Mobile banking: its a matter of when
"Like regular online banking, the mobile service allows consumers to transfer funds, check balances, make bill payments, and look up branch locations from their mobile devices.
Though still in its infancy, banks are hoping the mobile service will catch on with consumers. Dan Schatt, a senior analyst at Celent, says banks see it as a way to keep customers and “generate more payment revenue down the line” as people get more comfortable with using mobile devices for their finances.
"The more services" the banks offer, says Asaf Buchner an analyst at JupiterResearch, "the less likely you are to quit your bank entirely."
Citi Mobile, which was launched last month, is a downloadable application. Customers need to log on to citi.com/citimobile on their computers and download Citi Mobile to their cell phones. The application then resides on the phone anytime you want to access your accounts.
Celent predicts that by the end of 2010, 35% of all online banking households will be using mobile banking.
"It's not a matter of if" mobile banking will take off, says Bob Egan, chief analyst at TowerGroup, "it's a matter of when."