Most of the financial transactions in the older days required customers to visit the banks and then perform the transactions. This was time consuming process and involved cost of traveling, carrying of documents for verification and other associated costs to the customers.
In the recent times, Mobile banking has enabled users to perform most of their financial transactions like Balance enquiry, bill payments, sending or receiving money through their mobile devices. Mobile banking gained more popularity during the covid-19 pandemic season due to the need for contactless payments.
However, the need for contactless payments was not the only reason for the rise in usage of mobile banking. It also provides much more benefits than just contactless payment. Internet banking on web browser through a laptop/computer has disadvantages like browser compatibility, network connectivity and also difficulty of carrying laptop/computer. Where as, Mobile banking offers more convenience due to the availability of user-friendly and device friendly mobile apps that can be downloaded from respective app stores anytime and from anywhere.
Mobile Banking Services is usually offered through the two following modes:
1. Mobile Apps:
Most banks today have an app of their own that provide various banking facilities at the fingertips of the customer through the mobile device. Karnataka Bank’s “KBL Mobile Plus” is one such popular app where a user can perform a wide range of financial transactions mentioned below:
a) Transfer Funds: A user can transfer funds to other accounts via NEFT, RTGS, and IMPS facilities that help the users to transfer the funds within or to an account with external bank.
b) Open/ Close deposits: Through simple steps, users can open/close various deposits like Fixed deposit and Recurring deposits to save their money and get good returns.
c) Calculators: Mobile banking apps include a very useful feature that helps users to calculate the EMI before availing a loan. With this, the users can get an estimation of the EMI they have to repay every month.
d) Cardless Cash withdrawal: This facility enables the user to withdraw cash at nearby ATMs without having the need to carry physical card with them. It is specially useful when the users forget to carry a physical card with them and have a need to withdraw the cash.
e) Scan and Pay: One of the most popular mode of payments in recent days, it is now available across most of the mobile banking apps where a user can simply scan the QR Code at the merchant’s place and make instant payments.
f) Information about products and offers: Mobile banking apps include information about the products offered by the banks and various offers provided by the banks across their products/services. This is helpful for users who are looking to avail any new service from the banks.
g) Access account Information: Users can check their account balance, request for account statements and see the previous transactions.
h) Access Customer Support: Users can connect with the support team with their queries through contact options provided in the applications.
2. Missed call banking facility
One of the mahor reasons for the users to switch to mobile banking is the need for a quick resolution for their financial needs. Sometimes these needs may be as simple as knowing their bank balance, blocking their debit cards or the need for an account statement. In such scenarios if the user does not have access to internet or phone that is not compatible for installing a mobile banking application, they can simply use missed call banking facilties provided by the banks. By dialing the dedicated mobile numbers, Users can enquire about account balance, request mini statements, activate or deactivate their Debit cards and multiple other facilities.
Pros of mobile banking:
1.Saves Time:
Customers can avail banking facilities from the comfort of their home or wherever they are, in just few clicks. All they need is a stable internet connection and a mobile device.
2.Ability to track Transactions: Customers can track all their financial transactions by logging in to the Mobile banking app and also through the SMS alerts sent to the customer after every transaction.
3. 24×7 Easy Accessibility:
Be it Funds transfer, Balance enquiry, requesting account statements or applying for loans – a user can do all these with mobile banking apps on any day at any time.
● Other Services:
Users can set automated bill payments, perform mobile phone recharges and invest in mutual funds etc on the mobile banking app or other payment aggregator applications.
Conclusion
As the technology has advanced, financial institutions and banks have also updated their digital infrastructure to accommodate the technology to improve their processes and ensure that the transactions are secure by implementing various security protocols and authentication methods. Due to all these benefits, users are being more inclined to adapt mobile banking even if it is relatively new to the financial market. However, users should be always aware of fake apps while downloading the applications and enjoy the benefit of safe and hassle-free mobile banking experience.