A PROJECT ON

“A STUDY ON MOBILE FINANCIAL SERVICES IN INDIA.”

SUBMITTED TO

UNIVERSITY OF MUMBAI FOR PARTIAL COMPLETION OF DEGREE

OF BACHELOR OF COMMERCE
(MANAGEMENT & STUDIES)
SEMESTER VI
2022-2023
SUBMITTED BY:
MISS. KHAN SHARMEEN
ROLL NO: 24
UNDER THE GUIDANCE OF
PROF. NASREEN BAIG

DAAR-UL-REHMAT TRUSTS
A.E. KALSEKAR DEGREE COLLEGE
ARTS, COMMERCE & SCIENCE
(AFFILIATED TO UNIVERSITY OF MUMBAI)
KAUSA – MUMBRA DIST: THANE
ACCREDITED WITH B++ GRADE BY NAAC

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 DECLARATION

I undersigned Miss. Sharmeen Khan hereby declares that the work embodied in
this project work titled ‘A Study on On Mobile Financial Services in India’
forms my own contribution to the research work carried out under the guidance
of Prof. Nasreen Baig is a result of my own research work and has not been
previously submitted to any other University for any other Degree or Diploma
to this or any other University.
Wherever references have been made to previous works of others, it has been
clearly indicated as such included in the references.

I, here further declare that all information of this document has been obtained
and presented in accordance with academic rules and ethical conduct.

Miss. Sharmeen Khan

Certified by

Prof. Nasreen Baig

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 ACKNOWLEDGMENT

To list who all have helped me is difficult because they are so numerous and the
depth is so enormous.

I would like to acknowledge the following as being idealistic channels and fresh
dimensions in the completion of this project.

I take this opportunity to thank the University of Mumbai for giving me the
chance to do this project.

I would like to thank my Principal, Dr Sajid Hundekar for providing the

necessary facilities required for completion of this project.

I take this opportunity to thank our coordinator, for the moral support and
guidance.

I would also like to express my sincere gratitude towards my Project Guide

Prof. Nasreen Baig whose guidance and care made the project successful.

I would like to thank my College Library, for having provided various reference
books and magazines related to my project.

Lastly, I would like to thank each and every person who directly or indirectly
helped me in the completion of the project especially my Parents and Peers who
supported me throughout my project.

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 ABSTRACT

Banking is the backbone of every industry and technology plays an important role
in every industry. The role of technology is increasing very rapidly day by day,
which is also promoting the banking industry. Banking is one of the largest
financial institutions which regularly explore the opportunity of technology to
provide better customer services. Over the years, banking has transcended from a
traditional brick-and mortar model of customers queuing for services in the banks to
modern day banking where banks can be reached at any point for their services. The
present era is entering into a new pace in digital payment system by using digital
wallets filled with coupons and offers. In particular, the mobile payment (m-
payment) system has emerged, enabling users to pay for goods and services using
their mobile devices (especially mobile phones) wherever they go. To
make people stress free and to make transactions easy new applications have been
introduced. The present research paper is focusing on the impact and usage of these
new digital payment systems on youth and problems encountered if any. The study
is conducted in Mumbra and data of 107 people was collected using a structured
questionnaire and analyzed using simple statistical tools.

Keywords:

 Mobile Banking
 Digital Banking
 E-Payments
 E-Wallets

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 INDEX

Sr. no. Name of the Chapters Page no.

1. Introduction 05-48
1.1. Introduction about the topic 05-12
1.2. What is mobile payment? 13-25
1.3. Meaning 26-29
1.4. Definition 30-31
1.5. History of mobile banking 32-34
1.6. Importance 35
1.7. Features 36-39
1.8. Benefits and Advantages 40-41
1.9. Factors of mobile banking evolution 42-44
1.10. Steps taken by government to 45-46
increase mobile banking 47-48
1.11. Future of mobile banking
2. Research Methodology 49-53
2.1. Introduction 49
2.2. Scope of study 49
2.3. Objective of study 50
2.4. Limitations of study 50
2.5. Hypothesis 51
2.6. Sample size 52
2.7. Sample design 52
2.8. Sample technique 52

3. Literature Review 53-56

4. Data Analysis and Interpretation 57-69

5. Conclusion and Suggestions 70-78

5.1. Findings of the study 70-71
5.2. Conclusion 72-73
5.3. Suggestions 74
5.4. References 75
5.5. Annexure 76-78

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 CHAPTER 1
INTRODUCTION

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 INTRODUCTION

Mobile Financial Services refer to any financial transaction or services that is conducted
through a mobile device, such as a smartphone or tablet. These services may include mobile
banking, mobile payments, mobile money transfer, mobile wallet, and other financial services
that can be accessed through a mobile device.

Mobile financial services have gained immense popularity in recent years, particularly in
emerging markets where access to traditional financial services is limited. Mobile financial
services provide a convenient, affordable, and accessible way for people to manage their
financial transactions without the need for a physical bank branch.

Mobile financial services are made possible through mobile network operators (MNOs) who
partner with financial institutions to provide financial services to their customers. Mobile
network operators (MNOs) have a wide reach and established infrastructure that allows them
to offer financial services to people who may not have access to traditional banking services.

Mobile financial services offer a range of benefits to both consumers and financial service
providers. For consumers, mobile financial services offer convenience, accessibility, and
affordability. Consumers can access financial services at any time and from anywhere,
without the need to visit a bank branch. Mobile financial services are also affordable, as they
eliminate the need for customers to travel to bank branches, which can be costly.

Mobile financial services also benefit financial service providers by expanding their customer
base, reducing the cost of service delivery, and increasing revenue. Financial service
providers can reach a larger market through mobile financial services, including people in
remote areas who do not have access to traditional banking services.

Mobile financial services also reduce the cost of service delivery by eliminating the need for
physical bank branches and reducing the need for staff. Mobile financial services in India
have become increasingly popular in recent years due to the widespread adoption of mobile
phones and the growth of digital payments.

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Here are some key points to know about mobile financial services in India:

1. Mobile Wallets:

Mobile wallets are digital wallets that can be loaded with money and used to make payments
for various services and products. Some popular mobile wallet services in India include
Paytm, PhonePe, Google Pay, and Mobikwik.

2. UPI (Unified Payments Interface):

UPI is a real-time payment system developed by the National Payments Corporation of India
(NPCI) that allows users to transfer money between bank accounts instantly using their
mobile phones. UPI has gained immense popularity in India due to its convenience and ease
of use.

3. Mobile Banking:

Many banks in India offer mobile banking services that allow users to access their bank
accounts and perform transactions using their mobile phones. Mobile banking services
typically include features such as fund transfers, bill payments, and account balance inqu

4. Microfinance:

Mobile financial services have also been instrumental in providing access to financial
services to underserved and rural areas in India. Microfinance institutions have leveraged
mobile technology to provide financial services such as loans, savings, and microfinance
institutions have leveraged mobile technology to provide financial services such as loan
savings, and insurance to people who are otherwise excluded from traditional banking
systems.

Overall, mobile financial services in India have transformed the way people transact and access
financial services, and have provided a significant boost to financial inclusion in the country.

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Mobile financial services come in different forms including mobile banking, mobile money,
and mobile payments. Mobile banking involves accessing banking services through a mobile
device, such as checking account balances, transferring funds, and paying bills. Mobile
money is a type of electronic money that can be stored on a mobile device and used to make
transactions or to purchase anything.

Mobile financial services also benefit financial service providers by expanding their customer
base, reducing the cost of service delivery, and increasing revenue. Financial service
providers can reach a larger market through mobile financial services, including people in
remote areas who do not have access to traditional banking services. Mobile financial
services also reduce the cost of service delivery by eliminating the need for physical bank
branches and reducing the need for staff.

Mobile financial services come in different forms including mobile banking, mobile money,
and mobile payments. Mobile banking involves accessing banking services through a mobile
device, such as checking account balances, transferring funds, and paying bills. Mobile
money is a type of electronic money that can be stored on a mobile device and used to make
transactions or to purchase anything.

Mobile financial services also benefit financial service providers by expanding their customer
base, reducing the cost of service delivery, and increasing revenue. Financial service
providers can reach a larger market through mobile financial services, including people in
remote areas who do not have access to traditional banking services. Mobile financial
services also reduce the cost of service delivery by eliminating the need for physical bank
branches and reducing the need for staff.

