Mobile payments and banking over the air


Added: 01-06-2010
Author: Suresh Vidya
Category: Cellular Phone
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Mobile business (m-commerce) describes the payment, money transfer, bank transactions through the air. This will be one of high growth applications, such as telephone density increased throughout the world. According to the Consultative Group to help the poor (CGAP), in the year 2009, there will be more than one billion people worldwide who have a phone, but do not have personal bank accounts and credit cards.

Although, there is a traditional-based services, m-business applications can benefit existing financial institutions. The phone also can benefit from the service provider money and take advantage of a customer invoice relationships.

In the current market, there bank telephone number services in developing countries. For example,'s Safaricom M-plane (TM) phone service to transfer money has attracted more than 5 million users after kenya under two years of work. Other African provider, Rwandatel, is scheduled to launch mobile banking service to transfer funds in 2009.

Hand provisioning solutions are also supported in the transfer of international funds, primarily aimed at migrant workers in developed countries. For example, SingTel and StarHub in Singapore has a supply of foreign labor services that are targeted for many years.

A provider can evaluate the possibility of m-commerce and banking. Provider can be used as a bridge between the institution and the customer. In addition, regulators may become more worried and cautious about the possibility of fraud, especially related to the phone payment method. Force working with financial institutions and regulators can help influence service providers to exploit their strong brands and large retailers in their presence.

As service providers make it clear that banks just how close their relationship with their customers, may be strong enough proposition that commercial banks can view electronic payments as an opportunity than a threat to competition.




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