Several mobile-only banks are available, such as Digibank by DBS and Current, a part of Choice Financial Group. If mobile banking without a physical bank branch location becomes an industry standard, community banks and big banks alike would be eliminated or forced to take on completely revamped business routes. The biggest question consumers need answered is how secure finances would be in an exclusively mobile world.
How Secure Are We Now?
Security Magazine reports that around 90% of Americans are concerned with fraud and cybersecurity, which extends to mobile banking. As cybercriminals become smarter with their techniques for stealing information, like smishing and phishing, the next phase of cybersecurity points to biometrics for consumer reassurance. Some mobile banking apps already use biometrics like facial recognition to allow users to log into their accounts securely.
Adapting to a Digital Age
Going mobile and sticking to traditional banks put consumers at largely similar (i.e., minimal) risk. Mobile security expert Andrew Hoog’s tests on six popular mobile banking apps. In his study, all but one failed. Ironically, the test had positive results for the companies involved: In the months following the results, each changed its technology, improving consumer mobile protection.
After choosing a highly-regarded app for mobile banking, the best step for consumers is to learn the importance of strong passwords, as defined by the University of Texas. With a difficult-to-guess code, mobile banking users can do their part to help thwart would-be hackers. Thankfully, the advancement of technology often goes hand-in-hand with security improvements.