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Mobile financial services in India refer to the use of mobile phones and other mobile devices
to access financial services, make payments, and conduct financial transactions. India has
seen a significant increase in mobile financial services in recent years, with the advent of new
technologies and the widespread adoption of smartphones. Mobile financial services (MFS)
are financial services delivered through mobile devices such as smartphones and tablets. MFS
has become an increasingly popular way for people to access financial services, particularly
in emerging markets where traditional banking infrastructure is limited or non-existent. MFS
has the potential to bring financial inclusion to unreserved populations, allowing them to
access essential financial services such as savings, payments, and credit.

Here are some detailed information on mobile financial services in India:

1. Mobile banking:

Mobile banking, mobile payments and mobile money. Mobile banking allows customers to
access their bank accounts through their mobile devices, enabling them to check their account
balances, transfer money, pay bills, and perform other banking transactions. Most banks in
India now offer mobile banking services, which can be accessed through their mobile
banking apps. Mobile banking apps are secure and require authentication using a user ID and
password or biometric authentication.

2. UPI (Unified Payments Interface):

UPI is a real-time payment system developed by the National Payments Corporation of India
(NPCI) that allows users to transfer money between bank accounts instantly using their
mobile phones. UPI has become one of the most popular modes of digital payments in India,
with over 200 million UPI transactions taking place every day.

UPI transactions can be initiated through mobile banking apps or UPI-enabled apps such as
Google Pay, PhonePe, and Paytm. UPI transactions are secure and can be authenticated using
biometric authentication or a UPI PIN.

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3. Mobile wallet:

Mobile wallets are digital wallets that allow users to store money and make payments through
their mobile devices. Users can load money into their mobile wallets using their debit or
credit cards, net banking, or UPI (Unified Payments Interface). Once the money is loaded,
users can use their mobile wallets to pay for goods and services at merchants, transfer money
to other mobile wallets, or transfer money to bank accounts.

Some of the popular mobile wallet services in India are Paytm, PhonePe, Google Pay, and
Mobikwik. These mobile wallets have gained immense popularity due to their ease of use,
security features, and cashback offers.

4. Microfinance:

Mobile financial services have also been instrumental in providing access to financial
services to underserved and rural areas in India. Microfinance institutions have leveraged
mobile technology to provide financial services such as loans, savings, and insurance to
people who are otherwise excluded from traditional banking systems.

Mobile-based microfinance services allow people to access financial services through their
mobile phones, eliminating the need for physical presence at a bank branch. These services
have helped to improve financial inclusion in India and have provided a boost to the economy
by providing access to credit to small businesses and entrepreneurs.

The growth of mobile financial services has been driven by several factors, including the
widespread adoption of smartphones, the increasing availability of mobile internet, and the
rise of fintech companies. The proliferation of mobile services has made it possible for
people to access financial services from almost anywhere anytime. Additionally, the
availability of mobile internet has made it easier for people to use mobile financial services,
even in areas with limited access to traditional banking infrastructure.

Fintech companies have played a significant role in the growth of mobile financial services,
particularly in emerging markets. These companies have developed innovative solutions to
address the unique challenges faced by these markets, such as low levels of financial literacy
and limited access to traditional banking services. By leveraging mobile technology, fintech
companies have been able to create new financial products and services that are more
accessible, affordable, and convenient than traditional banking services.

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In many countries, Mobile banking has risen as a well-known method of banking. Increase in
the number of smartphone users and internet subscribers, mobile banking is the fastest
adopted technology in the world. Mobile banking is the term used for performing banking
transactions like balance enquiry, money transfer, investment, paying bills, etc. using cell
phone devices.

Adoption rate of M-Banking is highest in developing countries like India and China. In India,
for the customer satisfaction banking industry moving their concentration from traditional
banking to innovation (technology) banking. Mobile-banking removes the space & time
constraints from different banking transactions.

Internet banking also helps the customer to access their banking facility anytime and
anywhere. Customers can check their bank statements, get the account details, transfer the
money to the other account and also can easily pay the bills sitting anytime, anywhere in the
world. But the disadvantage of Internet banking is that it requires Internet connectivity and
computers. Cell phone usage has been increasing day by day mainly in Asian countries like
India. That’s why it can be said that, Mobile Banking has overcome this biggest limitation of
Internet Banking because it just requires the Smart Mobile Phone.

Customer satisfaction is a major aspect as to how the services provided by the organizations
should meet the expectations as well as should also exceed the expectations of the customer.
If the customer expectations of safety, reliability, security & trust etc. is met by the services
then we will say that, more consumers will connect with M-banking (High Customer
Satisfaction) and if the expectations will not be met then we will say that customer
satisfaction is low.

Mobile financial services have rapidly transformed the financial landscape in India, providing
access to financial services for millions of unbanked and underbanked individuals. Mobile
financial services are essentially financial services that are delivered through mobile devices
such as smartphones or feature phones. They include a range of services such as mobile
banking, mobile payments, and mobile wallets.

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In India, mobile financial services have been driven largely by the growth in mobile phone
usage. According to a report by the Telecom Regulatory Authority of India (TRAI), India had
over 1.2 billion mobile phone subscribers as of March 2021. This widespread adoption of
mobile phones has enabled mobile financial services providers to reach a large customer base
and offer a range of financial services.

Banking is one of the key financial institutions in India. With the increased pace in
technology banks are also updating with new technology by introducing digital banking in
India. Mobile banking is one of the important innovative tools of banks among the available
services. Mobile banking is nothing but making banking transactions using mobile phones. It
is a bi-product of Green Banking.

Mobile banking alone serves the purpose of different banking transactions in convenience to
its customers which in turn saves the time and cost of its customers. Easy transaction of
money from one bank account to another is possible through mobile banking apps. Mobile
banking has so many advantages to its customers like Balance enquiry, quick transfer of
funds, online bill payments, SMS alert etc. Thus, mobile banking is being adopted by
customers at an increasing pace.

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 ● WHAT IS MOBILE PAYMENT?

Mobile Payment means when any goods or services are purchased through the use of various
electronic modes of payments which means there is no use of physical cash or cheques in
digital payment. Now-a-days people use Digital Payments more because Digital payment
methods are easier and more convenient and they also provide customers the flexibility to
make the payment from anywhere at any time which proves as a good alternative to the
traditional methods of payment and which fastens the transaction cycles.

13 Types of Mobile Payment methods in India :-

1. Paytm

2. Google Pay

3. UPI BHIM

4. PhonePe

5. Mobikwik

6. Yono (SBI)

7. Citi MasterPass

8. ICICI Pockets

9. HDFC PayZapp

10. Amazon Pay

11. Samsung Pay

12. Apple Pay

13.WhatsApp Pay

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1. PayTM:-
(acronym for "pay through mobile") is an Indian multinational financial technology
company, that specialises in digital payments and financial services, based in Noida.
It was founded in 2010 by Vijay Shekhar Sharma under One97 Communications. The
company offers mobile payment services to consumers and enables merchants to
receive payments through its QR code, point of sale and online payment gateway
offerings. In partnership with financial institutions, Paytm offers financial services
such as microloans and buy now, pay later to its consumers and merchants. Apart from
bill payments and money transfer, the company also provides ticketing services, retail
brokerage products and online games.

In the year 2015, RBI gave Licence to Paytm to launch Paytm Payments Bank which
was later inaugurated in the year 2017 by the then Finance Minister Mr. Arun Jaitley.
Paytm works in 2 different ways :- Paytm Wallet and Paytm Payments Bank.

Paytm's parent company, One97 Communications, got listed on the Indian stock b exchange
on 18 November 2021 after an initial public offering, which was the largest in India at
the time. For the fiscal year 2021–22, Paytm's gross merchandise value (GMV) was reported
to be ₹8,500 billion (US$110 billion).

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2. Google Pay:-
Google Pay, also known as G Pay or Pay with Google, is also one type of Digital Wallet and
online payment system developed by Google. The services of Android Pay and Google wallet
merged in January 2018 and the name was changed to Google Pay.

In September 2017, Google launched an UPI-based app known as TEZ in India which was
later rebranded as Google Pay. Google Pay has more than 25 million active users in a month
of the digital wallets in India. Google pay transactions are safe and secure. Google Pay
enables you to:- Send and receive money. Store your credit/ debit card information safe.
And use this information to pay for various items on various apps .

Pay is known for its security among other similar digital payment apps. Google stores your
credit/debit card information in its secure servers using strong encryption. Cloud storage and
data security of the customers is the prime concern of Google.

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3.UPI BHIM App:-
BHIM stands for Bharat Interface for Money. BHIM App is developed by National Payments
Corporation of India i.e (NPCI) and it is based on Unified Payment Interface i.e (UPI). Our
Prime Minister Shri Narendra Modi has launched this app. BHIM App was launched on 30th
December 2016 and is currently available in 20 languages. BHIM App accepts all Indian
banks which work on UPI system and which is built over IMPS i.e Immediate Payment
System which allows the user to transfer money to Bank accounts of any two parties. Using
the UPI system, users can make transactions in an easy, quick and simple manner.

