According to the February 2010 estimates of the International Telecom Union, web access through mobile phones and laptops will surpass the number of web users via desktop within five years. Another astonishing fact is that by the end of this period, there would be more than 895 million mobile banking users.
Superficially, the figures may sound ambitious, considering the apprehensions faced by first-time users; however, with the simplicity and convenience offered by a mobile platform, such figures can be achieved.
Mobile Banking: Misconceptions of First-Time Users
Here are some common misconceptions which the first-time mobile banking users are subjected to:
Unsafe – The first and major road block that stops a first-time user is the misconception that mobile banking is not safe. However, it is the safest way of banking, since it does not involve any physical transfer of money. All the online transactions are performed via a secured connection which cannot be hacked or broken into. Moreover, no banking portal is allowed to save the user id and password provided by a client, thus ensuring that one will not be subjected to online theft or misappropriation of funds.
Does not serve all the banking needs – Gone are those days when mobile banking was only capable of checking balances. Now, it can be used for transfer of funds, make payments, file returns and pay taxes. In times to come, it is going to offer a wider gamut or services. Everyday banks and financial institutions are coming up with innovative ways of service delivery that will add to the utility of this platform.
Leads to incurring unnecessary expenditure – Considering the time and money one spends in banking operations, mobile banking is the fastest and the cheapest way of doing it. It saves a lot of time and effort as far as visiting a bank branch in concerned. It also provides flexibility in terms of timings and convenience to users. All they need is a mobile phone and an active connection.
Beneficial and profitable only for financial institutions – While it is generally thought that mobile banking is profitable and cost effective for the financial institutions and service providers, the truth is that they incur expenses on maintenance of a mobile server and technology. Only a minor part of these costs are transferred to the customers.
Keeping the services and convenience in mind, it would be highly beneficial to subscribe to the facility of mobile banking for new and existing accounts. Choosing a prominent service provider can make the task easier.