International Mobile Banking Updates - June 19

Net banking: How it helps you save time and money
"Did you know that approaching a bank branch to get a duplicate account statement can cost you around Rs 100, while the same could be had at half the price through online banking? Similarly, a stop payment request that costs upwards of Rs 50 through traditional banking channels is a free service for those who opt for net banking."

Customers take leap into mobile banking
"The number of bank customers who use mobile phones and iPads is growing at breakneck pace, with billions of dollars of transactions now taking place every month. Major banks say the speed that customers had taken up mobile and tablet banking is running much faster than the rate at which they took to internet banking. They say the technology is also changing the way people do their banking, challenging the definition of traditional banking hours."

CaixaBank hosts international forum for mobile banking experts
"CaixaBank will be hosting MobeyDay 2013 in Barcelona, bringing together financial institutions from all over the world, as well as network operators, technology providers and consultancy firms specialising in mobile banking. The international Mobey Forum meeting organised in association with Finextra will be held at CaixaForum in Barcelona, tomorrow, 11th of June 2013."

The mobile banking game-changer in Ethiopia
"New regulations will bring m-banking to Ethiopian consumers, but limits on the companies involved and how transactions must be managed could slow growth. On 1 January 2013, the National Bank of Ethiopia (NBE) issued a long-awaited directive that allows transaction-based mobile banking for the country's unbanked citizens."

Meethaq launches state-of-the-art cloud mobile banking application
"Meethaq, the pioneer of Islamic banking in Oman from Bank Muscat, on June 11 launched a state-of-the-art mobile banking application redefining Islamic banking with the concept of ‘24/7 anytime, anywhere’ service. The Meethaq Cloud Banking application offers a wide range of unique features. The smart mobile app, which is quick and easy to download, provides a secure and convenient 24/7 access to the account."

Village Bank updates mobile banking
"Village Bank, based in Midlothian, has announced the launch of a new and improved mobile banking service for personal banking customers who use a smart phone or other web-enabled phones. Mobile Banking is a free service that allows personal banking customers to access account information, view transaction history, transfer funds and find a branch location or ATM from their mobile device."

Why Mobile Technology is Bad for Some Businesses, Great for All Consumers
"Here are some of the estimates and statistics we’ve plucked from a McKinsey Global report we mentioned last week:
 * 1.1 billion people currently use smartphones and tablets, with a potential to reach two billion to three billion more.
* The processing power of the average smartphone has increased by about 25% per year over the last five years.
* By 2025, nearly 80% of all internet connections could be through mobile devices.
* Near field payments grew 400% in 2012 and are expected to increase 20 fold by 2016."

Mobile Banking Security - June 18

POLICE: Louisville man steals thousands via mobile banking
"A Louisville man has been arrested after police say he used mobile banking to steal thousands of dollars from multiple Kroger stores. Police say 34-year-old Boma Robert Spero-Jack went into several different Kroger stores and purchased at least 32 Western Union money orders. Each money order was issued for an amount between $195 and $500, according to an arrest report."

Mobile Banking On Unsecure Wireless Networks Is Risky Business
"Mobile banking is exploding. According to a new study from Yodlee Interactive, while physical banks continue their decline, nearly a third of U.S. adults with a bank account say they use a mobile device to access their banking information. The study conducted by Harris Interactive found that close to half of those with a bank account access their banking information on their smartphone compared to 36% of tablet owners who have a bank account."

Lenders work to make mobile banking safer and more convenient
"As more and more people use smartphones for everything from paying bills to making deposits and checking statements, banks are working to meet customer demands for faster and securer mobile options. A March report by the Federal Reserve shows that as of Nov. 28 percent of all mobile phone users and 48 percent of smartphone users had used mobile banking in the past 12 months. This was an increase of 7 percentage points from December 2011."

New Breed of Banking Malware Hijacks Text Messages
"Out of band authentication — communicating with a customer outside of his mobile banking app to verify his identity or a specific transaction — is a generally respected means of deflecting mobile banking fraud. But RSA's Anti-Fraud Command Center on Monday found and reported on a Trojan called Bugat that has been updated to hijack out-of-band authentication codes sent to bank customers via SMS. This doesn't mean out-of-band authentication via text messaging is useless, but it can be compromised using a dated, unsophisticated piece of malware."

