IIBF Mobile Banking

1. MOBILE BANKING

2. 1.
History
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3. ✖ Transactional -- Experience Driven
service
✖ Vital role-digital banking
✖ “Pull based”- ‘high end’ personalised
offerings.
✖ Social media,Big data, cloud , NFC-
Differentiating feature
✖ Predictive behavior model-Identify low
risk service opportunities.
✖ Low admin cost
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4. History(Conti..)
✖ Advancement in tech- mobile
density(100 crores)
✖ Not only gives convenience but also
facilitates unbanked & under banked
population-e banking.
✖ COAI-981.65 Million subscribers
✖ TRAI- 1190.67 Million subscribers(Dec
2017)
✖ 1.22 billion-2022
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5. History(Conti..)
✖ India-cash based economy
✖ Opportunity- non cash transactions
✖ Ubiquitous mobile penetration- inclusive
banking
✖ More economical than traditional
banking
✖ Need- solving real problem, mass appeal.
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6. 2.Product features
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7. 1.Mobile Banking: SMS Based
banking
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8. SMS BANKING
✖ Non-financial Transactions
○ Balance enquiry
○ Mini statement
○ Cheque book request
○ Transactions alert
✖ Financial Transactions
○ Fund transfer
○ Mobile recharge
○ Bill payments
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9. Send
request(Sho
rt/Long
code)
Provide(Ba
nk service)
Cellular
service
provider
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Bank(numb
er)
Bank App
Bank server

