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MOBILE BANKING: DEFINITIONS AND BACKGROUND

DEVELOPMENTS

The Internet in its present stance can be viewed as one of the commonly available distribution
channels. In the mid 1990s, almost immediately after embracing the Internet as a channel for
banking services, banks started and telecommunications companies started to work together
towards the development of an online banking service based on mobile telephony. Projects were
developed aimed at enhancing the screen and the keyboard of the mobile phone trying to convert
it into a usable, portable and foldable pocket cash point device (Warren, 1995). By that time
banks and other financial institutions had already realized the huge potential of the Internet and
the increasing need for more Internet banking, and some of them were quite appreciative about
the possibilities of the future online banking services market. It was anticipated that banks would
change their role from that of a finance-only provider to a financial information provider with
future banking conducted through a mobile phone.
How did banks use the Internet? According to (Seitz & Stickel, 1998) end-user banking
encompasses four classes of services: i) information presentation, ii) information presentation
combined with two-way communications, iii) real-time interaction, and iv) transaction banking.
Online Internet banking applications typically fit into one or more of the first three categories.
Examples include logging in into an account to view account details, or analyzing an investment
portfolio using a built-in suite of mathematical models. Users are commonly asked to
authenticate themselves but most of the information needed throughout a session would be
supplied by a back-end customer database into which all relevant data is pre-stored.
While applications like the ones described above might be conveniently carried by a customer
sitting in front of a personal computer in an office or at home, the personal computer is not
always the best platform for the delivery of one of the reasons being the fact that personal
computers are often shared among members the members of the family or among co-workers
(Birch, 1999). In addition, personal computers are stationary desktop devices. Mobile phones, on
the other side, are truly personal. They are meant to be carried by their owner and not used by
another party. The implied privacy and its portability made the mobile phone particularly well
suited for financial services requiring high degree of confidentiality and flexibility, and gave rise
to the phenomenon known as mobile or wireless banking. Is mobile banking a subset of
online Internet banking, as classified in (Muller-Veerse (1999)? While true in some aspects, this
definition is too narrow to include all features of mobile banking. In this paper mobile banking
definition is derived from the definition of the broader category of mobile commerce, which in
turn is a subcategory of electronic commerce. The definitions of electronic commerce, electronic
business, and the related business models are constantly evolving. Following both academic and
industry based literature sources Mitchell (2001) defines electronic commerce as much more
than buying and selling on the Net: [electronic commerce] is about doing business electronically,
both within enterprises and externally, using computer networks and mobile communications.
This definition is general enough to be used as a reference point. Mobile commerce and mobile
banking are discussed in he next two subsections.
Mobile Commerce

Features of mobile commerce not found in traditional commerce outlined in (Siau et al 2001)
include ubiquity, personalization power, and flexibility. Mobile commerce is different from
electronic commerce: electronic commerce is conducted via stationary-networked devices while
mobile commerce is supported by mobile wireless networked devices (Varshney et al, 2000; Siau
et al, 2001). Mobile commerce is characterized by i) the opportunity provides for a personalized
and immediate purchase, and by ii) the opportunity to conducting bank transactions using money
funds. This beaming money feature of mobile transactions can be expanded to cover
transactions based on various forms of electronic money. A popular Web based encyclopedia
defines mobile commerce as the buying and selling of goods and services through wireless
handheld devices such as cellular (mobile) phones and personal digital assistants (PDAs)i. An
extended definition found on the Web page of a prominent mobile device manufacturer states
that mobile commerce is the use of wireless devices and data connection to conduct transactions
which result in the transfer of value in exchange of information, services or goods.

What is mobile banking :

Mobile banking refers to use of a smart phone or other cellular device to perform online banking
task while away from your home computer, such as monitoring account balance, transferring
funds between accounts, bill payment, and locating ATM.

Mobile banking is the act of doing financial transactions on a mobile device (cell phone, tablet,
etc.). This activity can be as simple as a bank sending fraud or usage activity to a clients cell
phone or as complex as a client paying bills or sending money abroad. Advantages to mobile
banking include the ability to bank anywhere and at any time. Disadvantages include security
concerns and a limited range of capabilities when compared to banking in person or on a
computer.

Mobile banking is very convenient in todays digital age with many banks offering impressive
apps. The ability to deposit a check, to pay for merchandise, to transfer money to a friend or to
find an ATM instantly are reasons why people choose to use mobile banking. However,
establishing a secure connection before logging into a mobile banking app is important or else a
client might risk his personal information being compromised.

The amount of banking you are able to do on your cell phone varies depending on the banking
institution you use. Some banks offer only the option of text alerts, which are messages sent to
your cell phone that alert you to activity on your account such as deposits, withdrawals, and
ATM or credit card use. This is the most basic type of mobile banking.
A more involved type of mobile banking allows the user to log into his or her account from a cell
phone, and then use the phone to make payments, check balances, transfer money between
accounts, notify the bank of a lost or stolen credit card, stop payment on a check, receive a new
PIN, or view a monthly statement, among other transactions. This type of banking is meant to be
more convenient for the consumer than having to physically go into a bank, log on from their
home computer, or make a phone call. While all of this is true, some are concerned about the
security of mobile banking.

Most experts advise against performing any large transactions over mobile banking, which is
good advice. However, it is equally important to use an alphanumeric password and to keep your
PIN safe. Change your password often, and do not use your pets' names, your child's name, or
any birthdays. This advice applies to all passwords, not just those used for mobile banking.
Though you are logging on to a secure server at the bank through your cell phone, you need to do
your part to protect your information. For this reason, many banks are now sending one-time use
passwords for an extra step in security.

A one-time use password might be sent to a cell phone or other device when you wish to log into
your account. You will then usually need to enter both the password you have already set, along
with the one-time use password, within a certain period of time. The one-time use password
expires, naturally, after it is used once or after a time limit has passed. Using two passwords
increases the security of the account, an important concern with mobile banking.

The Federal Reserve survey defines mobile banking as "using a mobile phone to access your
bank account, credit card account, or other financial account. Mobile banking can be done either
by accessing your bank's web page through the web browser on your mobile phone, via text
messaging, or by using an application downloaded to your mobile phone."

Mobile banking can be defined as the ability to conduct bank transactions via a mobile device, or
more broadly to conduct financial transactions via a mobile terminal (Drexelius & Herzig,
2001). This definition is a suitable working one as it includes not only basic services such as
bank account statements and funds transfer bur also electronic payment options as well as
information based financial services (e.g. alerts on account limit or account balance, access to
stock broking). It compares ell with the definition found in (Kiesnoski, 2000) where mobile
banking is referred to as the ability to bank virtually anytime, anywhere. This definition needs
to be expanded to include the two different types of customer account access: a Web based
interface and a simple text-messaging interface. This addition is important as it differentiates
between the two network infrastructures for mobile commerce: the global, public, and free
Internet, and the cluster of regional, public, and paid wireless telecommunication networks. Is
there a need for mobile banking? The answer is a firm yes. Although consumer demand for
more sophisticated mobile services has not been very strong, demand for basic mobile banking is
more pronounced compared to the general demand for mobile commerce services (Bansai,
2001). The number of wireless digital device users worldwide will reach 0.5 billion by 2003,
according to some projections (Kiesnoski, 2001), and an estimated number of 40 million wireless
users will have access to mobile financial services during the same period. Accordingly,
financial institutions are planning to spend on the development and marketing of wireless
devices (about US$40 million in 2003)iii. Many predict that mobile banking is going to be the
most important mobile commerce application. Viewed as an additional channel to enhance
customer relationship management, mobile banking enables both financial institutions and
telecommunication network operators to strengthen their relationship with existing customers, to
extend their general user-base and at the same time to target specific, more lucrative niche
market segments (Horton, 2001).

