Challenges for Mobile Banking Services

12. Banks like USAA use provide web-based and mobile computing options for their customers. Web-based computing allows users to complete longer more detailed processes like applying for a credit card or a home loan. Mobile computing, however, allows users to connect with companies, mostly in a limited fashion, while on the go. USAA, for example, allows customers to transfer money, review their products through their mobile

New technology has spurred innovative ways to spend money. As mobile payment systems continually develop, consumer financial and personal information risk exposure. Industry officials state the technology is growing, but security specialists argue growth of will inevitably attract fraud. Smartphone owners must treat their phones as a miniature computer and equip proper anti-virus and malware software. Enacting preventative methods will help thwart security breaches over mobile networks. (Ladendorf, 2013)

Although SmoothPay has grown successfully as a business over a short period of time, many significant challenges have arisen and must be considered in their next strategic decisions to achieve a sustainable and long term growth. Despite SmoothPay offering a unique product that allows their users to make mobile payments, the majority of consumers prefer to do cash or credit card transactions. Because SmoothPay is currently a small business, their brand has not yet been fully recognized or established in their target market. As SmoothPay’s rivals continue to increase, the concept of using mobile payments in Canada continues to be slow.

The change and advancement in technology are a significant factor in the banking business. Technology has led to tremendous improvements in this industry. Since the commencement of this millennium, people have shown great love for their mobile phones (Ozaki 1992). It necessitated the invention of mobile applications (APPs). From the introduction of the mobile banking, APP people rarely go to the banks. All their transactions get done simply by the stroke of a finger. Businesses face a challenge of adapting to changes in the technology sector. Mobile banking either through actual investing or any other means is on the rise.

We can do our banking at home through the internet. For example we can set up and cancel standing orders through our online banking account. Transfer funds to other people, not just on a computer but now on our smartphones too. This technology has replaced the need for us to visit our bank and deal with a teller.

Internet banking renders location and time irrelevant, and empowers customers with greater control of their accounts. Banks achieve cost and efficiency gains in a large number of operational areas. This paper addresses the aspects of reliability and accessibility from a banking enterprise point of view and puts forth present day solutions to problems involving these issues. An Indian perspective of Internet banking is also looked at in order to gaining a better perspective regarding the situation.

If you want to manage financial transactions on your mobile, install the official mobile application of your bank. To make sure you have the right application, contact your bank directly or access their official website.

After decades of civil war and instability, Somaliland, a poor African nation had few banks. To overcome this problem, the country successfully cultivated mobile technology to carry out day to day transactions instead of cash. Even the street vendors in Somaliland accepts payments made through the mobile phone. On an average, a person does 34 transactions per month through their phone. 51 out of 100 people have mobile subscriptions and approximately 40% use the mobile money accounts.

In many developing countries it's common for a person to have a mobile phone but not a bank account. In fact, more than 1 billion people fit this description, and the number is only likely to increase. To that end, many companies are considering how to give residents access to banking services via their handsets. The GSM Association predicts that by 2012, nearly 300 million of the previously "unbanked" will be using some form of mobile banking.

Nowadays using mobile banking make checking and making payments from your account a lot easier because you are able to check your balance and then transfer money were needed

Mobile Payments will similarly experience this trend. The MIT Technology Review recently created a report, entitled “The Future of Money,” which looks at the overall industry and factors leading to greater digitization of payments. Mobile phones have been a catalyst for much of the change, but it is important to remember that it is still very much a cash-based world, as estimates show that 85% of consumer transactions worldwide are still done with paper bills and metal coins. With 2.5 billion people unbanked, it is clear banks have not been able to appeal to or service this segment in a cost-effective manner using today’s cash-based and card-based payment services. New digital and mobile technologies provide a potential solution which can lead to much greater financial inclusion.

For the reason that consumers only need to carry a mobile device rather than multiple forms of paper and plastic, mobile wallets will be considerably useful. Also, because they can track users’ shopping and purchases, mobile payment systems can offer advanced “personal shopper” services such as endorsements and new deals based on one’s location and past purchasing history. “According to a recent Pew Research survey, nearly 66 percent of participants believe their smartphones will replace traditional payment options like credit cards and cash by 2020.“ (Gramigna, K. 2015). Therefore, a few people do believe that they will be using their phones instead of cash. Cash may not disappear completely, but it will not be used as much.

d) Reliability: The challenge for the Chief Information Officers (CIOs) and Chief Technical Officers (CTOs) of the banks is to scale-up the mobile banking infrastructure to handle exponential growth of the customer base. With mobile banking, the customer may be sitting in any part of the world (true anytime, anywhere banking) and hence banks need to ensure that the systems are up and running in a true 24 x 7 fashion. As customers will find mobile banking more and more useful, their expectations from the solution will increase. Financial Organizations should unable to meet the performance and reliability expectations may lose customer confidence. There are systems such as Mobile Transaction Platform, which allow quick and secure mobile enabling of various banking services.

Mobile payments allow certain freedoms that previous technologies could not accomplish. Laudon & Travor (2011) discussed how digital information security is extremely important in providing a market where certain levels of expectations may be met. Stakeholders within the payment systems must be reassured that a fair and honest transaction can be reasonably executed. In my home country of Nigeria, it is understood that this market is well established and is thriving. The purpose of this essay is to demonstrate that mobile payments is a viable alternative for my groups proposed business site.

Mobile banking is well utilized in countries of Europe and even Japan, yet it is slow to catch up in America. A study by Forrester Research found that only 10% of Americans like the idea of m banking while 35% already bank online