Considering Mobile Authentication: The Why, the What and the How
"It's the single biggest banking innovation of our lives. Mobile banking is quickly becoming the channel of choice for customers, forcing banking institutions to deploy mobile solutions ahead of their strategies. What are the risks? How can institutions deputize customers to ensure mobile banking security? Join banking and security leaders from Citibank and VASCO Data Security for a frank discussion about how to create a mobile banking roadmap, including:"

Faces of Fraud: New Survey Debuts
"How are banking institutions responding to increasing cross-channel fraud attacks, and where are they making their biggest investments to enhance authentication for online and mobile banking? These are just two of the questions posed by our annual Faces of Fraud Survey, which we just launched. If you have not yet responded to this survey, please take a few moments to participate: 2013 Faces of Fraud: The Threat Evolution."

Mobile Banking Updates - June 16

What Tops Consumers' Mobile Banking Wish List?
"As plastic and digital transactions boom, the use of paper checks is in decline. Although checks still represent about 20 percent of all non-cash payments, the Federal Reserve processes less than a third of the checks it did 20 years ago. With fewer checks in circulation, you may be surprised to learn that the most desired improvement to mobile banking is … the ability to deposit checks."

Big data to drive banks' mobile wallet strategies - Finextra research
"Research from Finextra finds that banks around the world are looking to discounted offers and big data analytics to beat off the competition from telcos and tech start-ups as they battle for control of the consumer mobile wallet. For the research - conducted on behalf of Clear2Pay and NGData - Finextra surveyed more than 183 bankers on the key issues around the monetisation of mobile payments."

Itinerant customers embracing mobile banking faster than military banks expected
"Many banks treat mobile banking like an ancillary service channel, but it’s quickly becoming the main game for the highly-mobile customers of USAA and Australia’s Defence Bank. The head of customer strategy for military bank United Services Automobile Association (USAA) admits to being “a little scared” after recently watching mobile banking services usage rocket past the levels initially expected by the end of 2015 — but he relishes the challenge as USAA and contemporaries like Australia’s Defence Bank embrace new technologies to keep the personal touch."

Banking goes mobile
"Dan Brower fished a much awaited check from his mailbox but didn’t have time to swing by his bank’s branch. So the Kansas City resident fired up his 2-week-old iPhone, and with just a flick of his finger — disappointment. Commerce Bank’s mobile banking app doesn’t accept deposits."

Portland banking startup Simple raising more money, filing suggests
"Portland online banking startup Simple Finance Technology Corp. is raising more money, according to a regulatory filing this afternoon. The filing suggests Simple, as the company is known commercially, has raised $2.3 million in new investment. But such filings often give an incomplete picture, and Simple said it will have more to say soon."

KeyBank Expands Mobile Capabilities for Commercial and Consumer Clients
"KeyBank is making banking more convenient for all clients - commercial and consumer - to manage money while on the move with an expanded suite of mobile banking services. 'We're seeing double-digit growth in our clients' use of consumer mobile banking, and we know our commercial clients have increasing interest in mobile,' said Matthew D. Lehman, head of KeyBank's Community Bank online and mobile banking. KeyBank's mobile banking use increased by 45 percent between 2011 and 2012."

Popular Community Bank Launches New iPad App in Latest Expansion of Mobile Banking Platform
"Popular Community Bank,* a subsidiary of Popular, Inc. and one of the nation’s premier community banks, expanded its “anywhere, anytime banking” program with the launch of its new application optimized for the iPad, available at the Apple iTunes store. The Popular Community Bank free iPad app compliments the bank’s iPhone® and Android™ apps, Business Mobile Banking and recently enhanced Internet banking. Through the iPad app customers can:"

Mobile Banking Updates - June 13

Wolberg-Stok at Citi Aims for a Single, Globetrotting Mobile App
"Andres Wolberg-Stok was promoted about a year ago to global mobile and tablet banking director at Citigroup. 'It's a bigger field in which to inflict damage,' he jokes. So far this year, he's traveled to Singapore, Mexico, London and Brussels. 'It keeps us true to the old motto, the Citi never sleeps. Having a global team in with members in the US, Europe and Asia is extraordinary because the sun never sets on the team, people are always working. You can get a lot done.'"

Mobile Banking Seen Needing Improved Authentication, ID Verification
"Financial institutions need to step up the security they provide for mobile banking, experts on a panel at the Mobile Banking Summit agreed today. 'Facebook, Gmail, Twitter, and World of Warcraft all have multi-factor authentication,' says Robert E. Lee, business analyst at Intuit. 'If you're a bank and still using challenge questions, I have to ask you, why is your security worse than an online video?'"