A perspective on the History

The first mobile banking and payment initiatives was announced during 1999 (the same year that
Fundamo deployed their first prototype). The first major deployment was made by a company
called Paybox (largely supported financially by Deutsche Bank). The company was founded by
two young Germans (Mathias Entemann and Eckart Ortwein) and successfully deployed the
solution in Germany, Austria, Sweden, Spain and the UK. At about 2003 more than a million
people were registered on Paybox and the company were rated by Gartner as the leader in the
field. Unfortunately Deutsche Bank withdraw their financial support and the company had to
reorganise quickly. All but the operations in Austria closed down.

Another early starter and also identified as a leader in the field was a Spanish initiative (backed
by BBVA and Telephonica), called Mobi Pago. The name was later changed to Mobi Pay and all
banks and mobile operators in Spainwere invited to join. The product was launched in 2003 and
many retailers were acquired to accept the special USSD payment confirmation. Because of the
complex shareholding and the constant political challenges of the different owners, the product
never fulfilled the promise that it had. With no marketing support and no compelling reason for
adoption, this initiative is floundering at the moment.

Many other large players announced initiatives and ran pilots with big fanfare, but never showed
traction and all initiatives were ultimately discontinued. Some of the early examples are the
famous vending machines at the Helsinki airport supported by a system from Nokia. Siemens
made announcements in conjunction with listed and high-flying German e-commerce company,
Brokat. Brokat also won the lucrative Vodafone contract in 2002, but crash Edison after wards
when it run out of funds.

Israel (as can be expected) produced a large number of mobile payment start-ups. Of the many,
only one survived Trivnet. Others like Adamtech (with a technically sound solution called
Cellpay) and Paytt disappeared after a number of pilots but without any successful production
deployments.

Initiatives in Norway, Sweden and France never got traction. France Telecom launched an
ambitious product based on a special mobile phone with an integrated card reader. The solution
worked well, but never became popular because of the unattractive, special phone that
participants needed in order to perform these payments.Since 2004, mobile banking and payment
industry has come of age. Successful deployments with positive business cases and big strategic
impact have been seen recently.

History of Mobile Banking in Bangladesh

Recent developments have dramatically altered the banking landscape and transformed the
relationships between banks and their customers. This is making it more difficult for banks to
retain assets, acquire new deposits, cross-sell products or acquire new customers.

Customers are feeling the need to stay vitally connected to their accounts, but that is driving up
the cost to service them.

However, traditional interaction channels, including most mobile banking solutions, are
customer reactive. Whether they have an enquiry or require service, customers must initiate
contact with the bank.

There are around 151.82 million people in Bangladesh according to (adb.org/bangladesh), 2012
of which only 13 percent have bank accounts where as more than 95 percent are mobile phone
users. Banks can now offer the banking services to both the rural community and the population
(without banking transaction) through mobile phones. Mobile banking refers to a system that
enables bank customers to access accounts and general information on bank products and
services through Mobile devices.
Bangladesh Bank
(BB) is the central
bank and controls
all the private and
scheduled banks
in Bangladesh.

Banking can simply be expressed as the business of book keeping, lending, exchanging and
issuing money. The Mobile phone has started a new dimension in transaction and banking
system. We call this system as Mobile Banking System. Mobile Banking System ensures the use
of the cell phones in several types of banking transactions. If you want to understand the current
situation of mobile banking system in Bangladesh, you have to share this knowledge with others.
Readers of this web page visitors may understand the mobile banking system and its future in
Bangladesh; especially the rural community.

List of banks and their products mentioned below:

SL# Bank Product Link


Name Name
1. Duch- Mobile- http://www.dutchbanglabank.com/electronic_banking/mobile_banking.html
Bangla Banking
Bank
Limited.
2. BRAC b-Kash http://www.bkash.com/
Bank
Limited.
3. Prime Easy https://www.primebank.com.bd/index.php/home/mobile_banking
Bank Cash
Limited.
4. Islami m-Cash http://mcash.islamibankbd.com/
Bank
Bangladesh
Limited.
5. Trust Bank Mobile http://www.trustbank.com.bd/MobileMoney
Money
6. National Sure- https://www.nccbank.com.bd/index.php/nccbsms_banking
Credit and Cash
Commerce
Bank
Limited
7. Bank Asia Mobile http://www.bankasia-bd.com/home/mobile_banking
Limited. Banking
8. Dhaka SMS https://ibank.dhakabank.com.bd/window.asp?Page=SMSBanking.asp
Bank Banking
9. Mercantile Mobile http://www.mblbd.com/home/mobile_banking
Bank Banking
10. AB Bank SMS http://www.abbl.com/sms-banking.html
Banking
11. South East SMS http://www.southeastbank.com.bd/sms.php
Bank Banking
12. First Sure- http://www.fsiblbd.com/mobile-banking-service.php
Security Cash
Islami
Bank
13. Bangladesh Sure- http://bcblbd.com/
Commerce Cash
Bank
14. Standard SMS http://www.standardbankbd.com/index.php/home
Bank Banking
15. United SMS http://www.ucbl.com/sms-tc.htm
Commerce Banking
Bank

Dutch-Bangla Bank Limited (DBBL) has for the first time introduced its mobile banking
service expanding the banking service from cities to remote areas. Bangladesh Bank Governor
Atiur Rahman inaugurated the service by depositing Tk 2,000 and withdrawing Tk 1,500 through
Banglalink and Citycell mobile networks in Motijheel area. Bangladesh Bank has already
allowed 10 banks to initiate mobile banking. Of them DBBL kicked off first." Mobile banking is
an alternative to the traditional banking through which banking service can be reached at the
doorsteps of the deprived section of the society, the central bank governor said at an inaugural
Page 19 of 35 press briefing at Hotel Purbani. Atiur Rahman said through mobile banking
various banking services including depositing and withdrawing money, payment of utility bills
and reaching remittance to the recipient would be possible. By going to the DBBL-approved
Citycell and Banglalink agents throughout the country the subscribers on showing necessary
papers and payment of a fee of Tk 10 can open an account. To avail of the banking service a
subscriber will require owning a cell phone of any provider and he will be given a four-digit PIN.
By using the PIN he can operate all types of banking services including depositing and
withdrawing money maintaining security and secrecy of his account. The customer will hand
over cash to the agent and the agent will initiate the transaction from his mobile phone, the agent
will help the account holder to do the banking using his PIN. A customer can deposit or
withdraw money five times a day and he can deposit or draw Tk 5,000 per day. One percent of
the transaction account or Tk 5, whichever is higher, will be taken as cash-in-charges. In case of
cash out the charge will be 2 percent of the transaction amount or Tk 10. However, the
registration fee, salary and remittance disbursement services will be provided free of cost.

press briefing at Hotel Purbani. Atiur Rahman said through mobile banking various banking
services including depositing and withdrawing money, payment of utility bills and reaching
remittance to the recipient would be possible. By going to the DBBL-approved Citycell and
Banglalink agents throughout the country the subscribers on showing necessary papers and
payment of a fee of Tk 10 can open an account. To avail of the banking service a subscriber will
require owning a cell phone of any provider and he will be given a four-digit PIN. By using the
PIN he can operate all types of banking services including depositing and withdrawing money
maintaining security and secrecy of his account. The customer will hand over cash to the agent
and the agent will initiate the transaction from his mobile phone, the agent will help the account
holder to do the banking using his PIN. A customer can deposit or withdraw money five times a
day and he can deposit or draw Tk 5,000 per day. One percent of the transaction account or Tk 5,
whichever is higher, will be taken as cash-in-charges. In case of cash out the charge will be 2
percent of the transaction amount or Tk 10. However, the registration fee, salary and remittance
disbursement services will be provided free of cost.