Through BHIM App users can do the various services:-

i. Users can Send money.

ii. Users can Request money, for this it is mandatory that the users mobile number be linked
with the bank account using.

iii. For quick transactions users can Scan and Pay.

iv. Additional feature of BHIM App is that it allows the customers to check their transaction
history.

v. There is a report tab in BHIM App for the customers if they have any complaint to raise
they can use this tab to do the same.

vi. Next option in the BHIM App is the Bank account option, so through this option the user
can view the bank account that is linked with his/her BHIM App. A customer can also change
the bank account by just clicking “Change Account” in the BHIM App.

vii. Through BHIM App it is easy to transfer money as BHIM App allows a customer to
transfer money to more than one payment address.

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4. PhonePe:-
PhonePe or PhonePe Private Limited is an Indian e-commerce payment service and digital
wallet company. PhonePe was founded in the year 2015 by its founders, Mr.Sameer Nigam
and Rahul Chari and it was the first payment app in India which was built on Unified
Payments Interface i.e (UPI). PhonePe is now available in 11 Languages.

Phone Pe offers various services such as:-

i. Users can send or receive money through the Phone Pe app.

ii. Users can make various payments- mobile recharges, DTH recharges, users can also
make payments by shopping online on various apps.

iii. Phone Pe even allows users to book tickets through various apps such as Redbus,
Goibibo, Ola etc.

Phone Pe app has more than 100 million users and it has crossed more than 5 billion
transactions. Latest development of Phone Pe app is that it allows its customers to withdraw
cash through its in app UPI feature which is also known as Phone Pe ATM, which means
transferring the said amount which has to be withdrawn to a nearby Phone Pe enabled
merchant/ seller.

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5. Mobikwik:-
MobiKwik is another Indian company app which acts as a digital wallet, as a mobile
payments system. MobiKwik is an app founded by Bipin Singh and Upasana Taku in the year
2009. Customers can add money to an online wallet that can be used for payments. In 2013
the Reserve Bank of India authorised the company's use of the MobiKwik wallet, and in May
2016 the company began providing small loans to consumers as part of its service mobile
apps. In the year 2016 MobiKwik launched -Mobikwik Lite app which was for older 2G
mobile networks and those with poor network connectivity. MobiKwik launched its first ever
Mobile Wallet system in the year 2012.

Mobikwik also launched the feature of sending and receiving money through a mobile app.
Mobikwik also provides financial services such as providing loans, various insurances such
as life insurance, accident insurance, fire insurance as well as mutual funds. In the year 2017,

Initially, MobiKwik was just a website with a closed wallet facility but later started with
MobiKwik's biggest competitor was Paytm.

According to Forbes India Magazine, in the year 2015 MobiKwik was used by more than 15
million users for its unique features and was also claiming an increase of one million users
every month. In the year 2016, India had Demonetization during this time Mobikwik had a
400% increase in Financial Transactions.

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6. YONO by SBI:-
This mobile wallet application was introduced by State Bank of India. This wallet
offers its services in 13 Languages. The word YONO means You Only Need One, this
app helps users to access various financial and other services, it acts as a Digital
Banking platform which offers various services such as online shopping payments,
booking tickets of (train, bus, taxi, flights), it also allows customers to make medical
bill payments.

YONO app was launched in the year 2017 by Mr. Arun Jaitley, the then Finance
Minister of India. This app can also be used by customers to make ATM withdrawals
as well as this app can be used to make various fund transfers, etc.

Through the YONO app a customer can track his/her OD account balance, can even
open fixed deposits, recurring deposits, and can even invest in mutual funds.
Customers can even track their loans through this app.

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7. CITI MasterPass:-
CITI MasterPass was launched by CitiBank India and Mastercard. It is India’s first
global Digital wallet. Citi MasterPass is a unique payment solution that provides users
the convenience to make purchases online in a safe and secure manner.

Citi MasterPass safely stores the confidential information i.e the data of customers
card and their shipping information is stored in their mastercard. So while making the
payment the customer simply has to select the option of “Buy with MasterPass" as the
payment option while checkout, by doing this the customers need not have to fill in all
the details. By this feature the risk of customers' confidential information can be
exposed, as customers are always in need of safe, secure, simple and quick
transactions while shopping.

CITI MasterPass is present in more than 24 countries worldwide. In today’s world

around 41 % transactions of Citi Bank are performed through online mode because of
its secure, safe and innovative services.

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8. ICICI Pockets:-
Pockets is a mobile app launched by ICICI Bank that enables the users to send money to any
email ID, phone number, facebook user, or bank account. This app uses a customer's
Facebook credentials to login and makes banking fun and social. It is designed to offer the
convenience of banking on Facebook. For now, Pockets is available only for Apple and
Android mobile phones. You don't have to be an ICICI Bank account holder to download
Pockets. This mobile wallet can be downloaded from the Google Play Store by anyone.

Pockets is a digital banking service that uses a virtual Visa card which helps users to transact
on any website or mobile application in India. Apart from transferring and requesting for
funds, users can also recharge their mobile, book movie tickets, and pay bills using this app.
Currently, the app has two products that are functioning, namely the Universal Wallet and
Savings Account. ICICI Bank is going to launch other features on this app soon. The app will
also have a built-in support chat feature which the customers can use to solve any problems
they face.

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 9. HDFC PAYZAPP:-

PAYZAPP is a mobile payment app developed by HDFC Bank. Payzapp allows customers to
recharge their phones DTH recharges as well, pay utility bills such as electricity bill etc,
customers can buy movies, train, flight tickets, book a cab and can also shop online.
Customers can also send money to their family and friends and can also track their expenses.

Customers have to link their bank account with HDFC PAYZAPP app to enjoy the most
secure way of payment. You have to just scan a QR Code to make any payment in the
Payzapp app.

During the launch of Payzapp app, Aditya Puri the Managing Director of HDFC Bank said
“The wallet we introduced under Payzapp, unlike other wallets, is not a prepaid wallet. It
reflects your account and it reflects your credit card balance. More importantly it is one click.
That is the convenience.”

How to start with Payzapp App:-

I. First you have to download the Payzapp app from Playstore.

ii. Enter your registered mobile number i.e the mobile number which is registered
with your bank account.

iii. Complete the registration process by reading all the KYC steps.

iv. In the next step you have to link your bank account or your credit card with the
Payzapp app.

v. You are ready to use the Payzapp app.

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10. AMAZON PAY:-
Amazon Pay announced a partnership with Worldpay in 2019, allowing Worldpay clients to
enable Amazon Pay as a part of the same integration.

Amazon Pay

Amazon Pay provides the option to purchase goods and services from websites and mobile
apps using the addresses and payment meth

goods stored in the Amazon account, such as credit cards or a direct debit bank account or the
Unified Payments Interface (UPI) in India.

Amazon Pay Express

Amazon Pay Express is a payments processing service for simple e-commerce use cases on
websites. It is built on Amazon Pay but without requiring a full e-commerce integration] it
can be used to create a button that can be copied and pasted onto a website or added via a
WordPress plug-in. It is best suited for merchants selling a small number of products with a
single item in each order, such as a digital download.

Amazon Pay UPI

On 14 February 2019, Amazon launched Amazon Pay Unified Payments Interface (UPI) for
Android users in partnership with Axis Bank. This service issues UPI IDs to its Indian
customers to allow for secure payments. Mechanism of Amazon Pay UPI is the same as other
UPI apps like BHIM, Paytm and PhonePe. Anyone with an Amazon India app can access this
service.

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11. SAMSUNG PAY:-

Samsung Pay (stylized as S∧MSUNG Pay) is a mobile payment and digital wallet service by
Samsung Electronics that lets users make payments using compatible phones and other
Samsung produced devices. The service supports contactless payments using near-field
communications (NFC), but also supports magnetic strip-only payment terminals by
incorporating magnetic secure transmission (MST) in select devices. In India, it also
supports bill payments.

Samsung pay was developed from the intellectual property of LoopPay, a crowdfunded
startup company that Samsung acquired in February 2015 for an estimated $300M, one of the
largest acquisitions made by the firm. The services support both NFC based payment systems
(which are prioritised when support is detected) as well as those that only support magnetic
stripes. This is accomplished via technology known as magnetic secure transmission (MST),
which emulates the swipe of a permanent magnet strip past a reader by generating the near-
field magnetic waveform.

In India, Samsung Pay supports Unified Payments Interface (UPI) and BharatQR. It also
supports bill payments via the Bharat Bill Payment System (BBPS).