10. 2..Mobile Banking: USSD CODE *99#
Service
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11. USSD *99#
✖ Unstructured Supplementary Service Data (USSD) allows users
without a smartphone or data/internet connection to use mobile
banking through the *99# code.
✖ Mobile chat, m-commerce, balance enquiry, other services
✖ NPCI- *99#
✖ 12 Languages
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12. FEATURES
✖ Works without data connection on a basic phone
✖ 24*7 Service
✖ Low cost( No additional Charge)
✖ Easy to use
✖ Highly secure interface
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13. SERVICES
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14. How to Send Money Using USSD *99# Using MMID & Mobile
Number?
★ Step 1: Register bank account with mobile number and dial *99#
★ Step 2: The interface will open up and you can: Type 3 letters of your bank
name or first 4 letters of bank IFSC or 2-digit bank numeric code, proceed to
click ‘Send’
★ Step 3: Now, choose number ‘3’ to send money and proceed key in
payee/beneficiary mobile number
★ Step 4: Enter beneficiary ID/payee MMID, transaction amount
★ Step 5: Key in MPIN and last 4 digits of your bank account number
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15. How to Send Money Using USSD *99# Using IFSC Code & Bank
Account Number?
★ Step 1: Dial *99# from your registered mobile number
★ Step 2: Proceed to keyin 3 letters of your bank short name or first 4 letters of
bank IFSC or 2-digit bank numeric code
★ Step 3: Choose the option to transfer funds using IFSC code and mobile
number
★ Step 4: Enter beneficiary/payee account number, IFSC code and transaction
amount
★ Step 5: Key in MPIN and last 4 digits of your bank account number. A
confirmation message will be displayed on screen
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16. You can also split your content
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17. 3.Mobile Banking:mOBILE
Application
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18. MOBILE APPLICATION
❖ Customers may perform banking transactions through mobile device.
❖ They use mobile device to carry out transactions. The service is
provided by some financial institutions, especially banks.
❖ Mobile banking services can be categorized into the following: account
information access, transactions, investments, support services, and
content and news.
❖ To date, many financial institutions and banks make use of both SMS
and apps to keep their clients informed of their account activities or to
send out alerts to clients regarding possible fraud and/or updates and
maintenance of service.
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19. SERVICES
❖ NON FINANCIAL TRANSACTION:
➢ Balance inquiry
➢ Minis statement
➢ Cheque book request
❖ FINANCIAL TRANSACTION:
➢ Fund Transfer
➢ Mobile/DTH Recharge
➢ Bill Pay
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20. 4.Mobile Banking:mOBILE WALLET
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21. MERITS
❖ Ease of use
❖ Ease of access
❖ There will no issue of asking or searching for change which we have while
handling cash.
❖ It will be possible to make instant payments. Just like we can exchange
cash at any moment, we can exchange and transfer money anytime.
❖ Synchronization of data from multiple platforms is possible. Bank accounts,
credit and debit cards, mobile accounts and bills - all will be interconnected
and help in better management. It’s like everything is under one roof.
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22. DEMERITS
❖ Only for Tech savvy people
❖ Limited number of merchants
❖ Limitation on transaction amount
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23. 5.Mobile Banking:IMPS
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24. IMMEDIATE PAYMENT SYSTEM
❖ IMPS provides robust & real time fund transfer which offers an instant,
24X7, interbank electronic fund transfer service that could be
accessed on multiple channels like Mobile, Internet, ATM, SMS.
❖ IMPS is an emphatic service which allow transferring of funds
instantly within banks across India which is not only safe but also
economical.
❖ Currently on IMPS, 639 members are live which includes banks & PPIs.
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25. OBJECTIVES
❖ To enable bank customers to use mobile instruments as a channel for
accessing their banks accounts and remit funds
❖ Making payment simpler just with the mobile number of the beneficiary
❖ To sub-serve the goal of Reserve Bank of India (RBI) in electronification of
retail payments
❖ To facilitate mobile payment systems already introduced in India with the
Reserve Bank of India Mobile Payment Guidelines 2008 to be inter-
operable across banks and mobile operators in a safe and secured manner
❖ To build the foundation for a full range of mobile based Banking services.
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26. PARTICIPANTS
❖ Remitter (Sender)
❖ Beneficiary (Receiver)
❖ Banks
❖ National Financial Switch - NPCI
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27. Pre-Requisites for Mobile Banking through IMPS
Registration for Remitter:
● Register yourself with the mobile banking service of the bank.
● Get Mobile Money Identifier (MMID) and MPIN from the bank
● Download Software (Application) for mobile banking (ensure the compatibility of mobile with
the application) or use the SMS facility in your mobile if your bank provides IMPS on SMS
Registration for Beneficiary:
● Link your mobile number to the account in the respective bank.
● Get Mobile Money Identifier (MMID) from the bank
For Remitter (To send money):
● Login to the application and select the IMPS menu from the IMPS or use the SMS facility in
your mobile if your bank provides IMPS on SMS
● Get Beneficiary Mobile number and MMID
● Enter Beneficiary Mobile number, beneficiary MMID, Amount and your MPIN to send
● Await confirmation SMS for the debit in your account and credit in beneficiary account
● Note the transaction reference number for any future query
● Share your Mobile number and MMID with the remitter
● Ask the remitter to send money using your Mobile number and MMID
● Check the confirmation SMS for credit to your account from the remitter
● Note the transaction reference number for any future quer
Fund transfer/Remittance
● Using Mobile number & MMID (P2P)
● Using Account number & IFS Code (P2A)
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28. Using Mobile number & MMID (P2P)
IMPS offer an instant,24*7 interbank electronic fund transfer service capable of
processing person to person, person to account and person to merchant remittances
via mobile, internet and atms. It is a multichannel and multidimensional platform that
make the payments possible within fraction of seconds with all the standards and
integrity maintained for security required for even high worth transactions.
Sender & Receiver - Have to register for Mobile Banking & get a unique ID called
"MMID"
● Generation of MMID is a One-time process
● Remitter (Sender) transfer funds to beneficiary (Receiver) using Mobile no. & 7digit
MMID of beneficiary.
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29. Using Account number & IFSC Code (P2A)
● Presently, IMPS Person-to-Person (P2P) funds transfer requires the Remitter customer
to make funds transfer using Beneficiary Mobile Number and MMID. Both Remitter as
well as Beneficiary needs to register their mobile number with their respective bank
account and get MMID, in order to send or receive funds using IMPS.
● There may be cases where Remitter is enabled on Mobile Banking, but Beneficiary
mobile number is not registered with any bank account. In such cases, Remitter shall
not be able to send money to the Beneficiary using Mobile Number & MMID.
● Hence on the merit of the feedback received from the banking community as well as
to cater the above mentioned need, the IMPS funds transfer has been made possible
using Beneficiary account number and IFS code as well, in addition to Beneficiary
mobile number and MMID.
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30. Push based IMPS payments
● In this type of transaction, a customer ( buyer) in a merchant outlet initiates
the transaction from his mobile for payment for the goods by entering
merchant credentials like merchant's mobile number, MMID and payment
details and authorises the transaction by using own MPIN.
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31. Pull based IMPS payments
● When the payee, the person to receive money, initiate the transaction to receive
the money, the transaction or payment falls under pull payment.
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32. BENEFITS
● Offering innovative services
● Reduced cost
● More Customer engagement
● Anywhere anytime banking
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33. RISK MANAGEMENT
● Application server Risk
● Network / infrastructure risk
● Transmission risk
● Mobile device risk
● Mobile app risk
● End user risk
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34. THREATS
● Zitmo Trojan
● Banker Trojan
● Perkel / Hesperbot Trojan
● Wrob Trojan
● Zert security Trojan
● Droid Dream Rootkit
● Key loggers Spyware
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35. Video Links
What is Mobile Banking?-https://youtu.be/z8lq2Ptswsc
How mobile banking works?- https://youtu.be/ZciY1No5-Rw
IMPS Money Transfer-https://www.youtube.com/watch?v=PCA5PgMBKqg
https://www.youtube.com/watch?v=DxeMtdqfubM
USSD Service-https://www.youtube.com/watch?v=fVcWNrwPBBs
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