What is a Mobile Banking Application? Know Everything About it!

What is a Mobile Banking Application

Banks ensure to upgrade their services to let their customers experience the best banking services and continuous upgrades. One such service extended through banks to their customers is given via mobile banking application.

Mobile net banking applications ease the task of doing a major number of banking activities online. A user with an active mobile net banking application can make transactions every day, transfer money from one bank account to another, pay bills and more.

In this blog, we will understand more about mobile banking in detail, its benefits, use, etc.

What is Mobile Banking?

Mobile banking is a compressed version of all the banking services made available through a banking mobile application. A customer is needed to download the respective banking mobile application from the authorized app store. Upon installing the application and setting the user profile, the customer can perform various banking activities like fund transfer, checking passbook/account balance, making payments, booking tickets and more.

  • A mobile banking application enables a customer to perform various banking transactions
  • The mobile banking application requires a smartphone and a stable internet connection
  • It allows customers the freedom to perform banking transactions anytime and from anywhere
  • Customers can avail mobile banking services through SMS
  • Push notifications through the mobile banking application are sent to the customers for timely updates, new deals & discounts

Overview of Mobile Banking

Below is a brief overview of the mobile net banking application that offers users the flexibility to do a number of banking activities online-

ParametersMobile Banking
Device usedSmartphones, tablets
Services offeredLimited
How to accessCustomers only require a User ID and password to use banking services online
EaseEasy to use and can be used on the go
Push notificationsCustomers receive notifications regarding banking offers, exciting deals and more
Other servicesMobile banking can be access through SMS

Top Benefits of Mobile Banking

There are numerous benefits of mobile banking, a few among them are written below-

  • Mobile banking applications can be accessed anytime and from anywhere
  • Customers can track their transaction activities like checking bank passbook, everyday transactions and more
  • Banks allow customers to make payments, transfer funds, track transaction history, add beneficiaries from the banking mobile application
  • Banking mobile applications can be used to recharge mobile phones, booking train/flight tickets, complete utility bill payments, etc.
  • Mobile banking is convenient to use
  • Banking applications can be customized as per the customer requirements
  • Alerts can be activated to make payments always on time
  • Push notifications sent through mobile banking application ensures that a customer is not missing major deals and discounts

How to Use a Mobile Banking Application?

Use mobile banking applications by following the given instructions carefully. It must be noted that the structure of banking mobile applications varies from one banking application to another.

  • Download the mobile banking application from the respective app store (Google Play Store, Apple App Store or from the authorized app store)
  • Log in to the application and enter passbook number/account number/registration number, etc.
  • Set a password and re-enter it
  • The banking mobile application is set and can be used to perform banking operations online

Things to note-

  • A smartphone and a stable internet connection is needed to use a mobile banking application
  • It is advised to set a strong password as mobile banking applications are prone to digital thefts or frauds
  • The mobile banking application onboarding process varies from one banking application to another

Limitations of Mobile Banking Applications

Following are the limitations associated with mobile banking applications-

  • Mobile banking application must be downloaded from the respective app store
  • Banking applications require one to have a stable internet connection and a smartphone
  • The customer is required to update the application after frequent intervals
  • Logging to the mobile banking application from any third party application or website might leave the app exposed to fraud or hacking
  • In case of low internet connectivity, the app might crash and result in failure of transactions
  • The mobile banking application can be misused if in case the banking passcode is exposed to an unknown person

Things to Take Care of when using a Mobile Banking Application

A few things should always be taken care of when using a mobile banking application-

  • Never share login credentials with anyone
  • It is advised to use a safe network connection
  • Resist using public networks
  • Never sign in from third-party websites or other promotional emails
  • It is recommended not to use another person’s device to log in to the mobile banking application
  • Banks never ask for login credentials or completion of KYC over an SMS or calls; hence, it is advised never to share credentials over call or SMS
  • There should be anti-virus software installed in the smartphone
  • Always log out from the mobile banking application after its use
Can I use a mobile banking application every day?
Mobile banking applications are designed in a way that they can be operated or used every day for regular transactions to transfer a high amount of funds.
Is it safe to use mobile banking applications?
Yes, it is safe to use mobile banking applications as they are made from the best of technology, payment gateway and are safeguarded by the banking protocols.
Who should use mobile banking applications?
Any customer with an active bank account and installed banking mobile application or a person who would want to use banking services online should use mobile banking applications.
How much amount can I transfer through a mobile banking application?
The amount to transfer from a mobile banking application to another account holder’s bank is based on the banking fund transfer policies. It is advised to check the same before transferring funds.
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