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BANKING VIA MOBILE APPS : Empowering the fingerprint

mobile banking app

mobile bankingThanks to the technological advancement in telecommunication, there has been a rapid increase over the last decade in mobile banking applications as well as other ADCs (Alternative Delivery Channels) which has made daily banking transactions easier, simpler and more convenient for the general public.
Currently, the market demand as well as the dependency of the general public on mobile applications has made it inevitable for the Banks not only to introduce apps facilitating banking needs but to keep on updating it to the latest features.

In present era, you do not even require a full fledge computer or laptop to access and manage your account as that gap has successfully been filled by our smartphones. The beauty of mobile banking applications is that it creates a win-win situation for both the clients and the banks as it serves as cost cutting measure for Banks and provides the control and convenience to the clients.

All leading banks have already introduced their applications for their respective clients.


“Mobile banking apps elevates the overall levels of client satisfaction”
According to a study conducted in 2016 by U.S. Retail Banking satisfaction, there is an instant upsurge in satisfaction level index when clients use mobile banking apps. This obviously converts into good word of mouth.

mobile banking
Mobile Banking apps increase bank’s revenues by doing the following:

  • Diminishing the cost that comes in the hat of ‘walk in client’
  • Gradually takes the human element present in Bank’s branches out of equation
  • Reduction in paper usage which not only translates into cost cutting but it also serves the purpose of being ‘environment friendly’

mobile banking appApp-based mobile banking is currently recognised as the fastest growing delivery channel. There are several factors are which are the driving force behind this rapid growth, including client satisfaction and cost (operational) savings for the financial institution. The cost that is incurred while performing a transaction through mobile phone is practically 10 times lower compared to a single transaction done through ATM, and as much as 30 times lower than physically visiting the branch.

Clients can benefit a great deal with this emerging concept as it gives them the ease to access their accounts and perform transaction without having to face the hustle of visiting the branch or waiting in the queue for their turn to use ATM.

mobile banking app


The wildfire expansion in the usage of mobile application based banking has added to security challenges for the IT teams of financial institutions. These institutions leave device and app security management in the hands of their account holders and just hope for the best.

Like every other alternative even mobile banking comes with its ‘Pros’ and ‘Cons’; on one hand the rewards (cost cutting for financial institutions) and convenience for the clients are substantial, but on the other hand the fact that the mobile banking clients might access banking network via rooted device is one of the many risks that surfaces up for the financial institutions.

Just like our PCs, susceptibilities in the software installed on mobile devices can also give malware an avenue or a platform to take charge. Regrettably, the infrastructure for patching software on mobile system is still underdeveloped. For example, when Google finds out vulnerability in the operating system of Android, each individual manufacturer has to come up and create a patch for their respective devices. It can take weeks or months before we can expect all smart phones manufacturers to provide patches for their Android versions.


Despite all the progress being made in this field, these apps still have a lot of room for improvement. Mostly these apps are only being used for enquiring balances, overviewing of account(s), payment of bills and so on. The ultimate success in this venture will come when these apps will be secure enough to be given full and complete access to clients so that they can make transactions such as RTGS (Real Time Gross Settlements) without any limits being set for them and in the process eliminating or minimizing the role of bank staff.

Public awareness and confidence of clients in these apps needs to be taken care of as it will be difficult for financial institutions to completely migrate clients to these apps until and unless they take measures necessary to increase client’s awareness and their confidence in the security of these apps.


AuthorSyed Adeel Ali Shah is a Banker by profession. Apart from this, He is a freelance writer and a blogger.

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