Humans have now entered the digital era. The role of technology is so thick and can be found in almost all lines of life. With mobile banking technology, transactions are now much easier.
Along with technological developments, digital banking trends and the use of mobile banking are increasingly common. The main reason of course is a matter of convenience. Mobile banking and digital banking make transactions much more practical and faster. But before going any further, what is mobile banking and digital banking?
What is Mobile Banking and Digital Banking?
The terms mobile banking and digital banking are increasingly common, now more and more people are starting to use them. Unfortunately, not a few people still misinterpret the two. In fact, many think that the two are the same.
Digital Banking
The term digital banking generally refers more to the banking sector. This is inseparable from the notion of digital banking itself, namely the transfer of bank services from conventional or offline to digital (internet).
So without having to meet face to face, customers can use banking services more easily. Now, many banks have started adopting the digital realm. Some of these services include money transfers, bill payments, money storage, money withdrawals, money requests and account management. Digital banking has even penetrated into new account creation services. Thanks to this digital banking, customers can access their accounts without having to go anywhere.
Mobile Banking
In contrast to digital banking, the term mobile banking refers more to financial services that are present in the form of financial transactions. Armed with a smartphone or tablet, customers can make financial transactions, such as bank transfers to online shopping.
Mobile banking is also often referred to as online banking. However, don’t misinterpret mobile banking with internet banking, okay?. Between the two, there are some very fundamental differences. Currently, almost all banks provide mobile banking services as a complement to SMS banking. However, because it is present as an additional service, not all banking services are available in mobile banking. Usually, only the services that are used most frequently by users are available.
Difference between Digital Banking and Mobile Banking
Because they are both present in the digital realm, digital banking and mobile banking are often misunderstood and considered the same service. In fact, digital banking and mobile banking are two different things. To be clear, here are the differences between the two.
- Form of Existence
Digital banking is basically a form of digitalization of banks. Therefore, digital banking does not refer to certain types of services but banking services in general. In digital banking, 100% of all banking services can be done remotely.
On the other hand, mobile banking is more accurately referred to as a form of additional service provided by banks. Customers can enjoy several services provided by the bank via a smartphone or tablet.
- Service Coverage
Digital banking basically refers to all banking services that are present in digital format. Therefore, all the services provided can be accessed remotely with a gadget and internet connection. The scope of services provided is also very broad.
Starting from opening an account to account management, everything can be done without having to come to a physical bank. Mobile banking is a type of complementary service from banks. Therefore, its scope is more limited. The services provided are usually only vital services and are used most often. Some examples of services covered by mobile banking include money transfers and bill payments. As for other services, such as opening a new account, all of these still have to be done offline or by using other services provided by the relevant bank. For further information you can check in this link online bank account registration Malaysia.
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