Over the past few years, the use of mobile banking has increased in almost all parts of the world. The rapid reach of smartphones has played a significant role in promoting mobile banking. However, mobile banking is not restricted to a specific type of mobile phones. The main idea is use of mobility, away from traditional banking outlets and even computers.
Mobile Financial Services
The mobile has evolved greatly from its initial purpose and has now become a rich channel for consumer interaction. Mobile banking can include services as simple as balance inquiry over text messages as well as more advanced transactions like bill payments and fund transfers. The challenges and risks are minimized by placing limits and smart new modes of authentication (RFID, NFC, tokenization, etc) to make sure that the ease of use that mobile technologies promise is not compromised.
According to a survey conducted by Consumers and Mobile Financial Services, United States in March 2015, 59% of smartphone users had at least one bank account. 39% of mobile phone users with a bank account reportedly used mobile banking, a number which is continuously and convincingly climbing. The report suggested that high smartphone adoption will increase mobile banking usage in the coming years. Moreover, the recent launch of 3G/4G services will further contribute in adoption of mobile banking in Pakistan.
Is Mobile Banking Secure?
Technology innovators are exploring exciting new avenues for the provision of secure and reliable means for banking. However, there are still some cases of fraudulent activities around the world. Such cases have made people skeptical of newer forms of payments.
“How safe do you think people’s personal information is when they use mobile banking?”, a question asked by Consumers and Mobile Financial Services, United States in 2014. Out of a total of 2,603 respondents, 7 percent believed it was ‘safe’ to use mobile banking. 19 percent showed concerns and marked it ‘very unsafe’.
Spreitzenbarth, a blog run by Dr Michael Spreitzenbarth relating mobile security and forensics, has been working for public awareness for quite a long time now. According to the latest information published on the blog, there are more than 100 malicious android mobile apps presently, including financial apps as well. With such ill-natured programming entities active in the financial market, it is not only recommended to the users to steer clear of such apps but it is also the responsibility of the financial institutions to educate their market. The institutions can spread awareness by enlightening their consumers about company-registered mobile apps, how phishing scams work, and other related scenarios.
Making Mobile Payments Secure
The survey results suggest that the industry needs a solid plan to increase usage of mobile banking. The financial institutions trying to make a mark in mobile banking need to come up with secure financial solutions that minimize people’s reservations.
Working toward conversion to EMV can be one such step. EMV (Europay, MasterCard, VISA) may not be completely mobile specific, but it has helped reduce fraudulent transactions at the point-of-sales. EMV has planned to devise software approaches for online transactions involving interaction with the issuer bank or network’s website (verified by MasterCard or VISA Securecode). Fingerprint authentication in the latest smart phones is another way to reduce and prevent identity theft. Moreover, it also serves as a great selling point for secure mobile banking.
As more of these advancements in providing secure means for mobile banking are being integrated in financial mobile apps and supporting systems, a growing number of consumers using mobile banking for their day-to-day financial needs.
PRISM Digital Banking Solution
TPS proudly offers PRISM as a comprehensive solution for internet banking. It covers a wide spectrum of functionalities that banks can utilize to attract customers. PRISM’s mobile app encompasses all the features which are available in the desktop version. The processes of beneficiary addition, funds transfer, bill payment, etc are all similar to execute. Wherever you go, your bank certainly follows you. Furthermore, PRISM is also capable of providing its customers with freedom to switch between multiple bank accounts.
TPS designed the solution keeping in consideration the latest technology and security concerns. Deployed and working in a number of countries in Asia and Africa, PRISM has become a vital product. It continuously senses your banking needs and comes up with comprehensive solutions. PRISM has evolved into a product that minimizes the efforts and usage time and maximizes availability and reliability.
Disclaimer: This post originally appeared in Business Recorder.
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