BRAC Bank Limited is set to introduce mobile banking secondly, a top official said the
service will enable millions of banked and unbanked people to deposit, withdraw and transfer
money through mobile phones. bKash, a joint venture between BRAC Bank and US-based
Money in Motion, will provide mobile banking with a fully encrypted VISA technology platform
for transactions through mobile phones. Any mobile user can register and open up a bKash
account and then do transactions through their mobile phones in easy, convenient and reliable
way. bKash will fundamentally change the way people now do transactions, as all transactions
will be possible through mobile phones in future, said Syed Mahbubur Rahman, managing
director of the bank. Customers will not need to come to the bank; rather the bank will go to
them, he said at a press conference in Dhaka on the occasion of its 10th founding anniversary.
The bank said a bKash account will act as a digital mobile wallet and anybody can take the
service. Your mobile phone will become your wallet. Customers can get financial services
through phones, even by the handset that costs the lowest, Rahman said. Under a partnership
with UNDP and Local Government Division, bKash is rolling out mobile banking in 4,501 union
Page 20 of 35 parishads in the country. bKash has already signed a deal with a leading mobile
operator and is in talks with others to enable all mobile users -- currently around 7.5 crore -- to
have individual digital wallets, said Mamdudur Rashid, deputy managing director of the bank.
BRAC Bank launched its operation 10 years back with the objective of bringing unbanked
people under formal banking coverage. The business model of the bank is to mobilise deposits
from urban areas and disburse it to rural areas. The country's youngest bank has already set some
records: it has acquired over 12 lakh customers, bringing full banking services not only to small
and medium enterprises, but all strata of the banking industry, said the bank Being the youngest
Bangladeshi bank, we have emerged as the largest SME bank serving about 3.65 lakh
entrepreneurs at grassroots level, an achievement that helped global recognition for this
Bangladeshi bank, said Rashid The bank believes in 3P philosophy -- people, planet and profit
and has been active in Green banking. It has already turned 22 of its SME Unit Offices solar-
powered and plans to convert the rest in the same manner by 2012.

Mobile Banking Services (In General):

Mobile banking can offer services such as the following:

1) Account Information:
Mini-statements and checking of account history
Alerts on account activity or passing of set thresholds
Monitoring of term deposits
Access to loan statements
Access to card statements
Mutual funds / equity statements
Insurance policy management
Pension plan management

2) Payment, Deposits, Withdrawals & Transfers:


Domestic and international fund transfers
Micro-payment handling
Mobile recharging
Commercial payment processing
Bill payment processing
Commercial payment processing
A specific sequence of SMS messages will enable the system to verify if the client has sufficient
funds in his or her wallet and authorize a deposit or withdrawal transaction at the agent. When
depositing money, the merchant receives cash and the system credits the client's bank account or
mobile wallet. In the same way the client can also withdraw money at the merchant: through
exchanging sms to provide authorization, the merchant hands the client cash and debits the
merchant's account.

3) Investments:
Portfolio management services
Real-time stock quotes
Personalized alerts and notifications on security prices

4) Support:
Status of requests for credit, including mortgage approval, and insurance coverage
Check (cheque) book and card requests
Exchange of data messages and email, including complaint submission and tracking

5) Content Services:
General information such as weather updates, news
Loyalty-related offers
Location-based services
Mobile banking will be attractive mainly to the younger, more "tech-savvy" customer segment.
A third of mobile phone users say that they may consider performing some kind of financial
transaction through their mobile phone. But most of the users are interested in performing basic
transactions such as querying for account balance and making bill payment.

The Features of Mobile Commerce

Mobile Commerce is characterised by some unique features that equip it with certain advantages
against conventional forms of commercial transactions, including Electronic Commerce:

1. Ubiquity: Ubiquity means that the user can avail of services and carry out transactions largely
independent of his current geographic location (anywhere feature). This feature can be useful
in many situations, e.g. to cross-check prices while standing in a supermarket.

2. Immediacy: Closely related to the feature of ubiquity is the possibility of real-time availment
of services (anytime feature). This feature is particularly attractive for services that are time-
critical and demand a fast reaction, e.g. stock market information for a broker. Additionally, the
consumer can buy goods and services, as and when he feels the need. The immediacy of
transaction helps to capture consumers at the moment of intention so that sales are not lost in the
discrepancy between the point of intention and that of the actual purchase.

3. Localisation: Positioning technologies, such as the Global Positioning System (GPS), allow
companies to offer goods and services to the user specific to his current location. Location based
services can be, thus, of fered to meet consumers needs and wishes for localised content and
services.

4. Instant connectivity: Ever since the introduction of the General Packet Radio Service (GPRS)
12 mobile devices are constantly online, i.e. in touch with the network (always-on feature).
This feature brings convenience to the user, as time-consuming dial-up or boot processes are
not necessary.

5. Pro-active functionality: Mobile Commerce opens, by the virtue of its ability to be immediate,
local and personal, new avenues for push marketing such as content- and product offers. Services
like Opt-in advertising can be offered, so that a user may choose the products, services and
companies which he wants to be kept informed about. The Short Message Service (SMS) can be
used to send brief text messages to consumers informing them of relevant local offerings that
best suit their needs. This feature ensures that the right (relevant) information can be provided
to the user at the right place, at the right time. On the other hand, the user does not have to
fear missing some potentially crucial information or getting it too late.

6. Simple authentication procedure: Mobile telecommunication devices function with an


electronic chip called Subscriber Identity Module (SIM). The SIM is registered with the network
operator and the owner is thus unambiguously identifiable. The clear identification of the user in
combination with an individual Personal Identification Number (PIN) makes any further time-
consuming, complicated and potentially inefficient authentication process redundant.

These unique features of Mobile Commerce can provide the user with some concrete and
specific advantages. The following section describes some of them.

Advantages of MFS

Mobile financial services providers have brought advantages over traditional banks to give the
un-banked and under banked access to the benefits of financial services in Bangladesh.

Customer relationship: Many of the un-banked already have relationships with mobile
operators, which mean their usage history is available. This gives an advantage in knowing who
potential financial services customers are and where they live. It gives them information on
transactional patterns, which can become a basis for building a credit history, as well as an
established channel for communication with customers.

Brand recognition: The population in general has had limited interactions with large, formal
financial institutions, which has created a trust gap that could be a potential barrier to financial
inclusion. Telecom companies, on the other hand, are typically well known even among the
poorest segments of society, are considered safe, and are associated with instant transmission
through text messaging, or SMS, for instance.

Large distribution network: Unlike traditional banks, telecoms have behind them an extensive,
nationwide network of merchants who are accustomed to working as commissioned agents.
These companies have broad experience working with such partners on both pricing and product
distribution.

Context-specific services: Mobile banking makes it possible to offer location based services,
which are specific to a given context (e.g. time of the day, location and the interests of the user).
Such services offer new opportunities for personalized push-marketing in close proximity to the
vendor thereby increasing the probability of sales. It enhances brand presence and thus
encourages consumers to remain loyal to brands they are acquainted with.

