Mobile Banking Updates - Aug 14

Security Warning: 25% of Mobile Banking Apps Flunk Test
"In the study conducted by viaForensics, 25% of the mobile banking programs analyzed received a "fail" rating. In most cases, these failures occurred because testers were able to recover a user password or other sensitive user data from a user's mobile device. In some cases, the apps cached a security PIN or a user name and password. In other instances testers were able to recover payment history, partial credit card numbers and other transaction-related data. About a third (31%) of mobile banking apps received a "Warn" grade because a user name or app data was present, but not considered a significant risk to the user. The remaining 44% of mobile banking apps passed the test."

Mobile banking: Will you be hacked?
"You're in the store trying on a stunning but outrageously priced shirt. You have to have it, and your hand has already palmed your debit card -- but wait! Did your mortgage payment clear your money market account yet?

You could whip out your smartphone and check your balance using your bank's app, and maybe make a quick transfer between accounts. If you access your bank account information on your mobile phone, are you jeopardizing the security of your checking and savings accounts?"

Fundtech Releases Results of Customer Poll
"Jersey City, N.J.-based Fundtech has announced the results of its annual poll focusing on hot topics in the banking industry, conducted last June. The poll surveyed about 100 of the financial software and services company's banking executive clients from more than 50 U.S. financial institutions. The results are similar to those from last year's poll in that security and mobility remain top priorities for banking executives. However, the percentage of executives concerned with those issues has increased."

Mobile payments creates four-way conversation: Barclaycard exec
"The payment process is currently a one-way conversation between the customer and the merchant. Mobile is set to change that, according to a leading expert in mobile payments.

Often, the merchant does not know the customer and therefore cannot anticipate future needs with the contemporary payments system. And the customer cannot communicate back as often as she would like."