What We’re Reading: Mobile Check Deposit, ATMs and Mobile Wallets
Below are interesting stories the Banking.com staff has been reading over the past week. What have you been reading? Let us know in the comments section below or Tweet @bankingdotcom.
- Half of U.S. Consumers Would Use a Mobile Wallet: Survey
Emerging mobile wallets may pose a bigger risk to banks than many realize. Nearly half of U.S. consumers are interested in using a mobile wallet to help them manage card payments, and many of those would consider a provider that is not a bank, new survey data from the financial consulting firm Carlisle & Gallagher Consulting Group suggest. Among consumers interested in mobile wallets, 80% said they would consider PayPal as their primary bank if it offered banking services, and 60% said they would consider Google, according to the survey. Apple won over 60% of respondents, even though it does not currently offer a digital wallet.
- Monetizing Mobile Check Deposit
Winston-Salem, N.C.-based BB&T Corp. may be a super-regional, but the bank’s acquisitive yet conservative deal-making has garnered it national notice in industry and analyst circles. BB&T has in the last 10 years more than doubled its assets to $174.8 billion, making it one of the largest regionals in the world and the 13th largest bank in the U.S. As this once quiet Southeastern bank rises more swiftly to national prominence, it’s working on its mobile offerings. BB&T released April 30 one of the most strongly desired mobile banking features – mobile check deposit – to its retail and business customers.
- Mobile Banking: Predicting the Risks
Mobile security threats can be managed through testing and strategic risk-mitigation strategies, says Keith Gordon, who oversees authentication and security strategies for Bank of America’s consumer online and mobile banking units. A mobile banking pioneer, Bank of America has come up with some innovative ways to anticipate mobile threats. This top-tier bank has seen its mobile-user base explode, increasing by nearly 3 million users in the last 12 months. It now has more than 10 million mobile users.
- Long Live the ATM: Automated Teller Machines Are Still An Important Delivery Channel for Banks
The automated teller machine may not be as hot as other banking channels, such as mobile, but the ATM remains a critical component of banks’ multichannel delivery strategies. Perhaps because they’ve been around for more than 40 years, ATMs just don’t garner the excitement of newer channels, such as mobile. But the ubiquitous ATM — used by 85 percent of consumers, according to a recent Mercator Advisory Group report — is still delivery channel royalty. Even as banks introduce and build out new delivery channels, ATMs will remain an important part of the mix, notes Ken Patterson, VP of research operations and director, credit advisory service, for Maynard, Mass.-based Mercator Advisory Services.
- Prepare for “smartphonatics”
What do you call someone who is a fanatic about their smarrtphone? Aite has dubbed this group “smartphonatics.” The research outfit coined the term after looking at mobile banking and payment adoption in 14 countries. It describes this group “as people who change their shopping, financial and payment behavior as a result of owning a smartphone. The report makes the claim that Smartphonatics’ behavior is shaping consumer needs and requirements for mobile payment and banking solutions, and sets the bar for how financial institutions and retailers will have to respond over the next five years to stay competitive.”
- 5 Ways Banking is Changing Fast
When bank ATMs first started appearing in the U.S. some 40 years ago, they were hard to miss. Recent innovations have been much more stealthy — but just as groundbreaking.In case you’ve missed them, here are five contemporary, cutting-edge technologies that are quickly changing banking:Online Banks: The advent of the internet has not only given people the opportunity to bank online, it’s also presented banks with the opportunity to serve customers online exclusively — as in, without brick-and-mortar branches. Mobile Banking: Download a bank’s mobile app onto your smartphone and you can do your banking on the go. Common mobile features include allowing you to check your balance, view recent transactions, transfer money between accounts and find ATMs.
- On Campus, New Deals With Banks
College campuses have long been attractive hunting grounds for financial institutions looking for new customers. In recent years, however, their efforts to woo students have gotten banks and other financial institutions in trouble with regulators. They are now effectively prohibited from providing gifts to students who sign up for credit cards. And the colleges themselves can no longer be paid by the lenders to steer students to student loans.