Mobile Bankin of Bangladesh
Definition of Mobile Banking:
In many developing countries transferring prepaid mobile phone (cell phone) credits are being used as a way to move money more swiftly and securely than the antiquated and inconvenient banking, postal and transportations systems in these countries would otherwise allow. These prepaid mobile phone credits thus represent an alternative currency that underlies an alternative banking system.
Thus, the most efficient funds transfer and payment method over long distances in much of the developing world involves transferring funds by moving prepaid calling credits between mobile phone accounts. If the ultimate recipient either does not have a mobile phone or desires a cash payment, third parties often stand ready to accept calling credits to their own mobile phone accounts, then to tender the cash to that recipient, minus a commission, often in the range of 10-20%. See "A special report on telecoms in emerging markets" in the September 26, 2009 issue of The Economist.
History of Mobile Banking
Mobile banking customers now enjoy a more user-friendly service compared with the service's beginnings in the early 2000s. The decade has been a time of trial and error, as financial institutions struggle to meet consumer preferences for mobile banking features.
Early 2000s
• Banks faced mobile banking challenges in the early part of the decade. Consumers found it difficult to view their financial information on the small cell phone screens that were common at the time. Some banks offered the service, only to soon discontinue it; in 2002, Wells Fargo developed a mobile banking service and only 2,500 customers enrolled in it. Because of the poor response, they soon withdrew the offering.
Mid-2000s
• As the size and capabilities of mobile devices increased, so did the effectiveness of mobile banking. Banks introduced services that accommodated more types of cell phones and mobile devices, including smart
In many developing countries transferring prepaid mobile phone (cell phone) credits are being used as a way to move money more swiftly and securely than the antiquated and inconvenient banking, postal and transportations systems in these countries would otherwise allow. These prepaid mobile phone credits thus represent an alternative currency that underlies an alternative banking system.
Thus, the most efficient funds transfer and payment method over long distances in much of the developing world involves transferring funds by moving prepaid calling credits between mobile phone accounts. If the ultimate recipient either does not have a mobile phone or desires a cash payment, third parties often stand ready to accept calling credits to their own mobile phone accounts, then to tender the cash to that recipient, minus a commission, often in the range of 10-20%. See "A special report on telecoms in emerging markets" in the September 26, 2009 issue of The Economist.
History of Mobile Banking
Mobile banking customers now enjoy a more user-friendly service compared with the service's beginnings in the early 2000s. The decade has been a time of trial and error, as financial institutions struggle to meet consumer preferences for mobile banking features.
Early 2000s
• Banks faced mobile banking challenges in the early part of the decade. Consumers found it difficult to view their financial information on the small cell phone screens that were common at the time. Some banks offered the service, only to soon discontinue it; in 2002, Wells Fargo developed a mobile banking service and only 2,500 customers enrolled in it. Because of the poor response, they soon withdrew the offering.
Mid-2000s
• As the size and capabilities of mobile devices increased, so did the effectiveness of mobile banking. Banks introduced services that accommodated more types of cell phones and mobile devices, including smart