25
12. Apple Pay:-
Apple Pay is a mobile payment service by Apple Inc. that allows users to make payments in
person, in iOS apps, and on the web. It is supported on iPhone, Apple Watch, iPad, and Mac.
The service was in preparation for "a long time", as Apple acquired startups, hired executives
and filed patents related to payments. Apple partnered with American Express, Mastercard
and Visa.

It digitises and can replace a credit or debit card chip and PIN transaction at a contactless-
capable point-of-sale terminal. It does not require Apple Pay-specific contactless payment
terminals; it can work with any merchant that accepts contactless payments. It adds two-
factor authentication via Touch ID, Face ID, PIN, or passcode. Devices wirelessly
communicate with point of sale systems using near field communication (NFC), with an
embedded secure element (eSE) to securely store payment data and perform cryptographic
functions, and Apple's Touch ID and Face ID for biometric authentication.

Apple Pay can also be used to ride some public transport networks either through the use of
credit/debit cards.

26
13. WhatsApp Pay:-
WhatsApp (also called WhatsApp Messenger) is an internationally available freeware, cross-
platform, centralised instant messaging (IM) and voice-over-IP (VoIP) service owned by US
tech conglomerate Meta. It allows users to send text and voice messages, make voice and
video calls, and share images, documents, user locations, and other content. WhatsApp's
client application runs on mobile devices, and can be accessed from computers. The service
requires a cellular mobile telephone number to sign up.

WhatsApp Pay is an in-chat payment feature that allows users to make transactions via
WhatsApp to their contact list. It is a UPI-based payments service that allows you to both
send and receive money. It was developed by the National Payments Corporation of India
(NPCI).

The UPI interface allows customers to make instant fund transfers through a virtual address,
also known as Virtual Payment Address (VPA). The fund Money is directly transferred
between bank accounts. The payments feature on WhatsApp is powered by BHIM UPI and
processed by payment partners in India.

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 ➢ MEANING:

The present scenario of the Indian economy is showing an increase in cashless transactions.
The Indian government is putting more efforts to change the face of the economy from cash to
cashless transactions. Many awareness programs are conducted by the government and other
organizations to create awareness of cashless transactions. To increase the usage of this method
of transactions various e- payment systems have been introduced to make necessary changes in
the economic life of people. The Indian economy is in phase of transforming the cash into
cashless and it is considered as a milestone in the Indian economy. The growth of the E-
payments mechanism is dependent to be driven by various trends and this may show an impact
on the industries it accepts. Regulatory environment, next generation service providers and
improvised consumer experience are the four drivers that contributed to the growth of Indian
online payment systems.

The vision of Digital India program is to transform the country into a completely cashless
society and knowledge economy. Faceless, Paperless, Cashless are few major changes in the
concept of digitalization. The Government of India has initiated various programs and came
up with several discounts programs to get the implementation of digital transactions. It was
on 15th Aug 2014 when the idea of transforming India to cashless was enlightened. It is on
the same day when there was opening of the Jandhan accounts by the Prime Minister of India
so that poor and unbanked areas can get the facilities available under the financial inclusion.
After 9th November, 2016 Prime Minister Mr. Narendra Modi implemented demonetization
in India.

The online money-based transactions have increased up by 250% in the recent few months
compared to recent years this is due to the demonetization effect. Cashless options such as
Debit cards, Credit cards, Paytm etc are used by the people in an increased amount. The
payments done through online modes are considered as the e-payments transactions in this
both the payer and payee can be able to use the online modes for sending and receiving of the
money. Hard cash is completely involved in the online payments. This mode of transaction is
considered as an easy, instant and convenient mode of transaction.

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The complete process of cash transactions involves a few steps. The first is to withdraw
money from the account, then utilize this for shopping or grocery etc as per the individuals
need and then the shopkeeper should deposit the money into his account all these will be the
basic few steps and a lot of time is consumed in cash transactions. But if we observe in online
mode of transactions the money from us is directly transferred to the required person account
and it is automatic, instant and done in less time.

These payment methods are more convenient methods than compared to transactions which
involve hard cash. It involves transparency, accountability, and reduced transaction costs. As in
the economy it is considered as the main accept which includes these key points such as There is
no additional cost in printing the cash for example in the demonetization phase RBI has spent
7900 crores (approx.) to print the cash. These cashless transactions save money as well as time
whereas cash transactions lead to black money and fake currency.

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Mobile operators play an indispensable role in the field of mobile technology. They are
closely integrated with the core business with respect to the underlying technology and
provide mobile services to the consumers. In every country there are financial rules and
directives which have to be followed.

There are three types of mobile payment markets name:

(1) High regulated markets which are heavily regulated and are not open to outside entities.
For example, only financial institutions have the right to provide payment services. In this
scenario a user can use his phone to carry out a transaction and the transaction is reflected on
the user’s bank account.

(2) Moderately regulated markets whereby the regulations are not so strict. The system allows
private players to join in the ecosystem and work with the financial institutions and offer the
payment services, for e.g., in USA

(3) Minimal regulated markets whereby the regulations are very relaxed. A
telecommunication operator can enter the market and collaborate with financial institutions,
accept money directly from the user and then forward it to the financial institutions who will
manage the backend. An example of such a system is deployed in Kenya.

The mobile payment ecosystem consists of member financial institutions namely users,
service providers for mobile payments and the traders. Each entity uses their in-house
technological equipment and software, and the overall ecosystem is heterogeneous. To a large
extent the entire transaction flow and security is approved by financial institutions (Mobile
Payment Forum of India, 2011). Mobile payment is the process of the parties exchanging
financial value with the use of mobile equipment owned by the user and the merchant.
Mobile payment service is a payment method which is supported by close interactions
between the internet, mobile devices and banks.

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All these entities play a vital role in provisioning the payment service to the consumer. By
providing these services consumers can receive financial account information and execute
transactions with their respective financial institution (“mobile banking”). These
functionalities allow the customers to make payments, transfer money or pay for goods
(“mobile payments”).

Recent development of high-speed mobile data networks together with the increased usage of
mobile devices is creating a new channel for commerce. Mobile payment is a kind of
payment in which at least one exchange of payment information is performed via a mobile
device. The processing of such virtual exchange of payment information via mobile devices
has been proved to be much cheaper in few countries (Balan & Ramasubbu, 2009).

Previous Studies by researchers suggest that m-commerce (MC) is an evolving, dynamic, and
rapidly changing business opportunity to carry out a financial transaction digitally (Nikhilesh
Dholakia, 2000). According to the theoretical analysis carried out by researchers (Prathima &
Rao, 2003) there lies a huge gap between the international mobile banking services and
Indian mobile banking services.

Researcher (Vyas, 2009) suggested the numbers of users using the mobile phone are
increasing in comparison to the number of users having the desktop and laptop internet, thus
creating possibilities for players like telecom providers, financial players, merchants and
banks to introduce many new mobile based services such as Mobile banking. M-commerce is
similar to e-commerce in many aspects, but the term “M-commerce“is usually applied to the
financial transaction activity performed using mobile networks. Nikhilesh, further proposed
and analysed few factors related to diffusion of mobile technology and mobile commerce.

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 ➢ DEFINITION:

Mobile banking is defined as “the provision of banking services to customers on their mobile
devices” (Sharma & Kansal, 2012). Mobile Banking refers to provision and usage of banking
and financial services with the help of mobile tel-ecommunication devices. Mobile banking is
a system that helps the customers to conduct a number of financial trans-actions with the help
of their mobile devices. Mobile com-merce is a natural successor to electronic commerce.
Where a mobile device is used to initiate, authorise and confirm an exchange of financial
value in return for goods and services.

Mobile devices may include mobile phones, PDAs, wireless tablets and any other device that
connect to mobile telecom-munication networks and make it possible for payments to be
made. The bank provides mobile banking services to their customers, wishing to increase
their customer share by removing all the hurdles in the way of adoption of mobile banking
services. The role of banking is very important in operating the business as well as industry
functions. As Internet banking is still in its growing stage, mobile banking has emerged as the
next advanced way of doing banking. The scope of offered services may include facilities to
conduct bank transactions, to administer accounts and to access customized information
(Tiwari & Buse, 2007).

In the broader sense mobile banking is that type of execution of financial services in the
course of which, within an electronic procedure the customer uses mo-bile communication
techniques in conjunction with mobile devices (Pousttchi & Schurig, 2004).

Mobile phones have become an essential communication tool for almost every individual
worldwide. In India, where mobile subscribers far exceed fixed line subscribers because of
better mobile infrastructure in comparison to fixed line infrastructure has made mobile
banking much more appeal-ing in India. Technology plays an important role in the banking
sector. Mobile phones are a common technology device that became part of every individual
in the information era. Mo-bile Banking is an emerging alternate channel for providing
banking services.

