Mobile Banking Security is always ranked high on the mind of consumers in this day and age. The adoption of mobile banking is not immune to security concerns. In fact, according to the Consumers and Mobile Financial Services 2016 survey reported by The Federal Reserve this year, concern about the security of mobile technology is a common reason given for not using mobile banking or mobile payments (73 percent and 67 percent, respectively, of non-users).
Diving deeper into that survey, credit unions can get into the minds of their security concerned members and find out what exactly those concerns are rooted in. Here are 6 security issues that Financial Institution members, who do not use mobile banking, identify as their main reasons for their concern, and the percentage of respondents from the Federal Reserve survey who ID’s it as their top concern:
1. Someone intercepting my data or my phone getting hacked: 25%
2. Losing my phone or having my phone stolen: 13%
3. Companies (merchants, banks, third parties) Not providing sufficient security to protect my mobile transactions: 7%
4. Someone using my phone without permission to access my account: 4%
5. Companies misusing my personal information: 2%
6. Malware or viruses being installed on my phone: 2%
Member Education can go a long way
Although mobile banking still has many concerns among members, this technology is still being used more each year according to Consumers and Mobile Financial Services 2016 “Use of mobile banking in the past 12 months by age” (pg. 9). Financial Institution executives that recognize, and focus their education of non-mobile users to alleviate the top 6 concerns highlighted above, stand a better chance at winning new members and expanding their footprint into existing member’s financial lives.
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