With growing hardware and operating system diversity in mobile phones there has been a significant acceleration in Mobile banking and financial transactions using E-Wallets. Many banks are launching their branded mobile wallets. Based on a study by Forrester, Chase, Citibank, Bank of America and Wells Fargo lead the way relative to mobile banking functionality.
Key Security Risks:
Perception of insecurity is a key area of concern for consumers and financial service providers of mobile banking and payments. Banks and other financial institutions still have not been able to gain the trust of consumers and it has been a major barrier to use mobile banking products and services such as E-Wallets. Maliciously developed Applications, Malwares & Ransomware, SMS, Hardware and OS vulnerabilities are some risk which are being detected routinely in mobile banking.
To address such challenges proper security measures have to be incorporated like educating customer, proper security testing on UAT of applications before going live, using 3rd party vendor for performing penetration testing and secure data handing.
Maintaining the customers trust and extending their services and products in terms with regulatory environment would be the key for mobile banking and payments.