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India is the second largest telecom market in the world, which is having high potential for
expanding mobile banking and is the second biggest mobile phone user country in the world.
In India mobile phones are not only used as a medium of voice communication but also for
mobile services. Mobile services are defined as E-services that help the consumers to handle
financial transactions by using Mobile Devices. Banking is the foundation of each industry
and for surviving in the competitive world technology plays a very important role. M-banking
is the new way of banking. The reason behind the growing trend of M-banking is that it helps
the consumer to perform banking at any time and anywhere. It allows consumers to access
their banking transactions very easily 24×7.

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 ➢ HISTORY OF MOBILE BANKING

People have become so accustomed to doing things on the phone that today they cannot
imagine life without it. While it seems that mobile banking is a relatively new technology, the
first attempts at banking on a mobile phone took place in the last century, basically a step
behind the rise of internet banking. The history of mobile banking has its roots in the late
1990s and early 2000s and is strictly related to the internet’s boom.

SMS banking

By the time the internet emerged and before the introduction of mobile web services (1999),
mobile banking was referred to as SMS banking because it was mainly handled via SMS or
text messages. The use of mobile phones was increasing, and banks decided to take
advantage of this to communicate with customers. However, banks offered very few services
(for example, an SMS request about account balance).

WAP banking services

Indeed, banks began offering the first m-banking platforms to their customers in 1999, when
the wireless application protocol (WAP) was introduced. More and more people had access
to the internet on their mobile phones, and the banks could not miss such an opportunity to
bring customers closer to their financial affairs. The first WAP banking appeared in Norway
in 1999.
Before 2010, m-banking services were offered via SMS and WAP. While WAP banking has
become a thing of the past, SMS notifications have stood the test of time and are still very
popular. Today, banks still provide customers with various important information via SMS.
What is more, codes sent by SMS still are one of the methods of transaction authorization.

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Android and iOS software breakthrough

There were two main factors that, after 2010, changed the face of m-banking forever: the
development of Android (by Google) and iOS (by Apple) operating systems for smartphones,
as well as the advent of web-based technologies (WBT) like CSS3, HTML 5, and JavaScript.
Thanks to WBT, launching web-based and mobile-based applications on Android and Apple
devices was possible.

It also gave birth to mobile banking apps, and mobile banking applications began to evolve.

Smartphone banking

Although the first smartphones went on sale as early as 1993, it was still long before the first
banking applications, in today’s meaning of the word, appeared. Blackberry email devices
entered the market in 2002, and iPhones appeared in 2007.

Smartphones quickly gained popularity because of Apple, more people switched to mobile.
Customers used them not only for communication but also for business, everyday errands,
and even entertainment. Smartphones have defined new trends – many companies have
started to look at the future in a completely different way. It was inevitable that the banking
sector would also exploit such an opportunity.

The world’s first mobile banking application

The Bank of Scotland is unquestionably a global mobile banking pioneer. In 2007 it

announced the world’s first mobile banking app for smartphones. It should also be noted that
mobile phone top-ups were available at their ATMs as early as 2004.
Moreover, as early as 2009, it provided its customers with free, the first mobile application
for the iPhone, and quick statements by text (SMS) on demand. New features were offered in
the iPhone app. Customers could check their current balance and recent transactions in real-
time. Feedback was necessary at that stage. Customers’ opinions shaped the app’s
development and led to new features introduced.

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In 2011, the Scottish bank launched the free world’s first fully functional banking app, which
was available for iPhones, Android and Blackberry. People were delighted. More than one
million users were attracted to the service for the first six months, and they transferred more
than £1 billion through the app.

After that with smartphones, we witnessed the birth of the first internet banking apps and new
ways of processing payments that further contributed to the fast expansion of online banking.
Contactless payments became a standard occurrence in every retail shop and are no longer a
novelty.

Online banking has become so widespread that customers expect to have online banking

services provided for free or for a very small fee. Banks that don’t practice that lose their

customers.

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 ➢ IMPORTANCE OF MOBILE BANKING:

Mobile Banking is simply an amalgamation of the telecommunication and the banking

industry, through which one can avail the services of banking via mobiles and tablets. It acts
as a common agent and provides mutual benefits for both the banks and the customers. In this
mode of operation, the banks do not require huge investments nor have to alter their existing

infrastructure, and can in fact cater to the needs of a large number of people in lesser effort.

With mobile technology, banks are able to cut down on operational costs while still
maintaining client satisfaction. Banks get the most valuable data relating to customer’s varied
requirements achieved through customer’s relationship management with effective practices.
Banks can now reach out to its customers in far distant and isolated areas which previously
were unreachable through the use of mobiles phones and proper networking.

Since all banks have their customer database, SMS advertising is used to give information
about the products and services to its existing customers as well as to its new customers.
Along with the banks, the customers are also provided with added advantages of receiving all
the banking services in just a click irrespective of time and place. It has made banking
services hassle free for both the customers as well as the banks to a great extent.

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 ➢ FEATURES OF MOBILE BANKING

1. Instant Payments:

The money transfer between the payer wallet and the payee wallet will happen within a
matter of a few seconds, instead of hours or business days in an e wallet account. The feature
provides huge benefits as payments can be done anytime and from anywhere making fund
transactions immediately and this will increase the control of personal and business funds.

2. Managing Virtual and Physical Card Operations:

The emerging technology has helped the e-wallet app to store the user’s credit or debit card
data, which can be used to make money transactions at any time from anywhere across the
globe. The evolution of e-wallet simplifies the user’s finances and it conveniently helps to
aggregate all their cards in one central space. A mobile wallet or payment app is safer to carry
all your cards with you as it avoids the user physically carrying the credit card. The software
helps the app to encrypt the card data without storing the card number using high-grade
security.

3. Bill Payments:

Payments App is one of the critical mobile wallet features as most of the youngsters prefer to
pay bills online be it for shopping, groceries, restaurants, movie tickets booking, flight tickets
booking, rent, tuition, utilities, loans, and so on. With the digital cash moment gaining pace,
mobile wallets are indeed becoming a part of essential services for a common man.

4. Easy and Fast Self – Registration:

The main intention of the introduction of e-wallet is to save people’s time, efforts and ease of
transaction. The simple self-registration process comes in handy for the users which pushes
them to go for the app without thinking twice before using it.

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Usually, the self – registration process has the following steps:

● Downloading the app and running it on the mobile phone

● Signing up for it by providing the necessary data
● Confirming the registration Setting up of password and login
● Linking up with debit or credit card or bank account, as per requirements
● Adding money in the wallet
● Finally using the wallet Though the registration flow is a one time process, it makes a
crucial first impression that lasts forever.

2. Payments To and From Respective Bank Accounts:

A payment app will allow for instant money transfer to any bank including an individual’s
account in the same bank as well as transfer to another person’s account held in different
banks. The payment app owner will have a variety of options for sending and receiving
business or personal money within just a few clicks from wherever you are and at any time
based on the requirement. One has to first download the online payment apps on their
smartphones. Most of the payment apps downloaded are available in both Android and IOS
based phones.

3. Security:

The moment mobile financial services come into the picture, individuals prefer the highest
security to adopt it. It is essential for money transactions to be safe and secure from one end
to another. Payment Mobile Apps can be secured with a lot of robust technologies such as
passwords, one – time passwords through SMS, point to point encryption, security questions,
biometrics, out of band authentication and so on. Despite the proven fact that digital wallets
are more safeguarded when compared with credit cards, the growing concerns of safety in
consumers' minds remains the main obstacle to adopting payment apps.

4. Merchant Payments using Contactless Technologies:

The up-gradation of technology has many merchants across the globe who are realizing the
need to use various mechanics that accept digital wallets. Most of the retail clients have made
arrangements to make in-store payments using the mobile wallets via contactless methods be
it using QR – code or near field communication and so on.

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NFC or Near Field Communication is a contactless remote technology that works within a
close distance say up to 10 cm and it provides people with secure payments between the point
of service devices and their respective smartphones. Quick Response Code or QR code is one
of the popular forms of payment methods and it is very similar to a bar code. The user has to
first scan the QR code either using a smartphone or a camera which interprets the bar code
and a related application or a web site open through which payment can be made.
Most of the payment apps provide NFC and QR payment facilities as the demand for the
contactless transaction and the convenience which it offers to the users is growing
seamlessly.

