With PayPal’s latest mobile payments initiative, new possibilities have opened up in the mobile banking world. Such innovations make contact-less financial transactions even more convenient and users of traditional banking services are increasingly moving to online banking and mobile banking to save both money and time.
Poised for growth
Studies reveal that people in the age group of 18 to 25 are very comfortable using their phones for all kinds of online transactions including banking and shopping. The convenience of banking at any time and practically from any place is a major advantage and this technology can play a very important role in emergencies.
Experts predict that mobile banking usage is set to grow rapidly, with 30% of the people who currently use online banking likely to opt for mobile banking by the end of 2010. In fact, mobile banking has grown much faster in popularity as compared with online banking and branch banking in the last 2-3 years. The technology is an intricate part of many new financial products and services.
However, security concerns are still stopping mobile banking from reaching its potential. Banks and application providers are constantly bringing in updated security features to keep transactions safe and private, but the risk of identity theft and compromised account details continue to bother customers.
Here are a few ideas on how to keep your mobile transactions safe.
Use client applications offered by the bank because these will typically have strong security features and encryption techniques. Also, with these you avoid web browsers, thus safeguarding yourself from phishing frauds. Generally, banks design separate pages for mobile users, which are easier to read and navigate through such devices.
Always avoid automatic log in or ‘remember passwords’ on your mobile device.
Never store your account details on your phone. In case your phone gets stolen, any information stored in it will be exposed to others. Check if your provider offers remote mobile data deletion, which can delete all sensitive information from your device if it gets stolen.
Use a password lock for activation of your mobile to avoid unauthorized access.
Mobile banking poses no greater security risk than desktop banking. In fact, hackers and fraudsters have not aimed their sights at mobile banking yet. But like for any other mode of making financial transactions, it is always better to take some precautions.