Does applying to an app "Require Face ID" when holding app icon down provide an an extra layer of security?

Yes — according to me, it is technically an extra layer.

Here’s why:

• If your banking app offers multiple sign-in methods (Face ID, PIN, or netbanking password), then anyone who can open the app could potentially bypass Face ID by switching to PIN/password login — especially if those credentials are easier to guess, already known to them, or written somewhere.
• When you set iOS to Require Face ID at the app icon level, nobody can even launch the app without passing your device’s Face ID first. That means they never get the chance to pick an alternate login method inside the app.

So while it’s still a small change for most users, it does close a loophole in cases where:

1. The app has more than one way to log in.
2. Those alternate methods could be exploited if the app were opened.

Not really, no. It would mean that you need to authenticate to open the app itself and then again when logging into the account. Seems unnecessary to me.

Open Settings ➢ Face ID & Passcode then look for the following: ⇣

Good luck! 👋🏼😉