5. Coupons, Rewards, Discounts

The use of payment apps and e-wallets provides its users with coupons, discounts, rewards,
loyalty points, and so on. Digital wallet solutions will have tie-ups with many firms that
provide offers, discounts, coupons on using the payment apps. The e-wallets form an ideal
environment to provide deal-seeking consumers with a huge range of benefits and help
mobile wallet apps to stand out in the market.

6. A faster way to make payments:

All the users have to do is tap, pay and go. With the increase in the number of people who use
mobile phones, the e-payment system has gained momentum worldwide. All one has to do is
to simply wave or tap the phone in front of an NFC compatible terminal, with this single
action, the user has approved the transaction. This will result in a contactless transaction,
despite securing the card number which is never revealed. In addition to this, the process is
faster when compared to using a debit or credit card which needs to be inserted in the device
or for swiping purposes.

7. Improves Cash Flow:

The introduction of e-wallets has improved the cash flow in the markets. For starters, most of
the customers prefer to pay their bills using debit/credit cards over the traditional method of
cash payments. Most of the mobile payment processors will transfer funds to a business
account within three days.

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8. Secure way to make payments:

Payments made using mobile phone apps allow the user to use the cell phone to make in-
store purchases. These apps use a technology which is called Near – Field Communication
(NFC) all you have to do is to tap or wave your phone to make payments at the point of
service (POS) terminal.

Most of the time, these apps use either encryption or protected code to minimise the threat to
the personal data of users. Your original card number will not be stored on the device or with
the retailer and instead, the system will mask the card numbers by assigning them with a
random number or token for each purchase. If in case, a hacker tries to hack to gain access to
store data or your device, they will only get useless information. E-Wallets offers a great
level of security for the financial data of the users.

The user can add a fingerprint or PIN or Password as an additional layer of security for the
phone to enhance the surveillance coverage.

9. Difficult to Read Terms and Conditions:

It is a must and mandatory for the users of mobile payment apps to understand the terms and
conditions. Like any other business agreement, the business owners will have to first read and
understand the terms and conditions which come in with the payment apps. If in case, the
user fails to read the fine print mainly when it comes to processing fees, then you will be in
for an unwelcome surprise when you open your invoice at the end of the month.

41
 ➢ Benefits And Advantages of Using Mobile Banking

Online banking is no longer a privilege, something unusual, or unexpected. If you don’t use
mobile banking, here are several reasons why you definitely should.

1. It costs almost nothing, or literally nothing:

That is right. Mobile banking services are almost always free for all bank customers. That has
enabled banks to save operational costs and provide services at a much cheaper price. Almost
70% of customers look for consistent online and mobile banking services when choosing a
bank.

2. Online banking is always available:

How many times did you go to the bank just to find the closed door in front of you? Have you
ever needed money but couldn’t get to it because it was a national or religious holiday? Yeah,
banks don’t work when we need them but with web banking, it is different.consistent online
and mobile banking services when choosing a bank.

3. Online banking is always available:

How many times did you go to the bank just to find the closed door in front of you? Have you
ever needed money but couldn’t get to it because it was a national or religious holiday? Yeah,
banks don’t work when we need them but with web banking, it is different. You can transfer
or deposit money at any time, 24/7 without worrying about the working hours.

4. You are seconds away from finishing your task:

The processes in online banking are fast. If you are transferring money from one account to
the other, it will take only a few seconds before the money is transferred. With online
banking, there is no queue, it is all so easy and fast.

5. An easy way to pay your bills:

That is right! You don’t have to spend time in the queue. A few seconds and a few clicks are
all that is needed to pay your bills. It can get even better. You can set your bills to be paid
automatically. That way you will not have to worry if you have paid them or not.

42
6. Better customer experience:

Online banking services are straightforward to use. They are adapted to customers and you
can keep up with your account status in real-time and acquire customized solutions in no
time. Also, mobile banking apps can improve the overall customer experience. The ability to
access information in just a few clicks from our smartphones changed how we access our
bank accounts. With a mobile banking app, customers can check their bank balances, transfer
funds, or make mobile payments in just a second.

7. Additional revenue sources:

Financial institutions can generate additional revenue by offering value-added services in the
apps, like retail offers or travel insurance. Customers using mobile banking apps are more
engaged in banking activities than branch-only customers and use more products.

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 ➢ The Factors of Mobile Banking Evolution

The evolution of the bank industry has brought changes in the customer experience. We covered
the history of this process already. Let’s now reflect on the reasons for this change and the
results that took place during the online banking expansion.

1. The advancement of technology:

The accessibility of technology over the years has resulted in abrupt changes within many
systems, not only the banking industry. As we mentioned before, the development of
smartphones, which are much more than machines for making phone calls nowadays, allowed
us to switch to digital banking. According to Statista, the global smartphone penetration will
reach 46.45% in 2020. In the coming years, this percentage is estimated to go further up.
Also, it is worth mentioning that banks operate on much better software than before, and each
year brings further upgrades and enhancements to the system.

2. Growing mobile money infrastructure:

Many prominent banks have already made substantial investments to upscale their mobile
banking capabilities. Smaller financial institutions and some non-bank entities have also
started to seek ways to leverage this fast-growing space.
Those non-bank entities include mobile network carriers, credit card processors, and online
personal finance services.

3. Change in customer needs and preference:

Waiting in line with your entry number is no longer something customers should worry
about. Chances are, they can resolve all their banking errands on their own over the app on
their smartphone. The level of convenience online banking brings turned out to be extremely
valuable to customers who can access their accounts in time-efficient and effortless ways.

44
4. Innovative features and services:

With the development of online banking, banks got the chance to upgrade their systems and
prioritize their activities better. As digital banking has taken over, new features have been
added to the banks. All with the same goal: providing maximum convenience to their
customers while expanding their possibilities and introducing new services and/or products
on the market. These innovations are the bait for new customers and for retaining the existing
ones. In times when a lot is available and possible, banks are competing for the market just
like all other sectors do.

5. Increased market and accessibility:

Internet banking allows banks to reach a wider audience that doesn’t necessarily live close to
the bank. This is great news to customers who wanted to join a specific bank but couldn’t as
there wasn’t a local bank in their city or town. Banks can now reach many more potential
customers. Up-selling and cross-selling products is now much easier.

6. Monetizing customer analytics:

Modern technology gives insight into the detailed spending habits of each customer. Banks
can easily track each purchase or transaction and use this data to their advantage. Moreover,
banks often create deals with retailers who need such information to personalize their
products and observe the changes within the market.
When banks sell such information to retailers, the personal data and identity of each customer
are protected. We will discuss the issue of security later. For now, it is important to mention
that banks are very cautious with confidential information. Also, banks leverage this data to
upgrade their capabilities to acquire new customers, offer better customer service, and
improve decision-making capabilities.

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7. A great channel for vertical marketing:

Online banking can be used as an effective marketing channel. Banks communicate with their
customers via push notifications, offering them new products and services. Some of the most
popular offerings include new types of saving plans, insurance packages, or loan deals.
With the customer data on their hands, banks can easily implement vertical marketing and
create highly targeted marketing campaigns.

8. Reduces cost and saves time:

As the majority of workload got digitized, there is less need for physical materials like paper.
Banks are no longer drowning in envelopes and papers which conserves space, but also
supports the environmental movements. Bank clerks now have much more time for
individual meetings with customers, while customers are no longer tired of waiting in the
queues.

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 ➢ Steps Taken by Government to Increase Mobile Banking:

The Indian government has taken several steps to increase mobile banking and digital payments
in the country. Here are a few key initiatives:

1. Promotion of digital payment systems:

The government has launched several initiatives to promote digital payment systems, such as
UPI (Unified Payments Interface), BHIM (Bharat Interface for Money), and the National
Payments Corporation of India (NPCI). These systems have made it easier and more
convenient for people to conduct financial transactions using their mobile phones.

2. Expansion of banking services:

The government has launched several programs to expand banking services to unbanked and
underbanked areas of the country. One such initiative is the Pradhan Mantri Jan Dhan Yojana
(PMJDY), which aims to provide every household in India with a bank account. These bank
accounts can be used for mobile banking and digital payments.

3. Digitization of government services:

The government has been digitizing its services, such as passport applications, income tax
filings, and property registrations. This has made it easier for people to access these services
and pay for them using mobile banking.

4. Cashless economy campaign:

The government launched a campaign to promote a cashless economy in India. This

campaign included measures such as the demonetization of high-value currency notes and the
promotion of digital payments.

5. Incentives for digital payments:

The government has offered several incentives for people to use digital payments. For
example, it has waived off merchant discount rates for certain digital transactions, provided
cashback offers for using digital payments, and offered discounts on toll payments made
through digital modes. Overall, the government has taken several steps to increase mobile
banking and digital payments in India, including the promotion of digital payment systems,
the expansion of banking services, the digitization of government services, campaigns to

47
promote a cashless economy, and incentives for digital payments.

