Credit card security code launched by Commonwealth Bank

A new security code system has been launched by the Commonwealth Bank to provide additional protection for online shoppers.

The Commonwealth Bank has launched a new security code which can confirm consumer's online credit card transactions.

NetCode SMS has been introduced to add extra safety for those who like shopping on the internet.

It sends a free SMS to a person's mobile phone verifying a transaction on websites that feature a MasterCard SecureCode or Verified by Visa logo.

John Geurts, executive general manager for group security at the bank - which offers credit cards - said one of the main advantages of the device is that customers do not have to remember individual passwords.

He added: "When customers are making an online purchase they may be asked to verify their purchase using their NetCode SMS or token, just as they do with a new NetBank funds transfer or payment."

This news comes after the organisation updated its Aussie credit transactions system during a downtime on online service Netbank between August 27th and the 29th.

By Nate Sawyer