Mobile Banking Updates - Oct 10

Growth In Mobile Banking Adoption Will Be Driven Mainly By Smartphone Apps
"Since banks like Bank of America launched native iPhone apps for Apple’s app store in late 2008, there has been an ongoing discussion about whether the future of mobile banking will be dominated by native apps or browser-based services.

With the adoption of smartphones that let people download mobile apps (like iPhones, Andoid phones, and BlackBerrry devices) still being small today, banks will need to continue offering browser-based mobile banking services to reach most of their customers. But with smartphone ownership growing fast, I expect that most growth in mobile banking adoption will come from native apps and not from browser-based services in the coming years because..."

Mobile Banking, Social Media Shaping Channel Strategies at First Tennessee
"At the Bank Systems & Technology Executive Summit in San Diego today, Dan Marks, chief marketing officer, First Tennessee Bank pointed out that the way people want to do their banking has changed dramatically over the past 70 years, just as the the way we consume music has changed from LPs to iTunes."

Android Mobile App Misbehavior
"Security vulnerabilities and spyware are now a serious problem for smart-phone users. In July, for example, Citigroup announced that its mobile banking program for iPhone inappropriately saved confidential information--including the user's account numbers and their PIN--unencrypted in a hidden file that could be accessed by other programs running on the user's iPhone. The account numbers and PIN were also copied to the user's desktop computer when the iPhone was synched."

BofA Exec Says Consumer Confidence in Mobile Is Top Priority
"Mobile banking is expected to grow exponentially over the next 12 months, as the world's adoption of smart phones increases. But growth in WAP/browser-based banking, as well as growth in the use of downloadable banking applications, means banking institutions need to take more precautions to ensure security and consumer confidence in the emerging mobile channel."

PayPal Soon Lets You Cash Checks On iPhone
"So, is this as good as it gets? If you think so, you need to wait for PayPal’s updated iPhone app which lets users deposit checks directly to their accounts simply by taking a photo of the front and back of each check. PayPal is currently the world’s most popular online payment platform and I’m certain that this move is bound to be a welcome game changer in the mobile banking segment."

Barclays takes to park benches to talk mobile banking
"This week Barclays bank managers will swap their seat in a branch for a seat under a branch as they take to park benches for a series of Barclays mobile banking clinics. The six events, kicking off in London's Russell Square, will see bank managers holding park bench financial demonstrations for passersby via Barclays mobile banking service."

In a mobile-banking world, whither the paper check?
"One clear message resonated from the Finovate Fall conference held in New York earlier this week: Banking and personal financial transactions are moving farther from brick, mortar and piles of paper, and closer to being totally digital. Many of the financial apps and programs introduced at the two-day conference focused on engaging consumers electronically, often through their mobile phones."