Mobile banking is an online service offered by a bank or financial institution that allows a customer to conduct money transactions from a mobile phone or tablet. This platform, through direct access to technological devices, offers users the ability to make transactions, have accounts, or access their personal information.
Currently, the development of mobile applications for the mobile banking model faces some challenges that have not yet been resolved. However, these complexities are very important to create a reliable and secure solution that will meet the needs of users for using computer systems with high cyber security, proper configuration, and reliable performance on portable devices.
Mobile banking app development is now more relevant than ever because the demand for it is growing. We can no longer provide account transfers at bank branches because we are used to doing this through the application. So if you are interested in such development, you can click here for more details.
What is mobile banking?
In general, banking institutions’ mobile applications offer several basic general services that revolve around account information, financial history, and helpdesk. Thanks to mobile banking, you can take advantage of the following features:
- Account Information: This may include account history, keeping track of term deposits, access to credit and card statements, and administering insurance policies;
- Transactions: for example, transfers of funds between linked customer accounts, bill payments, transactions with third-party funds, and remote deposit verification;
- Investments: this applies to portfolio management services, real-time stock quotes, personalized notifications, and security price alerts;
- Support: for example, the status of loan applications, checkbook, data messaging and presentations, follow-up emails or complaints, and ATM location;
- Content service: This can be general information and current news, or a service based on the device’s location.
What are the benefits of mobile banking?
Mobile banking has now become one of the main ways for customers to access their respective banks. The advantages of using mobile banking are numerous, and among them, the ease of interaction with the bank and the availability of 24 hours a day to access the service stand out. Similarly, mobile banking reduces transaction processing costs by eliminating the need and time it takes for customers to visit a bank branch to complete non-cash transactions.
As practice shows, mobile banking is especially attractive to the younger segment of the population, as they are “deeply versed in technology.” And, more broadly, a third of mobile users agree that they are considering making some kind of financial transaction through their mobile phone.
What are the future challenges of mobile banking?
Concerning the future features of mobile banking, and given the significant increase in the use of smartphones and tablets, the mobile banking service will have to implement certain innovations focused on service personalization, application, and service security. In addition, it will be necessary to work on usability on different mobile devices. The three issues that banks need to take into account are explained below:
Information Security
For a mobile banking service that is accessible through an Internet connection, security is a major concern. All companies, including mobile application developers and wireless network service providers, should be aware of this issue and take measures to ensure the security of the service as a whole. In this sense, to achieve real and complete security that prevents possible cybercrimes, it is necessary to apply modern technologies.
Application Security
If a bank offers smart card-based security, it is important to secure the mobile device itself to provide the necessary trust and reliability throughout the entire transaction process.
Device authentication
Before making a transaction, it is necessary to have an authentication record so that devices not previously authorized by the bank cannot make money transfers.
Data encryption
The information transmitted during the transaction must be encrypted so that the data transmitted over the wireless network is captured and stored on the client’s device.
Conclusion
Thanks to the development of mobile applications for the banking sector, you can provide users with convenience and ease in managing their finances. In addition, it will help expand your customer base and attract new customers. As a rule, younger ones will become solvent, because they are used to performing hospital operations on their phone. Also, such a development will help to bypass your competitors who do not yet offer such opportunities for their customers.