Reviewed by Aug 26, 2020| Updated on
With the widespread use of internet over the last decade, the banking industry has gradually shifted to a more technologically advanced, secure, and sophisticated mode of transaction. Banking transactions have become so simple that you can actually make transactions at your fingertips. All you need is a mobile with an internet connection for mobile banking.
Mobile banking allows transactions between different accounts, payment of utility bills, checking of the account balance, and more without any additional fee.
Understanding Mobile Banking
Types of Mobile Banking
There are three types of mobile banking services offered to customers: 1. Mobile Banking over SMS 2. Mobile Banking over Wireless Application Protocol (WAP) 3. Mobile Banking over Unstructured Supplementary Service Data (USSD)
How Do They Work
Mobile Banking over SMS: This form is also known as SMS banking. It allows customers who do not have access to the internet to check their bank account balance and receive a mini account statement among others. Just choose to sign up with your bank for the service and register your number with the bank account.
Mobile Banking over WAP: Customers who wish to avail this service can download the official banking app released by the concerned bank on their smartphone. Once downloaded, customers will be required to register for mobile banking services. Upon receiving their login credentials from the bank, mobile banking services can be used.
Mobile Banking over USSD: Banks also offer mobile banking services to customers who do not have access to the internet or a smartphone. Customers are provided with USSD codes. Customers can avail services, such as account balance enquiry and mini account statement, on their phone. Over the years, mobile banking with USSD has become one of the most commonly used methods in rural areas.
Benefits 1. Convenient mode of banking from anywhere, at any time. 2. Banking services can be availed by anyone who has access to the internet or to a mobile phone. 3. The login credentials ensure that your account and personal details are safe.