Spontaneous decisions and needs: Spontaneous needs are not externally triggered and generally
involve decisions that do not require a very careful consideration, e.g. purchase decisions
involving small amounts of money. An example of such a service would be reserving a place in a
restaurant or cinema spontaneously. Users may also be provided with access to entertainment
content, e.g. horoscope, music or sport news while on the move and with free time on the hand.

Efficiency increase: Mobile Commerce helps increase the productivity of the workforce by
increasing the efficiency of their daily routines.

Time saving: Instead of allocating time to walk into a bank, you can check account balances,
schedule and receive payments, transfer money and organise your accounts when youre on the
go. The ubiquity and immediacy of Mobile Commerce allows the user to perform urgent tasks in
an efficient manner, e.g. fast reaction to stock market developments irrespective of his current
geographic location. It is also useful in emergency situations.

Convenient: The ability to access bank accounts, make payments, and even track investments
regardless of where you are can be a big advantage Do your banking at a time and place that
suits you, instead of waiting in queues. Mobile banking is available round the clock 24/7/365, it
is easy and convenient and an ideal choice for accessing financial services for most mobile
phone owners in the rural areas

Secure: Generally, good mobile banking apps have a security guarantee or send you a SMS
verification code you need to input to authorize a payment for added security. Mobile banking is
said to be even more secure than online/internet banking.

Easy access to your finances: With the introduction of mobile banking, you are able to access
your financial information even beyond the working hours. It helps to avail banking services
even by making a call to the bank.

Increased efficiency: Mobile banking functions are functional, efficient and competitive. It also
helps in decongesting the banking halls and reduces the amount of paperwork for both the banker
and the customer

Fraud reduction: One very real advantage to implementing mobile banking. Customers are
being deputized in real time to watch their accounts.

Internet is not required: It utilizes the mobile connectivity of telecom operators and therefore
does not require an internet connection.

In a nut shell it can be said that Mobile banking services basic qualities can help the un-banked
overcome barriers and reap the benefits of financial services. MFS can be used by nearly
everyone at any time of day or night and from anywhere, eliminating the accessibility issues
presented by traditional banking. In addition, MFS provides secure services at a low cost.

In fact, Telecommunications companies (telcos) bring five unique advantages over


traditional banks. They have traditionally focused on all customers, not just the most profitable
among them. They already have a secure devicethe mobile phonein customers hands.
Unlike banks, telcos have existing relationships with these customers and have already
established trust. And telcos have the added benefit of a large distribution network.

Telcos brings five unique advantages:

Focus on all customers


Secure device already in customers hand
Existing customer relationship
Trusted & familiar brands
Large distribution network
Disadvantages/ Problems of Mobile Banking

Mobile banking users are at risk of receiving fake SMS messages and scams.

The loss of a persons mobile device often means that criminals can gain access to your
mobile banking PIN and other sensitive information.

Modern mobile devices like Smartphone and tablets are better suited for mobile banking
than old models of mobile phones and devices.

Regular users of mobile banking over time can accumulate significant charges from their
banks.

Even though there are 1.5 billion computers on the Internet and 4.5 billion people using
mobile phones, theres currently no significant operating system supporting the mobile
space. Hackers want to do the least amount of work for the biggest gain..

Most mobile banking apps need an internet connection to be able to operate, so if you
live in a rural area or experience problems with your internet connection, then you wont
be able to access your account. The same applies if your mobile phone runs out of
battery.

Many phones arent yet compatible with anti-virus software. Most cell phones dont
come standard with anti-virus protection even if they have the capacity to browse the
internet. Some phones arent even compatible with the anti-virus software available and
there are known cases in which people were unable to put anti-virus software registered
to them on corporate cell phones. Although identity thieves are still a few steps behind
when it comes to learning to implement some of their most successful computer tricks
(phishing, spamming, spreading viruses, account hacking, etc) on a cell phone level,
experts agree that is only a matter of time and people shouldnt assume that anti-virus
software isnt necessary for cell phones.

Some banks dont offer the same level of protection for cell phone banking that they do
for online or in person transactions. Because the risks are still generally unknown some
banks have been slow to make promises about what will or will not be covered when you
use cell phone banking.

Uncertainties over the speed and nature of customer adoption: This is to be expected with
any new offering, although the uncertainty is compounded by the relative lack of
knowledge of the needs of un-banked people in many places, and the market potential.
Consumer education may speed adoption; but more likely, adoption on scale will happen
as it has happened with mobile phones: by forced to adapt their offerings as they
encounter feedback in the market place. Therefore, it is necessary to have sufficient
providers in the market who can remain in the market long enough to ensure that to
identify the elements of a successful model. Hence, support to providers may assist in
overcoming this barrier. Generally available research into the patterns and needs of the
un-banked target market may also help.

Lack of interoperability with existing systems/interoperability of different payment


systems is primarily a question of market structure and regulation. It arises initially only
in markets where there is an existing payment infrastructure with which new providers
can inter-operate (and later on, once new infrastructure becomes the standard). Without
inter-operability, the fixed costs of deploying financial infrastructure may be much harder
to recover, since usage per item of proprietary infrastructure will fall. Clearly, one
solution may be to give regulators the power to require interoperability; however, it may
be sufficient to encourage the identification of appropriate standard upfront. This could
take place via support to regulators or industry bodies, where these exist.

Regulatory barriers: Specific regulatory impediments vary by market; but in general, a


lack of openness to new models of provision and a lack of policy certainty limit the
potential of new models. Increasing openness and certainty may require support to
regulators to outline high level policy, as well as to amend existing regulations or draft
new ones where and when required.

10 major Problems of Mobile banking :

Not sure about the safety of transactions


Mobile security
Network availability
Heavy charges for transactions
E-mail and web security
Literacy of people in rural areas
Not aware of new innovation
Handset operate ability
Application distribution
Inadequate guidance

Intensified Competition in Banking Sector

Bank products being services are necessarily of immaterial nature, which are sold
increasingly with the help of computer networks spanning across the globe .The global networks
provide the customer with world-wide services, for instance the use of credit cards while abroad.
The creation of a BD -wide single domestic market has led to intensification of competition in
the BD in all business fields including the banking sector. The ongoing globalization has further
intensified the competition. Technical developments, particularly the Internet, coupled with the
process of globalization, have made it possible for banks (credit- as well as financial institutions)
to offer their services in far-flung areas without investing money to build branches and hire
additional staff. This opportunity, of course, is a two-way street: On the one hand, a bank gets
access to new markets. On the other hand it is faced with increased competition on its home turf.
To master this combination of opportunities and challenges banks need apart from business
consolidation and cooperation organic growth. It is, thus, necessary to retain the existing
customer base while simultaneously trying to acquire new, economically prosperous customers.
Seen in conjunction with the price-sensitivity of customers and the resultant low relevance of the
brand-name banks are compelled to introduce innovative services that potentially attract
prospective customers while retaining others. Even though the brand-name remains a critical
factor on account of the need for trust in banking business, the globalization and the
technological development, however, have reduced entry barriers so that the number of available
reputed brands has increased significantly; thereby intensifying the competition. In the next
section we describe the core customer groups which might be specifically targeted by banks with
Mobile Banking services.