Riding the Wave of Mobile Banking
"Smartphones have created a consumer demand for all lifestyle tools to be packaged in one neat space that we keep in our pocket and can access on the go, from any location. Improvements in security and performance have resulted in an increasingly confident consumer that is more open to banking through their phones. Mobile dominates our social and business lives – and this is just the start of it. To that effect, over the last few months there has been a noticeable spike in the number of financial institutions who integrate mobile into their banking offering, perhaps as part of wider projects to revamp legacy systems."

Mobile Bankers Applaud Obama Plan to Crack Down on Patent Trolls
"The plan President Obama announced Tuesday to crack down on patent assertion entities or "patent trolls" — companies that buy up patents to extract licensing fees — was met with approval by attendees at the Mobile Banking Summit in Miami. Obama's plan would require patentees to file updated ownership information when filing a claim. It would let courts award attorneys' fees as a sanction for abusive court filings. It would permit a wider range of challengers to petition for review of issued patents before the Patent Trials and Appeals Board. It would protect consumers and businesses from legal liability when they use a product off the shelf and solely for its intended use."

Should A Bank Outsource Its Mobile Strategy?
"Now more than ever before, banks need to be able to offer their customers innovative digital services, and bank IT spending trends point to this conclusion. According to U.K. analyst group Ovum, mobile banking is the clear IT investment priority in 2013 among the digital channels, as retail banks attempt to capitalize on the features unique to mobile, such as location-based services. According to a report from the firm released earlier this year, spending on digital channels, which includes mobile, will grow 6.7% in North America in 2013 and rise at a compound annual growth rate of 8.2% between 2013 and 2017."

Mobile Banking Updates - June 12

B of A's Gopalkrishnan Uses 'Hackathons' to Create Mobile Apps
"Like most of the bankers we profiled this year, Hari Gopalkrishnan, managing director, consumer and wealth management, ecommerce technology, consumer banking architecture and segments technology executive for Bank of America Merrill Lynch speaks of simplicity in mobile banking design and user experience."

Feeling Insecure About Mobile Banking? You're Not Alone
"It's a scary cyber-world out there, and fear concerning Internet security is one of the top reasons that bank customers avoid mobile banking. For banks, expanding mobile offerings is win-win, enabling them to shutter expensive branch locations while opening newer, more modern spaces that cater to banking via the Internet. So, what do banks need to do to assuage customers' fears about mobile banking -- and, more importantly, what is being done to improve security measures to protect consumers' private information?"

Wells Fargo & Co (WFC), Bank of America Corp (BAC) & Citigroup Inc (C): Feeling Insecure About Mobile Banking? You’re Not Alone
"It's a scary cyber-world out there, and fear concerning Internet security is one of the top reasons that bank customers avoid mobile banking. For banks, expanding mobile offerings is win-win, enabling them to shutter expensive branch locations while opening newer, more modern spaces that cater to banking via the Internet. So, what do banks need to do to assuage customers' fears about mobile banking -- and, more importantly, what is being done to improve security measures to protect consumers' private information?"

Blackhawk and Monitise in mobile gift card partnership
"Blackhawk Network and Monitise are partnering to make mobile gift card purchasing available to consumers through certain banks and financial institutions in the US. In addition, the companies intend to expand their relationship into additional markets. Prepaid gift cards from Blackhawk Network's popular GiftCardMall will be available to consumers for purchase from participating banks and payment companies' mobile wallets, powered by Monitise. With this new relationship, Blackhawk's extensive network will integrate into Monitise's mobile banking ecosystem, making it easier for consumers to purchase Blackhawk gift cards from popular retail brands via mobile."

Mobile Banking Is Mainstream — What About Security, ROI, Payments?
"Sitting alone at the back of a hotel meeting room, Theodore Iacobuzio had a stern message for bankers: "The train is leaving the station," said Iacobuzio, a MasterCard executive, referring to the emerging mobile payment economy. 'You have to get on.' Earlier that Wednesday, Iacobuzio had spoken on a panel at the Mobile Banking and Commerce Summit in Miami about using data to drive relevant offers to cardholders. Mobile banking and payments are at the forefront of his mind."

Threat of the Week: Mayhem in the Mobile Browser
"It’s coming. For the past five years warnings of a coming assault by cybercriminals on mobile banking have kept getting louder. Yet the plain fact is that successful attacks on the mobile channel in the United States have been scarce. 'Mobile threats remain nascent,' said Vince Arneja, a vice president at security firm Arxan. But just maybe that’s about to change, mainly because more cyber crooks are putting more energy into mobile and, lately, there are signs that the bad guys are starting to cash in on a vulnerability that is found on just about every smartphone."

