709.07
Avg. rewards rate, incl. offers/deals = 3.92%

Total CL: $247,000

Cards (hover over for CL | interest rate | Date Opened):
Message 8 of 21
Highlighted
Moderator

Re: Banks Using Mobile App Location Services

I've moved the discussion on banks using location services to a new thread.

 

--UB

Message 9 of 21
Highlighted
Moderator

Re: Banks Using Mobile App Location Services

US Bank is now using location data from the mobile app for transaction-level approval decisions as well:  https://www.usbank.com/newsroom/news/us-bank-adds-opt-in-location-services-to-mobile-app.html

 

I can see why some might have privacy concerns, but I don't mind it.  If I wanted absolute privacy I would leave the phone at home anyway.

Message 10 of 21
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.