AT&T (NYSE:T) has launched a system meant to help companies detect fraud on mobile transactions taking place on its network. The company says banks can incorporate the authentication feature in their mobile banking apps.

The new application programming interface toolkit, announced Tuesday, is intended to make mobile transactions safer for AT&T customers.

When an AT&T mobile subscriber uses their mobile device to transact business with a merchant that is using the toolkit, the service automatically performs a fraud avoidance query to confirm that the device being used by the subscriber is authenticated to AT&T's mobile network. If confirmed, the mobile user can opt-in to a feature that allows automatic population of electronic forms with basic information such as name, address, phone number and email address. This feature is meant to simplify the registration process and reduce drop-off rates for new customers.

The API also lets the mobile user set up his or her basic data to automatically populate electronic forms and more quickly process a transaction or authenticate a device, AT&T said. The new tools are available through AT&T's Enterprise API program.

"As consumers use their mobile devices for more and more aspects of daily life, including online banking and m-commerce, they want assurances that these services are as secure as possible," said Laura Merling, an AT&T vice president, in the news release.