Smart-ID+ requires users to initiate the authentication process themselves and scan a QR code displayed on screen through their Smart-ID app.

Bigbank became the first bank in Estonia to launch the system on Thursday, with LHV set to follow next Tuesday.

Sandra Horma, head of financial crime prevention at LHV, said banks have been preparing the transition for some time.

"We found the time was right," Horma said. "We've completed our checks and are sure we can now offer our customers significantly more secure service."

Under the previous system, users logged in with their username or personal ID code. Smart-ID+ instead displays a QR code that must be scanned through the app, requiring users to initiate authentication themselves.

According to SK ID Solutions board member Liisa Luukin, the change has effectively eliminated a common tactic in which scammers trick users into approving logins during a phone call.

"Those attacks are now over," Luukin said.

Both Swedbank and SEB said they plan to introduce Smart-ID+ later this year.

SEB fraud prevention chief Heigo Tark said development work is already underway.

"Our goal is to implement it as soon as possible," Tark said. "We currently expect to have it in place within this year."

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