Android malware targets Australia banking apps

Millions of Australian bank customers who use Android devices could be at risk from a malware virus that steal account details.

Commonwealth Bank, Westpac, National Australia Bank and ANZ Bank customers are all targeted by the malware which hides on infected devices waiting until the user accesses their banking apps.

The malware then provides a fake login screen in order to capture usernames and passwords, the Sydney Morning Herald reports.

The virus was designed to copy 20 mobile banking apps from Australia, New Zealand and Turkey, as well as targeting Paypal, eBay, Skype, WhatsApp and several Google services.

In addition to stealing login details, the malware can intercept two-factor authentication codes sent to the phone via SMS, forwarding the code to hackers while avoiding the phone owners knowledge.

With this information, thieves are able to access victims' online bank account and transfer money from anywhere around the world.

ESET senior research fellow Nick FitzGerald told the paper malware attacks have evolved over time, becoming increasingly sophisticated as hackers try to keep ahead of security countermeasures.

"This is a significant attack on the banking sector in Australia and New Zealand, and shouldn't be taken lightly," FitzGerald said.

"While 20 banking apps have been targeted so far, there's a high possibility the e-criminals involved will further develop this malware to attack more banking apps in the future."