Banking as we know it is changing-even a retired banker will tell you that the processes followed even ten years ago are very different today. Cheques, cash deposits and demand drafts ruled the roost a few decades ago, and going to bank was an activity reserved for Saturdays for most of the working professionals. You will be shocked to know that very same banks that used work relentlessly even on Saturdays now remain shut on 2nd and 4th Saturdays.
This has been made possible by the fact that most banking transactions, both between people and organizations, can now be done online at just the click of button. Taking virtual banking one step further is the concept of MOBILE BANKING.
With the advent of smart phones, it was only a matter of time before banking institutions realized that having a mobile application can be far more convenient way of accessing accounts than even using computer. With this thought in mind, most public and private sector banks have launched banking apps from which you can transact freely. Some apps even go the extra mile and let you pay the bills and invest money directly from their app.
Where, then is safety net? Can anyone who has access to your phone use your banking app? The answer is no. Only you can log in to your banking app by using 4/6/8 digit PIN that you will have to set at the start. Just like your ATM PIN, you need to keep this PIN confidential. On the app’s home screen, you will be asked to enter this PIN and only then you can access the app and your account details.
Some features, such as adding and removing beneficiaries can still not be done through most apps and you still need too use the bank’s website for this.
Then what is the benefit of moving to mobile app? The sheer accessibility of course! Most apps are lighter than their corresponding web pages, meaning you can access your account from anywhere even with basic internet connection. This can be very important when you are move. Secondly, the need to visit a bank for any service is nearly eliminated. Security-wise, as long as you only connect to trusted internet connections and keep your PIN confidential, you have nothing to worry about. Here are some tips on safe mobile banking.
Be Secure and Safe
1 Most of the phone support numeric password lock. Activate your phone with password that is difficult to crack.
2 In your smart phone install app that can be password protected. Even if your phone is stolen, the thief can not access information stored.
3 Never save your ATM PIN or your onetime transaction password in the phonebook. Even if you do, disguise it as 10 digit number by adding a few numbers that only you know.
4 Never disclose your personal information such as account number, password, PAN card number in text messages. These can be used for identity theft.
5 Always keep your phones Bluetooth turned off and do not accept data from unknown sources.
6 Do not open unknown web links on your phone.
7 At random intervals, change your account password used for making transactions.
RBI Guidelines on Mobile Banking
- Banks should offer mobile-based banking service to their customers, be it bank account or credit card account holders.
- Banks should have system of registration before starting mobile banking payment service to a customer.
- There can be two levels of mobile based service, the first being basic level like providing information like balance enquiry, sms alert for credit/debit, status of last five transactions, and the second being standard level of mobile banking services involving financial transactions.
- Only Indian Rupee-based services can be provided.
- I case where the customer files a complaint with the bank disputing a transaction, it would be the responsibility of the service providing bank to address the customer grievance.
In the end mobile banking is very convenient, provided you safeguard against all the possible hacking risks
Waiting for your feedback on this blog
Anil Malik
Mumbai, India
4th February 2025