Consumers Calling the Shots in Mobile Banking
"In mobile banking, customers are faster at conveying what they want than banks are at delivering the goods. That was one of the main messages conveyed by a panel of bank technologists at the Mobile Banking and Commerce Summit on Tuesday. The customer in control marks a wild transformation from years past, when banks waited for account holders to call them. Such a passive communication approach is no longer acceptable for financial institutions."

International Mobile Banking Updates - June 11

ING Direct Canada Tests Low- and High-Tech Touches
"ING Direct Canada is testing an onboarding process that will reduce by 80% the number of questions that new customers have to answer. Charaka Kithulegoda, chief information officer of ING Direct Canada, said during his keynote address at the Mobile Banking and Commerce Summit that the bank aims to halve what has been a five-minute process. ING Direct is also running authentication pilot programs of voice and facial recognition biometrics with an aim to enhance security and customer trust. It plans to start offering mobile remote deposit capture to its customers this month."

NEW PARTNERSHIP IN SPAIN MAY BOOST MOBILE COMMERCE
"Telefonica, a leading Spanish telecommunications company, has announced a new partnership with CaixaBank and Santander in order to create a joint venture that aims to develop a new mobile banking solution that include launching a mobile wallet service for consumers. Mobile commerce has been showing strong growth throughout Europe, leading many telecommunications companies to make their way into this space in order to meet the changing needs of consumers. Banks have also been taking note of this trend and have been following in the footsteps of telecommunications companies."

NerdWallet: Will Mobile Banking Change The Way We Bank?
"In the past year, banks and credit unions across the country have rolled out mobile banking services for smartphones and tablets to meet a rapidly rising demand. The ease and efficiency of mobile banking is its greatest advantage, allowing consumers to make payments, check balances, transfer funds, speak with bank or credit union representatives, and quite often, deposit checks, without ever entering a branch."

Banks battle mobile networks for hidden cash in townships
"Standard Bank Group (JSE:SBK) hired Itumeleng Heymann to persuade her neighbors that for about $6 a month, their cash would be better off with Africa’s largest lender than in its current hiding place: under the bed. For millions of Africans, a simple Nokia mobile phone acts as a bank account, allowing them to transfer funds with services like M-Pesa, run by Vodacom Group (JSE:VOD) and Safaricom. Now Standard Bank is turning to an army of 1,000 township residents such as Heymann as it tries to block Vodacom, South Africa’s largest wireless operator, and companies like it from muscling in on the nation’s expanding banking market as they have in Kenya, Tanzania and elsewhere. So far, the banks are winning."

Mobile Security: Lessons from Asia
"When it comes to mobile banking and payments, security risks are similar globally. But Western institutions can learn from innovative solutions now offered in the East, says fraud expert Tom Wills. Wills says banking institutions in some of Asia's most developed markets, including Singapore, are more willing than their U.S. counterparts to involve consumers in security measures. 'I've found that financial institutions here are very willing to embrace security and to get their consumers involved in securing their own financial assets,' he says during an interview with Information Security Media Group."

Diamond Bank to power branchless banking with new technology
"IN recognition of the huge role technology plays in service delivery, Diamond Bank is to deploy BankOne mobile application to boost its branchless banking strategy in the country. BankOne, a mobile banking application, allows instant account opening and registration. The application is designed and developed by AppZone, a fast-growing technology company. The integration of the branchless banking on the BankOne platform will allow Diamond Bank acquire and easily migrate all mass market accounts and ensure customers get quality service."

Tech-no thanks: Payment phobia more common than fear of spiders
"Fear of mobile banking and contactless cards affects 26% of us – that’s more than the number who are scared of spiders at 25%, according to PayYourWay.org.uk the Payment Council's education campaign. This phobia is costing us time and money as more than a fifth have wasted time queuing to check a bank balance and one in seven has incurred a late fee because they missed a payment. It is the risk of thieves gaining access to bank accounts and personal information that holds many of us back. The Payments Council says there is no need for these fears because the latest ways to pay are safe and easy to use and banks have ­measures to protect customers such as encrypted websites, security software, deactivation of login details if a number of incorrect attempts are made and varying types of authentication processes."

