Mobile banking, also called m-banking, uses a mobile device to access banking and financial services provided by banks. It allows customers to track their account balance, facilitate online transactions, transfer funds, pay bills, etc., from the comfort of anywhere.
Customers can open a Saving account and avail m-banking via SMS, unstructured supplementary service data, or through an application given by the bank, which will be installed on the user’s mobile device.
It provides customers the ultimate experience of using banking services through UPI, etc., anytime and anywhere conveniently. Moreover, it cuts operating expenses that banks need to incur and broadens their customer base.
Some crucial features regarding mobile banking are stated below:
- Mobile banking or m-banking uses a mobile device like a smartphone or tablet to conduct banking transactions. The process is done through a mobile or UPI app or via SMS.
- Customers use mobile banking to access, and monitor account-related information, apply or redeem a loan, begin their investment journey, file complaints, deposit checks, etc.
- The main point of distinction between mobile and internet banking is that the former makes use of a mobile device, whereas the latter functions on a desktop or PC.
The modern-day, fast-paced lifestyle and, more recently, the COVID-19 pandemic have forced people to choose mobile banking. 24-hour banking services are offered right at the fingertips providing the customers a simple, fast, and hassle-free experience. Simultaneously, banks also get the advantage of reducing functioning costs because of savings in resources and time.
To access m-banking, customers must download the bank’s m-banking application from the app store. Further, proceed to create an online account and register for the same. It includes answering a few questions, picking a username and password, and establishing security preferences. Later, the customer needs to set an MPIN that will be utilized every time a transaction is conducted.
After the bank finishes verifying the credentials provided, the customer becomes the registered user and can conduct all the financial transactions via the mobile application. This consists of shopping online, paying utility bills online, making account detail inquiries, transferring money, utilizing forex-related services, and booking tickets with the help of UPI Pay or any other payment mode.
It is important to have brief knowledge about the pros of mobile banking since the benefits that it provides to customers are many:
- Provides round-the-clock banking accessibility
- Saves time and resources
- Offers a reliable and convenient way of transferring funds and payments
- Allows easy tracking and checking of bank accounts
- Facilitates fast reporting of an illegitimate transaction or fraudulent activity
- Allows prompt correction of customer complaints
- Enhanced request processing speed
- Notifies whenever there is a bill or loan payment to be made
- Alleviates the need to carry cash every time
- Reduces chances of theft
On a concluding note, the usage of mobile devices, especially smartphones in today’s times, has become inevitable and vital. Therefore, mobile technology can empower customers and widen their access to financial services. This highlights the significance of mobile banking and explains why it should not be underestimated.