HDFC Bank seeking 3G services to improve mobile banking (India)
A senior HDFC Bank official has claimed that the bank is planning to increase the number of clients using its mobile banking services in Andhra Pradesh to 10% of its customer base once 3G services are fully launched in the state from below 5% at present.
The leading private lender is also set to open 34 new branches in the state before the end of this financial year, taking the total number to 137.
According to HDFC Bank Senior Vice President, Mr C S Gopinath, mobile banking is still in the budding stage. It has to go a long way. After facilities like 3G services are launched, it is expected to reach 10%. Currently, mobile banking is around 3 to 5%. The aim is to encourage customers to go for more technology based services like ATM, mobile and Internet banking.
According to Mr Gopinath, only 26% of HDFC Bank’s customers visit branches and the rest depend on ATMs, the Internet and mobiles for their banking needs. The bank has 450 to 500 ATMs in AP and up to 20% of customers use Internet banking. HDFC Bank is planning to open 34 new branches in the state by the end of this fiscal.
He informed that they have 103 branches in AP presently. They are planning to open another 34 by the end of this financial year, taking the number of branches to 137. In Karnataka, they have close to 100 branches and in Kerala — 150. In Tamil Nadu, the bank has 135 branches.
Mobile banking 19% cheaper than traditional banking
www.WirelessFederation.com/news: According to a research, when compared to traditional bank services, mobile banking services are on average 19% cheaper. It has also been found that the lower the transaction value, the cheaper mobile banking is, in comparison with formal banks.
Mobile banking is also found out to be 54% cheaper than informal options for money transfer. It has also been revealed in the research that the price gap between branchless banking providers and banks was not as large as expected.
Mobile banking services were found to be only 19% cheaper on a medium deposit size of $69 while formal banks proved the significantly cheaper option for high†deposits of $207.
Visa, Monitise join hands for mobile banking services in India
www.WirelessFederation.com/news: To develop mobile banking services in India, Visa Inc. and London-based mobile financial services company Monitise PLC have entered into a joint venture. The business arrangement is expected to be completed in June and under the agreement, a system for financial services providers in India will be developed to accelerate the delivery of mobile services such as banking, bill payment, and mass transit ticketing.
Financial institutions, mobile network operators and technology providers, including Monitise have been partnered by Visa over the past two years, to extend mobile banking to more consumers in more countries. 200 banks and financial institutions in the United Kingdom and United States are served by Monitise to deliver mobile banking and payment services to over 2 million registered users.
According to Visa spokeswoman Elizabeth Buse, creating this joint venture is a crucial step that can help expand the acceptance of digital currency in India and enable the migration of $700 billion of annual consumer spending from cash to electronic forms of payments.
Cingular to Launch Mobile Banking Service
Cingular Wireless and Firethorn announced plans today to provide Cingular subscribers with mobile banking access in the very near future. Subscribers will have the ability to view balances, transfer funds and pay bills all from their Cingular handset. Security is a key feature of the new Firethorn application which will allow for clearing of handheld content if the phone is lost or stolen.
It is the right time for the wireless industry to begin moving ahead with mobile banking. Two-thirds of America’s 300 million people now use wireless phones and nearly 60 percent of wireless customers use their handsets for something other than making calls. It is only natural that we move the ease, convenience and efficiency of electronic banking onto the wireless device. With the simplicity of its single pathway, Firethorn will make it easy for Cingular to work with financial institutions who want to deliver mobile banking services to our customers.
Currently being trialed, Firethorn anticipates an initial commercial launch of its mobile banking and payments application in early 2007.
For Best Practices/ Case Studies on Mobile Money – Banking, Remittances, Commerce & Payments. Please contact Christina@WirelessFederation.com
