In recent years banks have been striving to make their services more convenient for customers. With the drastic evolution of smart phones, mobile banking has been the natural evolution. Most high street banks now provide applications which allow you to make payments and transfer funds with nothing more than a few clicks of a button.
Here are the top 6 reasons why banking is going mobile.
1. Applications Aid Convenience
High street banks aren’t just competing with each other; they are also competing with an increasing amount of third party applications, such as PayPal. Many banks are actually starting to work alongside the developers behind these systems to create their own in-house applications. For example, Barclays’ Pingit was developed in response to these third party applications and has since set a benchmark for other banks to follow.
2. Supports Real-Time Payments
A recent (2014) study conducted by Vocalink showed that there is a huge demand for real-time payments – payments that are processed within one minute. While mobile banking may not directly impact the banking procedures, it will certainly speed up the processing times by allowing users to conduct transactions on the fly without having to make a call or get access to the Internet.
3. There Are No Fees
Generally speaking there are currently no fees to use mobile banking services; however, due to the increasing popularity of smart phones, this could change in the future. If you are already a member of a particular bank their downloadable applications will most likely be available as standard with a current account. Third party applications on the other hand may charge a micro-transaction fee when you use their services.
4. Provides More Ways To Access Accounts
There are plenty of ways to access your bank account. You can sign in online, phone the bank, text the bank and even mail the bank. For most people accessing their bank account via a mobile device is the quickest and easiest method.
5. Mobile Banking Is More Secure
While there are a lot of mobile banking services available, the industry is still in its infancy. Until recently processing mobile transactions wasn’t considered safe; however, advances in technology now make mobile banking safer than carrying a wallet due to advanced encryption and identity verification procedures. According to eDigitalResearch the average mobile transaction is increasing by over £25 each year, which proves that more and more people are starting to trust mobile security.
6. Better Finance Management
You used to have to make a phonecall, find and ATM or log on to the Internet to perform simple tasks such as checking your balance. With mobile banking you have much quicker access to your statements, allowing you to manage your finances more appropriately when you’re out and about.
As mobile banking increases in popularity and physical cash becomes less important, more retail stores are adapting to accommodate mobile payment services. This is paving the way for more third party companies to develop new applications and security technologies, thus, setting the bar higher and making the whole process even more convenient and secure.