MOBILE BANKING

INTRODUCTIONMobile banking is a term used for performing balance checks, account transactions, payments etc. via a mobile device such as a mobile phone.

REASONS OF GENESIS OF MOBILE BANKING Introduction of new technologies. Control costs, removal of cost duplication Cater to increasing online channel customers Personalize customer interactions Unparalleled convenience and proactive

customer service

CLASSIFYING SERVICES On the basis of originator of service session 1. Push 2. Pull On the basis of nature of service 1. Transaction Based 2. Enquiry Based

Push Based

Pull Based

Transaction Based

* Fund Transfer * Bill Payment * Other financial services like share trading.

Enquiry Based

Credit/Debit Alerts. * Minimum Balance Alerts * Bill Payment Alerts*

* Account Balance Enquiry * Account Statement Enquiry. * Cheque Status Enquiry. * Cheque Book Requests. * Recent Transaction History.

MOBILE BANKING SERVICES Account Information Payments, Deposits,

withdrawals, and Transfers Investment Support Content Services

PRODUCT BENEFITSCustomer Benefits Secure, Convenient and easy method of payment Anywhere anytime payment Merchant Benefits Additional payment method for customers Small payment amounts can be accepted Portable payment options for merchants on move (Taxis, Couriers, Doctors etc) Banks Additional channel for customer payments Use of existing Infrastructure Value added service to customers

TECHNOLOGY BEHIND MOBILE BANKING

SMS (Short messaging service) GPRS (General Packet Radio Service) USSD (Unstructured Supplementary Service

Data)

EXPECTED EVOLUTION OF WIRELESS SERVICES

Challenges before mobile banking1. Interoperability 2. Security 3. Scalability & Reliability 4. Personalization 5. Customer Education

Mobile Banking- INDIAN SCENARIO Increasingly faster transmission via GPRS 3G technology to be launched soon in India, is expected to

bring in a mobile revolution.

Users are slowly getting used to the concept of a mobile hand

held device as digital cash or wallet to carry out purchases

Presently in India low-value m-commerce transactions are

happening.

High value mobile transactions would pick up once the

concerns of mobile secure transactions are being addressed.

STATISTICS

Cell phone teledensity is still very low in India at around 6%, In comparison, China s cell phone density is at around 35%, while some of the European and Asia-Pacific countries have 100% teledensity or more in mobile telephony. In the past two years, the number of people using mobiles has increased three times Indian cellular services market is projected to reach $24 billion by the end of 2009, a CAGR of 35.6%, Gartner said. Indian cellular services market had recorded the highest growth in Asia Pacific and Japan region in 2004 with a CAGR of 67%. India is all set to be among the top four countries in mobile phone subscriber numbers by the end of year 2008, according to industry analysts As on August 31, 2008, There were 62.57 million mobile subscribers in India, according to data provided by the TRAI. Fixed Phone users already lag behind by 47.44 million

RBI guidelines Regulatory and supervisory issues Registration of customer Transaction limit Security standards Approval by RBI

CONCLUSION

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