INTRODUCTION

What is Mobile Banking?

Mobile banking is a service provided by a bank or other financial institution that allows its
customers to conduct financial transactions remotely using a mobile device such as
a Smartphone or tablet. Unlike the related internet banking it uses software, usually called
an app, provided by the financial institution for the purpose. Mobile banking is usually available
on a 24-hour basis. Some financial institutions have restrictions on which accounts may be
accessed through mobile banking, as well as a limit on the amount that can be transacted. Mobile
banking is dependent on the availability of an internet or data connection to the mobile device.
Transactions through mobile banking depend on the features of the mobile banking app provided
and typically includes obtaining account balances and lists of latest transactions, electronic bill
payments, remote check deposits, P2P payments, and funds transfers between a customer's or
another's accounts. Some apps also enable copies of statements to be downloaded and sometimes
printed at the customer's premises. Using a mobile banking app increases ease of use, speed,
flexibility and also improves security because it integrates with the user built-in mobile device
security mechanisms from the bank's point of view, mobile banking reduces the cost of handling
transactions by reducing the need for customers to visit a bank branch for non-cash withdrawal
and deposit transactions. Mobile banking does not handle transactions involving cash, and a
customer needs to visit an ATM or bank branch for cash withdrawals or deposits. Many apps
now have a remote deposit option; using the device's camera to digitally transmit cheques to their
financial institution.
Mobile banking differs from mobile payments, which involves the use of a mobile device to pay
for goods or services either at the point of sale or remotely, analogously to the use of a debit or
credit card to effect an EFTPOS payment.
 Mobile banking services

Mobile banking services include:

 Account information :

1. Mini-statements and checking of account history

2. Alerts on account activity or passing of set thresholds
3. Monitoring of term deposits
4. Access to loan statements
5. Access to card statements
6. Mutual funds / equity statements
7. Insurance policy management

 Transaction :

1. Funds transfers between the customer's linked accounts

2. Paying third parties, including bill payments and third party fund transfers(see,
e.g., FAST)
3. Check Remote Deposit

 Investments :

1. Portfolio management services
2. Real-time stock

 Support :

1. Status of requests for credit, including mortgage approval, and insurance coverage
2. Check (cheque) book and card requests
3. Exchange of data messages and email, including complaint submission and tracking
4. ATM Location
5. Loan Application

 Content services :

1. General information such as finance related news

2. Loyalty-related offers
3. Mobile banking has already
evolved as a powerful intermediate
towards efficient and real-time
4. banking service. The banks
and the mobile banking service
providers are working their way
5. towards increasing
consumer’s acceptance with
mobile devices. The mobile
banking and
6. payments ecosystem is complex
and dynamic. It is not clear who
will emerge as the winner in
7. the growing space from a
financial services, application
provider or technology
perspective.
8. Security and the perception of
security will clearly play a role
in who ends up dominating.
9. Government and banks urging
the customers to use mobile
banking instead of going to banks
as
10. well as for purchasing. As per
the study Balance enquiry and
account information are the most
11. commonly used service in
mobile banking. Majority of
customer feel that service charges
on
12. mobile banking are reasonable.
Customers feel that banking
transactions are safe through
mobile
13. banking. Most of them are
satisfied with mobile banking
application. Among the different
14. service provided by the bank,
ATM and mobile banking are the
most commonly used service
15. compared to others. A minority
of people do not prefer mobile
banking because of security fears,
16. so that every individuals will
prefer mobile banking
17. Mobile banking has already
evolved as a powerful intermediate
towards efficient and real-time
18. banking service. The banks
and the mobile banking service
providers are working their way
19. towards increasing
consumer’s acceptance with
mobile devices. The mobile
banking and
20. payments ecosystem is complex
and dynamic. It is not clear who
will emerge as the winner in
21. the growing space from a
financial services, application
provider or technology
perspective.
22. Security and the perception of
security will clearly play a role
in who ends up dominating.
23. Government and banks urging
the customers to use mobile
banking instead of going to banks
as
24. well as for purchasing. As per
the study Balance enquiry and
account information are the most
25. commonly used service in
mobile banking. Majority of
customer feel that service charges
on
26. mobile banking are reasonable.
Customers feel that banking
transactions are safe through
mobile
27. banking. Most of them are
satisfied with mobile banking
application. Among the different
28. service provided by the bank,
ATM and mobile banking are the
most commonly used service
 29. compared to others. A minority
of people do not prefer mobile
banking because of security fears,
30. so that every individuals will
prefer mobile banking
Mobile Banking Advantages

 Time Saving

Mobile Banking offers quick and instant banking services, eliminating your dependence on
banks for basic transactions. Do you want to check the account balance, the details of your recent
transactions or simply transfer funds in a jiffy? Just load your bank’s mobile banking app on
your phone, and you are good to go.