Core Target Groups

Banks, today, are increasingly confronted with technology-savvy customers who are often on the
move. Core target groups of Mobile Banking can be divided in three categories

1. The Youngsters: The segment of 1418 years old youth has acquired an important role in the
growth of mobile telecommunications and related services. This group is reported to be
technology-savvy and willing to experiment with innovative products and services. The
youngsters, often on the move, demand ubiquitous, anytime service. Though the youngsters as a
group are hardly relevant for banks from a financial perspective, they represent the prospective
clientele of tomorrow and need to be cultivated in the middle to long-term marketing strategy of
the banks.
2. The Young Adults: E-Result refers to the group of young adults, i.e. students and trainees, as
onliners. Also this segment is thought to be technology- and innovation friendly. Though this
group is financially not very strong either, many members of this group are known to be
involved in stock market activities and are increasingly at to middle-run a professional carrier so
that it needs to be cultivated in order to retain customers of this age-group once they enter
professional lives.

3. The Business People: This group of customers, generally in the age group of 2550 years, is
thought to be the most important one for mobile banking. Members of this group are generally
well educated and economically well-off. They need to be often on the move for professional
reasons. Therefore, they carry mobile devices to ensure accessibility. For this reason they are
ideal candidates to use services offered via mobile devices .From the banks perspective this
group is particularly attractive on account of its relative economic prosperity and the need for
financial services, e.g. home loans for young families. Such a group of customers is generally
looking forward to do business with known and trusted brands that simultaneously offer
individual advisory services. In order to cater to requirements of these above-mentioned
customer groups banks tend to look at Mobile Banking as a promising option. However, these
services apart from being an add-on feature for the targeted customer groups also have their own
utility for the banks.

Trends in Mobile Banking Adoption

Banks, the consumer community, and mobile network operators are the major stakeholders in
mobile banking. If financial institutions want to take advantage of the new and emerging
telecommunications technologies, the integration of telecommunications and information
technology must address the needs of the end-users bank customers. Although mobile banking
is still predicted to be a trend, some industry reports conclude that mobile banking services do
not have any real impact on bank profit and this makes banks more reluctant to adopt mobile
banking especially in countries where other banking methods are well established, or the market
is relatively small (for example, New Zealand). Consumer interest is showing signs of decrease
not only in the USA but also worldwide. A survey conducted by the Chicago-based consulting
firm A.T. Kearney (in cooperation with the Judge Institute at Cambridge University in England)
over more than 1,600 mobile phone users in the USA, Europe, and Asia found that only 12
percent said they intend to engage in mobile banking transactions - down from 32 percent a year
ago (Brewin, 2001). The results indicate that a main reason behind the lack of consumer interest
is the perceived voice-centric nature of the mobile phone. The study concludes that despite the
huge investment into bringing the mobile data services into the marketplace, consumers have not
yet changed their buying habits.

Another report indicates that mobile network operators themselves show a considerate lack of
enthusiasm about mobile banking (InfotrackWeb, 2001). A Forrester research study finds that
although companies like Orange and Vodafone are planning to compete n the field of mobile
banking services, it would take a significant amount of time to build up easy-to-use, cheap,
secure and standardised technological infrastructure for mobile banking. According to the report,
only 0.5 percent of consumer spending will be through the means of mobile payment, and the
expected 10 percent growth in transaction volume is actually at least a decade away.

Among the barriers to mobile banking adoption, most authors quote security and privacy issues,
opportunities for fraud, low speed (GSM), unreliability (GPRS), lack of standards, lack of
diversification in services, lack of consumer awareness, high costs, and the prevalence of other
banking methods.

Over the last few years, the mobile and wireless market has been one of the fastest growing
markets in the world and it is still growing at a rapid pace. According to the GSM Association
and Ovum, the number of mobile subscribers exceeded 2 billion in September 2005, and now
exceeds 2.5 billion (of which more than 2 billion are GSM).

According to a study by financial consultancy Client, 35% of online banking households will be
using mobile banking by 2010, up from less than 1% today. Upwards of 70% of bank center call
volume is projected to come from mobile phones. Mobile banking will eventually allow users to
make payments at the physical point of sale. "Mobile contact less payments will make up 10%
of the contact less market by 2010. Another study from 2010 by Berg Insight forecasts that the
number of mobile banking users in the US will grow from 12 million in 2009 to 86 million in
2015. The same study also predicts that the European market will grow from 7 million mobile
banking users in 2009 to 115 million users in 2015.

Many believe that mobile users have just started to fully utilize the data capabilities in their
mobile phones. In Asian countries like India, China, Bangladesh, Indonesia and Philippines,
where mobile infrastructure is comparatively better than the fixed-line infrastructure, and in
European countries, where mobile phone penetration is very high (at least 80% of consumers use
a mobile phone), mobile banking is likely to appeal even more.

Reasons for Providing Mobile Banking Service

Every people is very busy at present world and so the clients of banks. For this reason banks are
always to introduce such services that can save the valuable time of their clients, can reply
instantly, can make customers happy or satisfied. The selected banks have replied that these three
are the reasons of introducing mobile banking service. Some other factors also are responsible to
introduce mobile banking.

Impact on Operating Expense, Service Charge and Customer Number

Each and every bank and customer wants to reduce his cost. During the questionnaire survey, it
has been found that operating expense of the banks has been increased so they are taking come
fee to cover the cost but the fee structure is very much reasonable.83.33% banks are charging
less than 1,000 taka. Only Trust Bank could not tell its fee because it depends on some factors.
Simultaneously the research has found the customer number of the selected banks has been
increased due to inauguration of mobile banking service although the service is very new in the
market and they still cannot provide all types of services.

Mobile Phone Operator That Can Be Used for Mobile Banking

In Bangladesh there are six mobile phone operators, they are: Grameen Phone, Robi, Banglalink,
Citycell, Airtel, Teletalk. Different banks use different operators but PBL, BBL and TBL use all
operators for this service.

Prospect of mobile banking:

Benefits: From the Individual to Society

Mobile financial services can offer all Bangladeshis certain benefits. Banking becomes much
more accessible and affordable. Products are tailored to customers and are thus more relevant
and meaningful. And MFS leads overall to a reduced reliance on cash. In addition, those MFS
adopters who were previously unbanked will benefit from an enhanced ability to mitigate income
volatility and expense shocks.
All of these advantages accrued by the individual will ripple outward and benefit society
economically and socially. Economic benefits include the increase in financial inclusion, which
leads to GDP growth; the sparking of entrepreneurship and job creation; and the formalization of
funds and government revenues. Other stakeholders will feel direct economic effects as well,
such as government, through the facilitation of e-governing and the reduction in the cost of aid
disbursement; and private firms, through lower costs of financial transactions.

Socially, the impact of MFS will be substantial as well. Inclusion, which leads to economic
growth, will also lead to an overall reduction in inequality. Families and small businesses will be
better able to respond to shocks, and because of the effects MFS will have on education, health,
and entrepreneurship, Bangladeshis will have the opportunity to lead improved lives. Informal
channels of financial serviceswith the inherent risks of leakage, fraud, and corruptionwill be
reduced, and instead Bangladeshis can begin to make use of the formal, more transparent
channels of mobile financial services.

Economic :

Evidence shows that financial inclusion can increase a nations GDP1. Access to credit facilitates
entrepreneurship and new business creation2. The formalization of remittances and domestic
payments adds an accounting benefit to the economy, and the increased savings within the
banking system facilitates the expansion of credit. Overall, mobile financial services can reduce
financial exclusion by 5 percent to 20 percent through 2020 and increase GDP by up to 5
percent, with Pakistan, for instance, potentially seeing a 3 percent uplift. This increase in GDP
will also create additional jobs and businesses, and stimulate additional tax revenues for
governments.

