Interesting stuff guys,
The reason I know that the banks have a photograph of us all on file without our knowledge was because I'd read an article a few years back about an American couple who were going out for a meal with friends.
The woman suddenly remembered that she had forgotten to get cash for the meal, since she was running late she asked her husband if he would get the money for her from a cash machine at her bank around the corner from where they lived.
She gave him her card, and of course made sure he knew the code. Off he went to the cash machine, he quickly inserted the card, entered the code and selected the amount he wanted to withdraw.
The machine promptly displayed an error message & gobbled up the card explaing that he'd need to come into the bank to reclaim the card. He returned home, told his wife what had happened. They borrowed some money from a friend and went out on their night out.
The following morning the husband and wife went to the bank, and explained to a member of staff what had happened.
"Ah yes, somebody tried to use your card at about 7:00pm."
"But it wasn't you Mrs Smith"
"Yes, it was my husband, I gave him my card because I was late getting ready for a meal out"
"Ah, I see, you shouldn't give someone else your card to use"
"How did it know it wasn't me?"
"The camera will have picked up that it wasn't you Mrs Smith"
"Oh okay", said the woman in amazement.
The card was reset, and off they went.
On the way home, as they were walking about what had just happened at the bank, the husband says "How did the camera know that it wasn't you? It's not like there's somebody sat at the bank watching the camera, who can see that You're not using your card, but I am? I don't get it?"
"I don't know, I suppose it must be using some sort of face recognition software, think I've read about that before"
"Yes, but have you ever given the bank a photograph of yourself"
"No, neither have I"
Obviously, I'm not sure exactly how the converstion went, but I've filled it in as best as I can remember from the article.
Wish I could remember which paper I'd seen it in on the internet.
If I find it I'll let you know.