 Remote Banking

Are you travelling to a different city or perhaps going abroad? No matter where you are, all you
need is a stable internet connection and a robust mobile and internet network. You can conduct
various kinds of transactions form from anywhere across the globe, thanks to mobile banking.

 Monitoring Transactions

Another mobile banking advantage is that you can track all your financial transactions. You can
monitor your bank accounts and conveniently dispute fraudulent transactions simply by logging
in to your mobile banking app.

 Easy Access

Whether you want to transfer funds, check account balances and statements, or apply for loans –
you can do it all with mobile banking. You can order cheque books and apply for credit and debit
cards, open fixed and recurring deposits, and more using your mobile banking app.

 Round-the-clock availability
Mobile banking is like carrying your bank in your pockets 24 hours a day, 7 days. You can
initiate fund transfers at any hours, reach out to customer care helplines and get banking
information within minutes through the mobile banking app.

 Value-Added Services

Mobile banking apps also enable utility bill payments, mobile phone recharges, insurance policy
purchases, etc. You can open investment securities accounts, pay taxes, purchase FASTags, open
pension accounts, and more.

Mobile Banking Disadvantages

 Internet reliant

A major disadvantage of mobile banking is that it functions only if you have an internet-enabled
smartphone. You can also enjoy the services on regular mobile phones, but they are not as
extensive as those you can get through mobile apps.

 Tech Knowledge

You need to be well-versed with the constantly evolving banking technologies to enjoy mobile
banking advantages. This can prove to be quite a challenge for older people or people from rural
areas.

 Internet Phishing

Unsafe internet and mobile banking practices can lead to internet phishing scams. You risk
exposing your account details if you store your passwords and other sensitive banking
information on your phone. Avoid opening scam emails or sharing passwords to enjoy mobile
banking services securely

 Restricted Plans  
Though there were many plans to enhance mobile banking offerings and services, in reality the
initiatives were very restricted. Most applications are informative such as bank balances or credit
card or bank amounts rather than interactive services like buying or trading
  Technical Problems
There are problems of technical issues, security concerns and cost
constraints. WAP proved to be too slow and cumbersome to
satisfy the customer. People think about security. But, their
concerns are not adequately fulfilled by purveyors of m-banking.

 High Charges
The most significant problem of m-banking is that costs exceed
perceived benefits. The charges for data transmitted are still too high to develop mobile banking
in several countries.

SBI Mobile Banking

State Bank of India provides its customers with the convenience of mobile banking services. To
register for it you just need to send 'MBSREG' to 9223440000/567676 from the registered
mobile. You can also activate it from an SBI ATM or through the branch. Using this facility,
customers can check their SBI account details anytime and anywhere. To access the mobile
banking service, customers have to register.

Mobile banking has simplified our financial tasks by providing most banking-related services
through mobile devices such as a smartphone, tablet, laptop, etc. The advent of mobile banking
has made processes such as money transfers, payments, balance enquiries, deposits, etc. possible
right from the comfort of your homes.

State Bank of India offers mobile banking to its users via State Bank Freedom, which enables its
customers to enjoy anytime, anywhere banking. The Mobile Banking Service provided by SBI
can be used either via an Application/WAP (Wireless Application Protocol), SMS, or via USSD
(Unstructured Supplementary Service Data).

Application or WAP (Wireless Application Protocol)

State Bank of India allows its customers to use mobile banking on their phones using an
application or WAP. To use this service, you must either be using an Android mobile phone,
iPhone, or have a java enabled phone. GPRS is not mandatory to use this service. All you are
required to do is download the application on your phone to start using State Bank Freedom.
Alternatively, if you can also use this service on your phone through WAP, with or without java,
having a GPRS connection.