Strong evidence indicates that growing financial inclusion increases a nations GDP. As
entrepreneurs with business ideas gain access to credit, economic activity grows, and new
businesses and jobs mean a more productive society. In addition, there is an accounting benefit
from the formalization of savings within the banking system, as this will power further credit
creation, increasing investments. With mobile financial services adoption, Bangladesh could see
a GDP increase of US$6 billion, or 2 percent, by 2020.

Mobile Network Operators and Large Corporate Houses Co-Venture:

With the popularity of collaborations between mobile network operators (MNOs) and banks live
up to the promise of financial inclusion, the RBB and TRAB (Telecom Regulatory Authority of
Bangladesh) have announced that they will harmonize and coordinate with each other to avoid
any form of regularity conflict. Many large Bangladeshi banks have partnered/co-ventured with
large mobile network operations (MNOs) and handset vendors to facilitate their connection
through mobile channel by providing access to financial services.

New Job Creation

Increased access to finance facilitates entrepreneurship, new business creation, and new jobs. A
World Bank study finds a 1 percent increase in financial inclusion corresponds to a 0.51 percent
increase in business creation, and a 15 percent inclusion increase leads to employment growth of
1 percent.

By 2020, if MFS adoption increases financial inclusion by 10 percent, there could be an increase
of up to 5 percent in new businesses, leading to 500,000 new jobs, or an employment increase of
1 percent. This is the equivalent of new jobs for 1 out of every 9 currently unemployed
Bangladeshi.
Tax Revenue Growth

The benefits of the economic growth stimulated by MFS will increase tax revenues, as well.
Corporate taxes will grow as a result of new business creation along the MFS value hain,
growing profits within existing firms thanks to savings from MFS, and company expansions
made possible by MFS. This business growth and creation will generate new jobs, which mean
increased employee income taxes. MFS could therefore add US$500 million annually to
Bangladeshs government revenues by 2020an increase of 2 percent.
Reducing Rural Poverty

By 2020, with the distribution of MFS having widened access to financial services, the Gini
coefficientthe most commonly used measure of inequalitycan be reduced by5 1.2 percent.
With such a shift, Bangladeshs economic equality would be roughly equivalent to that of
Bulgaria

The current inaccessibility of bank branches is an important reason that the rural poor in
Bangladesh remain unbanked. For some potential customers, a trip to the bank could take a
whole day, which would mean a day of lost pay, the expense of the trip, and exposure to theft. In
addition, paper- and cash-based settlement systems are prone to errors, such as double-billing or
charging late fees when bills have actually been paid on time.

Mobile financial services reduce or eliminate these problems. Customers save time and money,
potentially 12 times their daily salaries, plus travel expenses. Storing money electronically
removes the risk of theft or loss, and customers have the potential to earn interest. Incidences of
double-billing and late fees go down. MFS also improves flexibility tremendously, with
transactions available at customers fingertips at any time of day or night, as well as the use of a
wide network of agents, facilitating customers access to cash.

MFS Impact on Firms, Merchants, and Middlemen, Individual

The adoption of mobile financial services can decrease administrative costs for companies.
Many firms, such as utility companies, spend significant time and money on the administration
and processing of paper bills. Incorporating electronic receipts and reporting can reduce costs
and improve speed and accuracy, reducing erroneous charges for arrears, for example. In
addition, MFS will increase transaction speeds and reduce outstanding credit times, minimizing
the time it takes to collect and inquire after payments.

A byproduct of companies reduced administrative duties is an increase in the flow of


customersand revenuesto over-the-counter MFS agents. The merchants who take on these
jobs will benefit from the growing sales of financial services, larger revenues from the sales of
ordinary goods, and an improved social standing as a result of their work.

Another byproduct, however, will be a reduced need for middlemen, some of whom will
experience a cut in income. For example, the livelihoods of some middlemen have been based on
the transport of money for remittances and payments, and some have worked as money
collectors for informal savings and credit schemes. All of those jobs will be less in demand as
mobile services spread and their products become more popular. Thanks to MFS, however, new
opportunities will arisesuch as jobs for formal banking agentsfor those willing to be trained
and licensed.

The practical and attractive features of mobile financial services are a strong draw for individual
customers. The accessibility of MFS, for instance, has meaningful appeal. Banking no longer
requires the time and cost of travel, and users do not even need a computer to manage accounts
and seek information about products. They can conduct transactions of any amount at any time
of the day or night from anywhere. And those transactionssuch as purchases, personal
remittances, and business operationsare completed instantly and at a relatively low cost.

Another key benefit to the individual is how MFS lets users spend less of their time overcoming
bureaucratic obstacles. Tailored features, as well as flexible repayment plans and reduced
balance requirements, give the previously unbanked the ability to open accounts and gain access
to products tailored to their own needs. It also puts them in a position to build up credit histories,
an important stepping-stone in individual economic improvement.

Mobile banking reduces its customers reliance on cash, a feature that brings increased
convenience and savings potential into Bangladeshis lives. Cash becomes unnecessary for
transferring or receiving money, which reduces the inherent risks of cash handling, such as loss,
theft, or fraud. With middlemen squeezed out of the transaction equation as a result of MFS,
customers will experience increased transparency. All of these benefits give consumers good
reason to adopt mobile banking.
Bangladeshs poor face two primary challenges that financial services can help address, first,
they tend to live with a high degree of income volatility. Financial services can help smooth out
their cash flow in several ways: by building a buffer through savings; by increasing inflow
through remittances; and by accumulating lump sums of moneythrough savings and credit
that can be used to manage major expenses as they come up.

The poor also suffer from the severe expense shocks that occur now and then in their lives.
Again, access to financial services would help. Customers can obtain funds to help overcome
temporary shortfalls through credit, remittances, and insurance, all of which is out of reach for
the un-banked, and has served to keep the poor from improving their economic situation.

The Social Embeddedness of Economic Transactions

There is a litany of social/contextual influences on m-banking/m-payments use. Both macro-


level cultural factors and micro-level, locally-negotiated norms in families and among peers
particularly about moneyare at play (Zelizer, 1994). For example, respondents in focus groups
we conducted in Manila (Donner, 2007b) explained that, while they would certainly transfer
money to a family member (a gift), they would not do so to an acquaintance (a loan).
Technically, the actions are the same. Socially, they are miles apart. Practitioners and
policymakers are already concerned about validating m-transactions under conditions of sharing
behavior (infoDEV, 2006), in which two people use the same handset. On the other hand, others
suggest that m-banking/m-payments systems may alter patterns of money sharing within families
by giving women greater autonomy and control over household savings (von Reijswoud, 2007).

Social Impact

The adoption of mobile financial services can help support the achievement of Bangladeshs
social development goals, including its vision for 2021. The growth of the countrys
technological infrastructuremobile services, broadband, and, thus, MFSwill be at the root of
the development of rural society, health care, disaster relief, and e-governance, and will help
address some of the social goals expressed in the countrys Charter of Change.

