Security concerns top the list of reasons why some people are hesitant to try mobile credit card processing and mobile banking in general.
In fact, an October 2011 study conducted by The Ponemon Institute and ThreatMetrix revealed that more than half of those who don’t use mobile banking apps cited safety as the main reason why, according to Sileo.com.
But a new report by London-based research and consulting firm Goode Intelligence may help reduce some of these fears. The firm concludes that although there are risks, mobile banking has the potential to be safer than traditional online banking.
The Mobile Banking Security Insight Report looked at the current state of mobile banking security, and investigated how banks, with the help of their technology partners, are deploying solutions to prevent fraud and identity theft.
It concluded that banks must be vigilant with their security measures while offering customers an excellent user experience in order to increase the popularity of mobile banking.
Studies show that consumers are increasingly comfortable with performing financial transactions on their mobile devices. A recent survey conducted by the American Bankers Association found that while the internet remains the most popular banking method, mobile is now preferred by six percent of customers, a 100 percent increase from 2010.