Savings account as well as current bank account holders belonging to the P segment and current
account holders in the SME segment are eligible to use this service. The service can be availed
by any account holder irrespective of the telecom service provider being used. There are no
additional charges for the service, however the customer must bear the GPRS and SMS cost. The
daily transaction limit using this service is Rs.50,000, while the monthly limit is Rs.2,50,000.

Features of mobile banking using WAP/App:

 Cheque book request

 Demat Enquiry
 Balance enquiry
 Request for mini statement
 Transfer of funds within and outside bank
 DTH or mobile top-up
 IMPS (Immediate Payment Services)
 Merchant payments (M Commerce)
 Postpaid bill payments
 ATM or branch locator
 SBI Life Insurance premium
 Railway ticket booking using IMPS through IRCTC portal
 Instant opening or closing of FDs and RDs
 SMS State Bank of India allows you to use mobile banking using your phones over an SMS.
To use a particular service, the accountholder must enter the keyword corresponding to the
service, and SMS it to 9223440000. Given below is the list of keywords:
 Prepaid Mobile
 IMPS Merchant payments
 Enquiry Services – Mini Statement/Balance Enquiry
 DTH Recharge
 Mobi Cash wallet Top up
 IMPS Fund transfer – Account Number & IFS Code, Mobile Number & MMID

All savings or current bank accountholders in the P segment and current account holders in the
SME segment are eligible to use this service. This service is free of charge, however SMS
charges are to borne by the user. Accountholders are instructed to delete the messages as a
precaution. The daily transaction limit usage for this service is Rs.1,000 and monthly transaction
limit is Rs.5,000. However, there is an option to increase the daily limit to Rs5,000 and monthly
limit to Rs.25,000 by using an OTP.

 USSD (Unstructured Supplementary Service Data)

SBI accountholders can also use the mobile banking service over USSD, available on all phones
barring CDMA phones. To avail the service, all you need to do is dial *595#. Using this service,
accountholders can avail services such as mobile top up, funds transfer, and enquiry services.

SBI Mobile Apps

Mentioned below is a list of mobile apps offered by SBI

App Name Features

 Voice assisted transactions

SBI Anywhere
 Bill payments
 UPI
 Fund transfers
 Recharge
 Manage Debit card

 Basic banking transactions

YONO SBI
 Link all SBI entities like credit card,
insurance, etc.
 Pre-approved personal loans
 One-click overdraft against fixed
deposit
 Request cheque books, ATM cards, etc
  Account details and summary
SBI Anywhere Corporate
 Bill payments
 Fund transfer
 Authorize e-cheque

 Register for online SBi card account

 Account summary, transaction history,
SBI Card
card statement, etc.
 Flexipay instalments
 Balance transfer on EMI
 Exclusive offers
 Reward redemption

 Verify transactions done via internet

SBI Secure OTP

 View rewards
 Redeem rewards
SBI Rewardz  Exclusive offers

 Easy and instant payments

 Bill payments
BHIM SBI Pay  Exclusive deals
 Benefits of using SBI Mobile Banking

 State Bank Freedom, the mobile banking services of SBI gives you the advantage of
anytime banking through your phone.
 It is available to all SBI customers with an operating savings bank or current account.
 SBI Mobile Banking services are absolutely free of charges, except he SMS charges.
 It is a safe and secure process.
 There are a number of services that can be availed through State Bank Freedom.
 There is no need of registration with any specific service provider as it can be availed
across all service providers.
 SBI is planning on adding services such as movie tickets, air, or train tickets through
State Bank Freedom

Mobile banking allows consumers to be able to access banking services from anywhere.
Businesses and business owners are now able to save time by making use of mobile applications
to process their payments or even receive funds from clients directly to their phone numbers. It is
particularly popular among small to medium-sized enterprises (SMEs).

With mobile technology, banks are able to cut down on operational costs while still maintaining
client satisfaction. The fact that any client of a bank can make use of their app to request a
service, such as opening an account or even the ability to schedule debit orders or other
payments from an application, allows for larger transactional volumes, eventually driving
business growth.
CONCLUSION :
Mobile Banking is easy to use and can be use any time anywhere due to its mobility. The mobile banking
in India is becoming very famous because of the digital payment system. But still some account holders
are not aware about the mobile banking and avoid using it. In India people still believe that traditional
banking is safe and best to handle. Young and professional persons are the most who use mobile
banking frequently. There is also need to generate awareness about the mobile banking so that more
and more people use it for their benefit.