For instance, MFS can aid in securing economic stability, reducing poverty, and fostering rural
development as it benefits education, health, and entrepreneurship. It can increase family and
child welfare as it improves health care through mobile payments for medical workers and
patients and makes insurance more accessible. MFS can also serve to mitigate some of the
adverse effects of global warming, particularly for the poor, and can help with flood relief by
simplifying the distribution and solicitation of donations and insurance. Finally, MFS can help to
implement good governance in Bangladesh and increase transparency as it improves service to
rural users.
As these improvements occur, Bangladesh will undergo economic and industrial development
and poverty relief. MFS can support these changes and help enhance the country economically,
culturally, and socially.

Managing Natural Disasters

Natural disasters such as floods inflict a severe financial burden on poor families in Bangladesh.
Floods are a particularly significant threat in Bangladesh, given its geography. Major floods
occur on average every five years, last on average 35 days, and can affect up to 75 percent of the
population. Average flood damage is US$365 per household, or 30 percent of average annual
household income.

MFS can help Bangladeshis prepare for and respond to natural disasters. For instance, mobile
donation solicitation and distribution programs can improve disaster relief. In Pakistan Easy
Paisa used its MFS platform in response to floods to solicit donations and to distribute donations
to households in distress. The same concept was used in Haiti after the recent earthquake. Such
services are particularly crucial when no alternatives are available, since it will often not be
possible to keep track of potential recipients as they flee the affected areas, or physically deliver
cash or other forms or payments to those who need it.

Mobile services can also be used to encourage the uptake of insurance. Kenya MPesas UAP
Insurance is a mobile product that has proved successful. Poor farmers there can insure their
crops by mobile phone against harsh weather, and claims are dispersed as soon as weather
information is verified. In Bangladesh, BRAC is planning a crop insurance program for 2011.
Studies show that insurance can be viable in disaster areasas long as administrative costs are
kept to a minimum, an issue MFS is well suited to address.

Existing Payment Mechanisms

The role of existing mediated transfers and other financial services also deserves scrutiny. A
large proportion of the volume of m-transactions may reflect existing transactional relationships,
shifted over to the new channels. This is not to say that a shift is not itself valuablethere are
significant benefits of cost, reliability, safety, flexibility, and immediacy associated with m-
banking/m-payments systems. However, it is important for industry, researchers, and
policymakers to understand the transactional networks and behaviors that already exist. An
antecedent to this argument comes from the microfinance sector. Arguing that it is no longer
acceptable for prospective providers not to inform themselves of what their future clients are
already doing and what services they appear to need, Ruthven (2002, p. 269) m-banking
identified a broad array of money mosaics operating in a Delhi slum. These financial relations
are frequently embedded in other social relations which reflect the diversity of social, security,
and economic needs which people have. It highlights the relatively small role of commercial
transactions in people's financial lives, and the importance, extent and diversity of personal
networks (2002, p. 267). In the case of m-banking/m-payments channels, pawn shops, bus
companies, the post office, hand carrying by friends and family, underground money transfer
mechanismssuch as Chinas fei chien (flying money, a network of affiliates allowing users
to put money into the network in one city and have it available in another without the actual
banknotes making the trip) (Maurer, 2008)and formal transfer services like Western Union all
have their adherents, and the list is longer when one includes alternative savings and credit
mechanisms like chit funds and moneylenders. There are communication issues, as well:
transfers are exchanges at a distance, and as Ruthven points out, there is an implicit or explicit
network of communication and information exchange embedded into almost every transaction.
Remittances, iii in particular, are a context in which it is difficult to separate financial
transactions from symbolic meaning and social bonding (Hart, 2000; Singh, 2007).

Bangladesh Commerce Bank Ltd. (BCB)

Name Bangladesh Commerce Bank Ltd. (BCB)


Date of Incorporation 1 June 1998
A public limited company incorporated in Bangladesh on June 01,
Legal Status 1998 under the Companies Act 1994, the Bank Company Act
1991 and Act 12 of 1997.
Bangladesh Commerce Bank Limited is known as a commercial
bank. Like all commercial banks BCBLs core business is
obtaining deposit and providing loans. It is a financial institution
providing services for businesses, organizations and individuals.
Service includes offering different types of deposit account such
as current deposit accounts, saving deposit accounts and other
Our Core Business scheme accounts as well as giving out loans to businesses and
individuals.
BCB make its profit by taking small, short-term, relatively liquid
deposits and transforming these into small, medium, larger loans
for short, medium and longer maturity loans. These processes of
asset transformation generate net income for BCB. BCB also does
investment banking though it is not considered its main business
area.
However, BCB is primarily engaged in deposit and lending
activities to private and corporate clients in wholesale and retail
banking. Other services typically include credit cards, mobile
banking, custodial service and guarantees, cash management and
settlement as well as trade finance.

Authorized Capital BDT 10,000 Million


Paid up Capital BDT 1,989 Million
Face Value per Share BDT 100 per share
Company Registration
C-35510(2286)/98
Number
Bangladesh Bank
BRPD(P)744(KHA)/99-2842
License Number
Eunoos Trade Center (Level-22), 52-53 Dilkusha, C/A. Dhaka
Registered Head Office
1000, PABX: 9559831, Fax: 9568218

Services:

Requirement & feature of Sure-Cash

Visit any authorized Sure-Cash agent with your mobile phone, 2 copies of passport sized
photographs and national ID (or any government authorized photo ID).
Agent will check the documents and initiate registration process of the customer by
filling up the KYC form.
You will receive a message on your mobile screen requesting to set a 4-digit PIN.
You will receive SMS notification regarding Sure-Cash MFS account opening.
The account number of Sure-Cash is your mobile phone number plus a system-generated
check digit.

Deposit Cash

To Deposit Cash into your Sure-Cash mobile account please follow these steps:

Visit any authorized SureCash agent.


Write down your SureCash account number (which is your mobile phone number and a
check digit) and the deposit amount you wish in agents log book.
Pay the deposit amount to the agent in cash.
Agent will initiate the deposit process into your SureCash account number.
Please check confirmation SMS before leaving the agent counter.

Withdraw Cash
You can Withdraw Cash from your SureCash account from any SureCash agent. To withdraw
cash from your SureCash account please follow these steps:

Visit any authorized SureCash agent.


Write down your SureCash account number and the amount you wish to withdraw in
agents log book.
Dial SureCash USSD code as shown in the diagram to get menu.
Choose Withdraw by replying 7.
Enter agents SureCash account number and the amount you want to withdraw.
Enter your 4-digit PIN to confirm the transaction.
You and the agent will receive SMS regarding successful cash withdrawal.
Agent will pay withdrawal amount to you in cash.
Please check cash amount and confirmation SMS before leaving the agent counter.
Send Money

Send Money allows you to transfer money from your SureCash account to another SureCash
account. To send money please follow these steps:

Dial SureCash USSD code as shown in the diagram to get menu.


Choose Send Money by replying 1.
Enter recipients SureCash account number and the amount you wish to send.
Enter your 4-digit PIN to confirm the transaction.
Please check for confirmation SMS regarding successful transaction.

.0120

Check Balance
You can check your mobile accounts Balance anytime by following these steps:

Dial SureCash USSD code as shown in the diagram to get menu.


Choose Check Balance by replying 4.
Enter your 4-digit PIN to confirm the transaction.
Check your account balance on your mobile phones screen.
Payment
You can make any Payments using your Sure-Cash mobile account by following these steps:

Dial Sure-Cash USSD code as shown in the diagram to get menu.


Choose Payment option by replying 2.
Enter the payment keyword of the organization/institute/merchant for payment.
Enter your bill number for utility payment /customer ID for educational institution
payment.
Enter your 4-digit PIN to confirm the payment.
Please check confirmation SMS of successful payment.

