Mobile Banking allows you to execute banking transactions by using a mobile device such as smartphones and tablets.
Which benefits may I achieve through the use of mobile banking?
One of the main benefits of mobile banking is that it can be performed from any location and at any time, thus making banking more convenient. It reduces the need to go to a branch.
On the other hand, with mobile banking there is associated the risk of fraud. Also, complex transactions require face-to-face discussions with the bank’s staff and hence, cannot be performed via mobile banking.
Prior to engaging in mobile banking, you may need to check with their bank on where you can download the app in order to access to your mobile banking. You may also need to check with the bank on the steps to be followed, for example to create a username and a password. It is important that a secure password is created to reduce the risk of fraud. Remember also to not use the same password that you use for another service, for example Facebook.
Is it safe to use the mobile banking to carry out banking transaction?
In order to ensure more protection, the Payment Services Directive 2 (PSD2) requires payment service providers to use Strong Customer Authentication (SCA) whenever you initiate an electronic payment transaction. SCA is an authentication process through which the banking app verifies that the user submitting the transaction is actually the client in order to execute the payment. The SCA makes electronic payments safer as it reduces the risk of fraud associated with online payments and online banking and protects the confidentiality of the user’s financial data.
The authentication process is carried out through the request of a code (for example a PIN or a password which only you can know), your mobile phone, your fingerprint or face/voice recognition.
The SCA process is used every time that you give instruction for online transactions which exceeds €30, except in the cases when the transaction poses a low level of risks, for example when you only want to consult the balance of the account, with recurring payments of the same amount and to the same payee, for bank transfer to a banking account held by the same person.
Furthermore, SCA does not apply whenever there is a credit transfer between accounts held by the same person.
