Over the past decades, consumers saw a true revolution in the way society interacts with banks.
The first mobile banking app was introduced in 2009. This was done by a popular UK financial institution with visions of the future and mobile technology’s influences on day to day life.
And this was long before anyone could even think about writing a Monzo or Revolut review. Today it’s so easy to choose another brand if one does not work but in 2009, the last was only ‘1.’
That ‘1’ changed lives worldwide and made things simpler for customers looking to perform
daily banking tasks without the need of leaving their homes.
The ever-evolving technology which impacted the way people socialize, listen to music, and watch movies also dramatically influenced the way people interact with their banks.
That change made it so today bank clients can perform monetary transactions, check in on their balance, and pay bills with just a few clicks on the device they carry in their pockets at all times.
Gone are the days of having to wait hours in a bank line in order to pay a bill or speak to a manager.
When Was The First Mobile Banking App Made?
The first kind of mobile banking is known as “SMS Banking” and was created in 1999.
Through SMS-Banking, users could perform financial transactions and get bank notifications via SMS messaging, however, this kind of banking had its flaws.
The SMS chatting platform was anything but practical. Also, the platform designed for text messaging was hard to use and prone to user error.
Given the SMS’s insecure encryption, SMS Banking was prone to fraud.
Scammers could easily perform spoof and phishing scams, where criminals passed themselves as the bank or other type of authority in order to trick users into revealing sensitive banking information.
As the personal use of computers became more widespread. Public introduction to Internet Banking also occurred.
Internet banking, a type of banking service where clients can interact with their bank and perform bank-related actions through the bank’s website or software on their computer, was a more intuitive and safer way of online banking.
Bank software has safer encryption and login protocols that make it significantly more secure than SMS banking.
The demand for mobile internet banking on smartphones, which were swiftly overtaking other devices as the most popular in the world, increased as technology advanced.
It was only in 2009 when the first mobile banking app was created. With the innovation, users gained the capacity to take their banks with them at all times.
This groundbreaking app laid the foundation for the revolution that occurred in the banking industry.
Who Made The First Mobile Banking App?
The app was created in 2009 by the Royal Bank of Scotland, a Scottish bank known for being a technological pioneer in the banking sector.
The first mobile banking app was developed on the IOS platform, available for iPhone users.
In the app, users were allowed to check their account balances and recent transactions in real-time.
Not long after the launch of the first mobile banking app, the Royal Bank of Scotland introduced the world’s first fully functional banking app. This app was available on Apple, Blackberry, and Android platforms.
In the first six months of its existence, Royal Bank of Scotland’s mobile banking app had over a million users, and the application transferred over £1 billion.
Today, mobile banking is the most widespread form of online banking, billions of users can interact with their banks on their smartphones in a matter of seconds.
Perks of Mobile Banking
For the vast majority of people, mobile banking is the most practical form of banking to date.
Today, 6 out of every 10 users prefer to use their bank’s mobile app in order to perform bank-related actions. In fact, the market research company Insider Intelligence found out that nearly 97% of Millennials exclusively use mobile banking apps on a daily basis.
The use of mobile banking apps became so widespread that the mobile app market is expected to generate $437.8 billion in 2022.
This type of online banking allows users to use the application anywhere they want, at all times. Banking apps let clients pay their bills, check their balance, manage insurance, and ask for loans, among many other functionalities.
Banks are also investing in developing safer and more secure applications.
Aside from needing a username and password in order to log in, more modern apps also require the user’s fingerprint scan in order to access the platform.
Customer service is also improving. Today, most mobile banking apps offer customers live chat features where clients can talk to a bank employee in real-time in order to solve any problem.
Related News:
-
Free Mobile Banking Apps for iPhones
-
Free Mobile Banking Apps for Android
-
Traditional Banking vs Mobile Banking
-
First Mobile Banking App Ever Made
-
Top Security Issues With Mobile Banking Apps
