Mobile banking problems prospects

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There are 3.3 billion mobile phones in the world today, compared to only 900 million PCs. Yet mobile banking is not taking off with the expected momentum, and even those users who sign up for the service do not access all its features. The prospects for mobile banking seem bright, because number of banks offering mobile banking will double from less than 300 to more than 600 by the end of 2009. But the problem is even this figure of 600 is less than 10 percent of U.S. institutions, while each individual bank offering mobile banking services does not report encouraging customer adoption rates (usually less than 10 percent). Those customers that do adopt mobile banking limit the functionality to balance inquiries or funds transfers.



Mobile banking does offer greater security than Internet banking, because there are fewer Mobile viruses than computer viruses. In the US the most popular instrument for mobile banking is the iPhone and the iPod Touch. Apart from funds transfer you can also make bill payments, and get important alerts on your account, with mobile banking. Despite all this many people are not comfortable dealing with their finances "on the go" and would prefer to be in the privacy of their homes, in front of a computer, while tackling important financial data.