48
 ➢ The Future of Mobile Banking
The future of mobile banking in India looks promising, as the country continues to undergo a
digital transformation. Here are a few key trends that are likely to shape the future of mobile
banking in India:

1. Increasing adoption of mobile banking:

With the increasing penetration of smartphones and the internet, more and more people in
India are turning to mobile banking for their financial needs. The convenience and ease of use
offered by mobile banking apps are major drivers of this trend.

2. Expansion of digital payment options:

The Indian government has been actively promoting digital payments through initiatives such
as UPI (Unified Payments Interface) and BHIM (Bharat Interface for Money). These efforts
are likely to continue, with more and more merchants and consumers adopting digital
payment options.

3. Emergence of neobanks:

Neobanks, or digital-only banks, are becoming increasingly popular in India. These banks
offer a range of services, including savings accounts, credit cards, loans, and insurance, all
through a mobile app. With their low fees and user-friendly interfaces, neobanks are expected
to attract a growing number of customers in India.

4. Integration of AI and machine learning:

As mobile banking apps become more sophisticated, they are likely to incorporate more AI
and machine learning capabilities. This could include features such as personalized financial
advice, fraud detection, and chatbots for customer support.

5. Voice payments:

Voice payments is another mobile banking technology trend of 2021 that you should know.
With the widespread adoption of digital assistants like Siri and Alexa, the number of peer-to-
peer transactions through voices is quickly increasing. By delivering this feature of a mobile
banking app, financial institutions improve user experience and improve retention rates.

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6. Cardless ATM:

Cardless ATM withdrawal is one of the primary mobile banking industry trends in 2021 and
years to come. With innovations in NFC technology and QR code scanning, customers can
interact with banking ATMs much easier. For instance, people can access their funds and
make payments by scanning their smartphone screens. Besides improved user experience,
cardless ATM withdrawal can contribute to reduced cloned card fraud.
Overall, the future of mobile banking in India looks bright, with increasing adoption,
expanding digital payment options, the emergence of neobanks, and the integration of AI and
machine learning.

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 CHAPTER 2

RESEARCH METHODOLOGY

51
 RESEARCH METHODOLOGY

Research methodology simply refers to the practical “how” of any given piece of research.
More specifically, it’s about how a researcher systematically designs a study to ensure valid
and reliable results that address the research aims and objectives.

The data has been collected from the following sources: -

1. Primary data

2. Secondary data

Scope Of Study:

Data for the study was collected from primary as well as secondary sources.

● Primary Sources of Data Collection –

For this research the primary source of data collection was done by survey method.
The survey was conducted through a Structured Questionnaire which was asked to the
respondents. The questionnaire was prepared keeping in mind the objectives of the
study. The questions asked to the respondents were close ended so that the
respondents could answer quickly without any problem. The questionnaire was
prepared with the help of Google forms.

● Secondary sources of Data Collection:-

Secondary sources of data means the data that is already available on various platforms.

Secondary data can be obtained by various publications by the central or the state
government or by any organizations, books, PDF’s, magazines, and even newspapers,
reports published by various organizations, schools, universities etc.

This type of data collection is used to gain more knowledge of the topic of our research by
collecting articles by authors who have previously researched on the topic that we have selected.

In this study secondary data was collected through various websites, online journals.
Secondary source of data collection was useful to understand the research topic more
accurately.
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Objectives of the Study:
The present study is conducted with the objectives which include:-

● To understand the basic concept of Mobile Banking in India.

● To know the problems faced by the customers in using online payment systems.
● To study the purpose of using online payment systems.
● Overall rating of Online payment systems and suggestions from the respondents.

Limitations of the Study:

There are certain limitations to every research as in research cannot cover all the aspects of
the topic cannot be covered and because of certain uncontrollable factors and variables
limitations arise in a study. Limitation of the study reduces the accuracy of the research
project.

Here are certain Limitations of this study:-

● This research was carried in a shorter period of time with limited geographical areas
into consideration.
● The result of this research depends upon the quality of responses received.
● The sample size was small and constrained, the research would have been accurate if
the sample size was more. Total 107 respondents.
● For this research the scope of discussion was limited, the research could have been in
more depth.

Hypothesis:

The principal instrument in any research is the Hypothesis of the research. A hypothesis is a
proposed explanation for the research problem to be solved. The integral part of a research
project is the framing of the hypothesis. Hypothesis framed has to be clear, precise and
specific. Hypothesis framed should consider the objectives of the research. There are two
types of hypothesis i.e Null hypothesis and Alternative hypothesis.
The null hypothesis states that there is no relation between the variables. The alternative
hypothesis states that there is relation between the variables.
The Hypothesis design should help us to find if there is any relation between the variables
that are being studied in the research project. The study on the topic is based on H0 i.e. null
hypothesis.
53
Sample size:

Sample size refers to the number of respondents or participants or observations which is

included in the research. This is the term which is used to define the subjects of the study
which is selected from the entire population for the specific study.
Sample size is an important feature in the entire research as through this we understand the
strength of our study i.e the respondents. Correct sample size can give accurate results. The
sample size in this research is 107 respondents from Mumbra so this becomes our sample
size. As the sample size is small to study the topic there may be slight inaccuracy of data
which is further stated in the research.

Sample design:

Sample design is classified into 2 types:-

1. Probability sampling
2. Non-probability sampling.

Probability sampling is also known as random sampling or chance sampling in which every
item has an equal chance of inclusion in the sample. The result obtained from probability
sampling or random sampling can be assured in terms of probability.

Non-probability sampling is also known by deliberate sampling, judgement sampling. In this

type of sampling items for the sample are deliberately selected by the researcher.
For the purpose of this research, I have used probability random sampling for collecting
responses as a fixed set of questions were asked to a small set of respondents.

Sampling technique:

For the study, Convenience sampling technique is used. Required data are collected by
preparing a predefined questionnaire via Google forms. The collected data are tabulated.
Percentage Analysis is used for the analysis of data. Interpretations are drawn on this basis. A
pictorial representation of these data is shown in the form of charts.

54
 CHAPTER 3
LITERATURE REVIEW

55
 LITERATURE REVIEW

1) (Deshwal, 2015)
Her study discussed how mobile phones have been immensely providing financial services in
India and its contribution to the economic growth at reduced costs. She believes that a good
way to ensure inclusive growth of the common man is by reaching out to the remotest
locations of the country. The collaborations among various organizations are necessary to
increase the penetration of mobile banking from high end users to low end users and from big
metropolitan cities to rural areas. She further points out how the customers could be driven
towards mobile banking with the help of various advertising campaigns.

2) According to Mamta, Prof. Hariom Tyagi and Dr. Abhishek Shukla(2016)

The article entitled “The Study of Electronic Payment Systems”. This study aims to
identify the issues and challenges of electronic payment system and offer some solutions
to improve the e-payment quality. The successful implementation of electronic payment
system depends on how the security and privacy dimensions perceived by consumers as
well as sellers are popularly managed in turn would improve the market confidence in the
system.

3) According to Sujith T S, Julie C D(2017)

The article entitled “Opportunities and Challenges of E-Payment System in India”. This study
aimed to identify the issues and challenges of electronic payment systems and offer some
solutions to improve the e-payment system. The E-Payment system not only provides more
opportunities but many threats also. The study found that the reach of mobile networks,
Internet and electricity is also expanding digital payments to remote areas. This will surely
increase the number of digital payments.

56
4) The study of Jones (2015)
In his study, he revealed that Mobile-banking offers various useful facilities like fund transfer
and bill payments, etc. Mobile banking also affects the customer’s behaviour. Various
applications of mobile phones allow customers to do banking transactions by sitting at home.
Customers can also do a money transfer or balance enquiry with a single click. This kind of
banking facility is urging customers to utilize mobile banking services. Customers can
perform their transactions on Mobile phones to save time and cost.

5) According to Ashish Baghla (2018)

This research paper titled “A Study on the Future of Digital Payments in India” focused
on the adoption of Digital payments in India. This paper identifies the problems or
challenges faced by the people of India in adopting Digital modes of payment. One of
the objectives of this study was to find out the attitude of the people towards the
adoption of digital payment in India. The research methodology used in this research i.e
the data is collected from both the primary and secondary sources , the primary has
been collected through a questionnaire from 110 people. The paper concluded that the
efforts by the government to make India cashless is going well but it will take time for
India to become completely cashless as there are various challenges which the
government has to take care of.