Prospect of sure cash:

Benefits: From the Individual to Society

Economic benefits include the increase in financial inclusion, which leads to GDP growth; the
sparking of entrepreneurship and job creation; and the formalization of funds and government
revenues. Other stakeholders will feel direct economic effects as well, such as government,
through the facilitation of e-governing and the reduction in the cost of aid disbursement; and
private firms, through lower costs of financial transactions.

Socially, the impact of sure-cash will be substantial as well. Families and small businesses will
be better able to respond to shocks, and because of the effects sure-cash will have on education,
health, and entrepreneurship. Informal channels of financial serviceswith the inherent risks of
leakage, fraud, and corruptionwill be reduced, and instead customers of sure-cash of can begin
to make use of the formal, more transparent channels of mobile financial services.

Economic:

Bangladesh Commerce bank introduce sure-cash at recent time. So at present time sure-cash can
not directly help on increasing GDP. But its director level hope it participant increasing GDP in
2020.

Bangladesh government introduce project of EKTIBARI EKTI KHAMR for reduce rural area
poverty, increase national & local economic growth and increase micro level economic growth
of rural area of 64 district. Bangladesh commerce bank look after 23 district of this project
without opening branch of all district. They do this job by sure-cash. So sure-cash involve in
economic development in our country.

Mobile Network Operators and Large Corporate Houses Co-Venture:

With the popularity of collaborations between mobile network operators (MNOs) and banks live
up to the promise of financial inclusion, the RBB and TRAB (Telecom Regulatory Authority of
Bangladesh) have announced that they will harmonize and coordinate with each other to avoid
any form of regularity conflict. Bangladesh Commerce Bank ltd have partnered/co-ventured with
large mobile network operations (MNOs) and handset vendors to facilitate their connection
through mobile channel by providing access to financial services. Bangladesh Commerce Bank
Co-Venture with Grameenphone, Robi, Airtel, Teletalk, Banglalink.

New Job Creation

Increased access to finance facilitates entrepreneurship, new business creation, and new jobs. At
23 district 48 sure-cash officer are employed and about 1000 employee are work at sure-cash.
About 1 million businessman are directly involve in sure-cash. About 3 million people of EKTI
BARI EKTI KHAMAR are involving with sure-cash at 23 district.

Tax Revenue Growth

The benefits of the economic growth stimulated by sure-cash will increase tax revenues, as well.
Corporate taxes will grow as a result of new business creation along the sure-cash value hain,
growing profits within existing firms thanks to savings from sure-cash, and company expansions
made possible by sure-cash. This business growth and creation will generate new jobs, which
mean increased employee income taxes.
Reducing Rural Poverty

Bangladesh government introduce project of EKTI BARI EKTI KHAMAR for purpose of
reducing poverty at 64 district. Bangladesh Commerce Bank covered 23 district of this project.
Without opening branch by sure-cash Bangladesh Commerce Bank help EKTI BARI EKTI
KHAMAR project to reduce poverty at rural area.

MFS Impact on Firms, Merchants, and Middlemen, Individual

Many firms, such as utility companies, spend significant time and money on the administration
and processing of paper bills. In addition, sure-cash will increase transaction speeds and reduce
outstanding credit times, minimizing the time it takes to collect and inquire after payments..

Another byproduct, however, will be a reduced need for middlemen, some of whom will
experience a cut in income. All of those jobs will be less in demand as mobile services spread
and their products become more popular. Thanks to sure-cash, however, new opportunities will
arisesuch as jobs for formal banking agentsfor those willing to be trained and licensed.

The practical and attractive features of Bangladesh Commerce Bank services are a strong draw
for individual customers. The accessibility of sure-cash, for instance, has meaningful appeal.
Banking no longer requires the time and cost of travel, and users do not even need a computer to
manage accounts and seek information about products. They can conduct transactions of any
amount at any time of the day or night from anywhere. And those transactionssuch as
purchases, personal remittances, and business operationsare completed instantly and at a
relatively low cost. By sure-cash any person can easily check out his balance, withdraw balance,
pay electricity & water bill, transfer money, mobile research, remittance and so on. Sure cash
save time and reducing cost and middle man.

Basically our poor people can not afford to open a bank account and maintain this account. Sure-
cash help this kind of people to open account and help to saving their small amount. For example
who involved in EKTI BARI EKTI KHAMR project he maintain sure-cash that help him
without opening bank account he save his small amount by using sure-cash.

Social Impact

Sure-cash can aid in securing economic stability, reducing poverty, and fostering rural
development as it benefits education, health, and entrepreneurship. It can increase family and
child welfare as it improves health care through mobile payments for medical workers and
patients and makes insurance more accessible. Sure-cash can help with flood relief by
simplifying the distribution and solicitation of donations and relief goods. Finally, Sure-cash can
help to implement good governance in Bangladesh and increase transparency as it improves
service to rural users; best example of social impact of sure cash is EKTI BARI EKTI
KHAMAR.
Problems of sure cash:

Recommendation:

Conclusion:

Mobile Phone Banking offers the potential to extend low cost virtual bank accounts to a large
number of currently un-banked individuals worldwide. Change is being driven by falling costs of
mobile phones including airtime, by competition and by the ability of electronic banking
solutions to offer customers an enhanced range of services at a very low cost. Text-a-payment
(TAP) builds upon the familiarity and comfort that people around the world have with sending
text messages via their mobile phone. Instead of traveling to the bank to make their loan
payment, clients can now text their loan payment directly to the bank; saving them both travel
time and money. This is also beneficial for the bank, since they can increase their outreach to
rural areas while reducing their costs. (Catching the Technology Wave: Mobile Phone Banking
and Text-a- Payment in the Philippines, John Owens, Anna Bantug Herrera,www.bwtp.org) M-
Banking technology has become one of the most familiar banking features throughout the world.
Nowadays millions of inhabitants of Bangladesh are within a network through mobile network
coverage. But in the commercial sectors like banking, m-Commerce technology has not been
adopted broadly yet. In context of Bangladesh where almost 95% of geographical areas including
Chittagong Hill tract region is under cellular coverage and having sufficiency in Internet
infrastructure in remote regions, m-Banking via mobile phones can be the right choice for the
promising banking sector. Considering m-Commerce and m-Banking perspective in Bangladesh,
a Push Pull services offering SMS (Short Messaging Service) based m-Banking system has been
proposed which is able to provide several essential banking services only by sending SMS to
bank server from any remote location. This proposed system is divided into five major phases:
Interfacing Module, SMS Technology Adoption Module, SMS Banking Registration Module,
Push Pull m-Banking Services Generation Module, and Modified Data Failover Module. This
push-pull services specified system facilitates bank customers by carrying out real time m-
Banking utilities by categorizing services into five major on the basis of their homogeneity. They
are Broadcast, Scheduling, Event, and Enquiry and m- Commerce services. Fifteen push pull
services underlying these categories are implemented in this proposed system which are most
desired to customers. The proposed system not only brings banking transaction in hands grip but
also makes it easier, robust and flexible with highest security. Moreover, modified data failover
algorithm handles unexpected SMS server failure with any congestion or service request loss. At
last, after evaluating each module of our proposed system a satisfactory accuracy rate 94.95%
has been obtained. If Bangladesh commerce bank ltd overcome their barrier in mobile
banking(sure-cash) sector our all kind of economy level like GDP, local economy, firm
economy, individual economy etc must helped and increasing their growth by sure cash.
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