Comparing American and British Consumer Mobile Banking Habits
"In late May, United Kingdom payment-network operator VocaLink released survey results from British consumers about mobile banking and payments use. The results reinforced the trend mobile payments are gaining traction with consumers as 50 percent of respondents stated they are either already or interested in using mobile payments in the near future."

Banks need to improve their digital offerings
"Banks can enhance customer experience and enable sales at the same time by creating more personal interactions through their mobile offerings. The latest World Retail Banking Report by Capgemini and Efma showed that the quality of a bank’s mobile service can significantly influence a young customer’s decision to choose or switch banks. Older customers, in contrast, tend to rely more on traditional banking channels. 'As early and adept users of mobile, young customers are more likely to choose or leave a bank because of the quality of mobile services it offers,' the report said."

Online banking: "Act quickly after transfer mistakes"
"People who enter incorrect bank details when transferring money online are being urged to act quickly after making a mistake. The Financial Ombudsman Service says the money is easier to get back if an early warning flag is raised. But delays or grey areas of the law can make retrieving the money awkward over time. And those who are credited with the money by accident are being encouraged to own up."

Consumers slow to embrace mobile banking
"Mobile banking still accounts for less than 10 per cent of the value of digital transactions, despite the rapid growth in customers managing their finances on the go. As consumers embrace smart phones, the number of Australians with mobile banking has rapidly increased. The number of mobile banking customers surged to 6 million earlier this year, and is tipped by banks to overtake banking through traditional websites in years to come."

Mobile Banking Updates - June 9

The Quest for Simplicity in Mobile App Design
"We heard it again and again from Charaka Kithulegoda and other bankers honored in our Mobile Banker of the Year package this year: simplicity and ease of use are the keys to sound mobile banking app design. 'People don't live to bank, financial institutions exist to serve their needs,' observes Hari Gopalkrishnan, a managing director at Bank of America."

You Talking to Me? How Voice Is Revolutionizing Mobile Banking
"Want to race? Pull up your mobile banking app, enter bill pay data, click pay. I'll use my voice to log in - no keying in the password - and simply tell the app whom to pay, how much. Who will be faster? Who will get the job done with less irritation? And with none of the miskeyed entries that turn so much mobile banking into an exercise in angst."

The 5 Biggest Pain Points for Mobile Banking
"I just attended and presented at the Mobile Banking and Conference Summit in Miami. Now in its seventh year (mobile banking existed in 2006?!?), the conference was an exploration of how financial institutions are being influenced by, and taking advantage of, the mobile channel and mobile technology. A few hundred attendees, including mostly high-level executive, product, technology and marketing folks were there."

Finance on the fly with convenience of mobile banking
"'App. Snap. Deposit.' Sound easy? It is. Banking has become as simple as one, two, three. Manage your money on-the-go, anywhere, anytime, in the click of a button. Check account balances, recent transaction history, transfer funds and locate nearby branches and ATMs – all on your mobile device for free. The way of the future is now."

U.S. Bank's Badarinath Isn't Shy About Testing the Mobile Waters
"'In banking, there are few sustainable sources of competitive advantage,' says Niti Badarinath, senior vice president and head of mobile banking at U.S. Bank, Minneapolis. 'Product innovation is probably not a place where banks can truly distinguish themselves, especially in consumer banking. Pricing is also not a source of sustainable competitive advantage: you can change some rates here and there, but it's not something you can keep differentiating yourself on. Then it comes down to, how easy are you going to make it for your customers to access and manage their finances?'"

The ROI of Mobile Banking
"Today, the general consensus is that mobile banking capabilities are table stakes for financial institutions. While it's certainly true that consumers are coming to expect mobile banking, it should not be regarded as just another cost of doing business. Mobile banking actually delivers a compelling return on investment. Once a bank or credit union has the foundation of mobile banking in place, the addition of services like person-to-person payments and remote deposit capture can provide new revenue sources, as research indicates consumers will pay for such convenience-enhancing features."

BBVA Compass adds picture bill pay capabilities to its iPhone mobile banking app
"BBVA Compass today expanded its iPhone app with Picture Bill Pay, allowing customers to pay bills and add payees by taking pictures of their paper bills with their iPhones. 'We wanted our app to be as robust as possible since nearly 35 percent of those who take advantage of mobile banking manage their finances exclusively through their apps,' said Alejandro Carriles, director of self-service channels at BBVA Compass. 'Innovative and fun features like this allow us to improve and simplify those customers' experiences.'"