6) According to N Ramya, D Sivasakthi and Dr. M Nandhini (2017)

The research paper titled “Cashless transactions: Modes, advantages and Disadvantages”
focuses on to state the efforts by the RBI and the Government of India to promote the
digital modes of payments and to achieve the goal of a “less cash society”. The researcher
also studied the various modes of cashless transactions such as e-wallets, mobile wallets,
UPI apps, AEPS, USSD system, debit/credit cards for payments. This researcher also
provided various advantages of using cashless modes of payments such as- convenience,
tracking the expenditures, avail various discounts, lower risk, and can pay small
denominations etc. This research paper also stated certain disadvantages of going
cashless and those are- overspending increases, difficult for people who are not used
to such technology, losing phone can be problematic, higher risk of identity theft and
hacking consumers data etc.
57
7) (Goyal, Pandey, & Batra, 2012)

In their study have arrived to the conclusion that in order to ensure the successful
implementation of the online payments and its wide acceptance, elimination of the various
obstructions in the fields of security and privacy is mandatory They further pointed out that it
is important for the businesses and merchants to step forward and make value- producing
investments so that the customers develop trust and readily adapt this model of payments.
They have also discussed that despite of the failure of many solutions towards extending
secure transactions, numerous efforts are being made for the development of potential
technology innovations that can deal with the security concerns of the customers and redress
their grievances

8) Dr. R. Gokilavani (2018)

This study revealed that half of customers have low perception towards online payment. The
superiority, efficiency, safe and secured, convenient, cost and time savings, user friendly,
ease and protection of privacy of online payment have positive and effect on the rate of
adoption of online payment of consumers.

9) K. Suma Vally (2018)

This study revealed that the effect of online payments adoption and its impact on customers in
the banking industry. The overall results imply the importance of the policies adhering to the
cashless payments. It also indicates the implementation of the technology of online payments
which improves the overall performance of the banking sector.

10) V. Rengarajan & V. Vijayanand (2018)

In their study revealed that the customers mostly prefer the private banks on the whole and these
Private Banks play a healthy role in introducing the online payments compared to the public
sector banks. For each and every variable the Private bank has a positive reply from the
customer as compared to the public sector.

58
11) Arpita Pandey (2018)

Their study revealed the effect and significance of online payment in India. According to the
Government of India the online payment will increase employment, reduce risk related to
cash like corruption, robbery, and carrying of large volumes of cash and make all the
transactions digitised in which the transfer of money is done with security.

12) Prof. Pushpa (2018)

The author in their study revealed that introduction of online payment is a unique initiation
and as an alternative for cash for the customer. This cashless economy will help to fight
against the black money, fake currency, reduces robbery related to hard cash etc., thus helps
in the country's economic growth.

59
 CHAPTER 4
DATA ANALYSIS AND INTERPRETATION

60
 DATA ANALYSIS AND INTERPRETATION

The collected data was analyzed by using pie-charts and the analysis of the collected data is

given below. Data analysis helps us to determine whether our hypothesis is accepted or not.

And it is also useful to determine whether all our objectives are fulfilling or not. Data
analysis helps us to draw a conclusion or a result to our research problem.

Overall Analysis of Online payment application on the basis of survey.

Total Respondents: 107 Respondents

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1. Age

Age Number Of Respondents %

18-20 49 45.8%
21-30 29 27.1%
31-40 28 26.2%
40 above 01 0.9%
Total 107 100%

Interpretation:

From the above table and the below chart it is clear that our 107 respondents, 45.8% of the
respondents belong to 18-20 age group, 27.1% of the respondents are of 21-30 age group,
26.2% of the respondents are of 31-40 age group and 0.9% belongs to 40 above age group.

62
2. Have you ever used an online payment application for making payments?

Options Number Of Respondents %

Yes 106 99.1%

No 01 0.9%

Interpretation:

From the above table and the below chart it is clear that from our 107 respondents, the total
number of 106 or 99.1% of respondents have used an online payment application for making
payments and only one respondent or 0.9% have never used an online payment application.

63
3. How did you get to know about mobile banking?

Options Number Of Respondents %

Internet 60 56.1%

Friends 10 9.3%

Bank itself 33 30.8%

Newspaper 0 0%

Others 04 3.7%

Interpretation:

From the above table and the below chart it is clear that from our 107 respondents, total 60
number of respondents get to know about mobile banking through internet and the percentage
for the same is 56.1%, 10 respondents get to know about mobile banking through friends and
the percentage for the same is 9.3%, total 33 respondents get to know about mobile banking
through their bank itself and the percentage for the same is 30.8% and the rest of 4
respondents get to know about mobile banking through others or other sources and the
percentage for the same is 3.7%.

64
4. Why would you choose an online payment option over physical payments?

Options Number Of Respondents %

Easy payment option 36 33.6%

Time saving and 35 32.7%

convenient

Cashback offers and 32 29.9%

discounts

Others 04 3.7%

Interpretation:

From the above table and the below chart it is clear that from our 107 respondents, total 36
respondents choose online payment option over physical payment because of easy payment
options and the percentage for the same is 33.6%, 35 respondents choose online payment
option because it is time saving and convenient and the percentage for the same is 32.7%, 32
respondents choose online payment option due to cashback offers and discounts and the
percentage for the same is 29.9% and the rest of 4 respondents choose online payment option
over physical payments is due to other reasons and the percentage for the same is 3.7%.

65
5. For what purpose do you use mobile banking services?

Options Number Of Respondents %

To transfer money 39 36.4%

To pay utility bills 04 3.7%
To check status of 27 25.2%
financial transactions
All of the above 37 34.6%

Interpretation:

From the above table and the below chart it is clear that from our 107 respondents, total 39
respondents use mobile banking services to transfer money and the percentage for the same is
36.4%, 4 respondents use mobile banking services to pay utility bills and the percentage for
the same is 3.7%, 27 respondents use mobile banking services to check status of financial
transactions and the percentage for the same is 25.2% and the rest of the 37 respondents use
mobile banking for all of the above mentioned options and the percentage for the same is
34.6%.

66
6. What payment gateway do you use while making online payments?

Options Number Of Respondents %

Cash on delivery 36 33.6%

Credit card 01 0.9%
Debit card 30 28%
Net banking 03 2.8%
UPI 37 34.6%

Interpretation:

From the above table and the below chart it is clear that from our 107 respondents, total 36
respondents use COD or cash on delivery rather than mobile banking and the percentage for
the same is 33.6%, only 1 respondent use credit card while making online payments and the
percentage for the same is 0.9%, 30 respondents use debit card facility while making online
payment and the percentage for the same is 28%, 3 respondents use net banking and the
percentage for the same is 2.8% and the rest of 37 respondents use UPI ( Unified Payments
Interface) for making online payments and the percentage for the same is 34.6%.

67
7. What is your biggest concern while using e-payments services?

Options Number Of Respondents %

Transaction charges 42 39.3%

Fraud or theft 22 20.6%
Security issues 35 32.7%
Privacy issues 03 2.8%
Transaction charges 05 4.7%

Interpretation:

From the above table and the below chart it is clear that from our 107 respondents,
majority of 42 respondent’s biggest concern while using e-payment services is transaction
failure and the percentage for the same is 39.3%, 22 respondent’s biggest concern is fraud or
theft and the percentage for the same is 20.6%, 35 respondents chose security issue as their
biggest concern while making e-payments and the percentage for the same is 32.7%, 3
respondents chose privacy issues and the percentage for the same is 2.8% and 5 respondents
chose transaction charges as their biggest concern while using e-payment services and the
percentage for the same is 4.7%.

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8. Do you think after demonetization the use of e-wallets has increased?

Options Number Of Respondents %

Strongly agree 40 37.4%

Agree 33 30.8%
Neutral 33 30.8%
Disagree 01 0.9%
Strongly disagree 0 0%

Interpretation:

From the above table and the below chart it is clear that from our 107 respondents, 40
respondents strongly agree regarding the above question and the percentage for the same is
37.4%, 33 respondents agree and the percentage for the same is 30.8%, only 1 respondent
disagree i.e 0.9% and the rest of 33 respondents are neutral and the percentage for the same is
30.8%.

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9. In your opinion, what do you think, the contribution of new technologies like online
payments contributed to the success of the banks in India?

Options Number Of Respondents %

Very high 37 34.6%

High 64 59.8%
Average 06 5.6%
Low 0 0%

Interpretation:

From the above table and the below chart it is clear that from our 107 respondents, 37
respondents thinks the contribution is very high and the percentage for the same is 34.6%, 64
respondents thinks the contribution is high and the percentage for the same is 59.8% and 6
respondents think the contribution is average and the percentage for the same is 5.6%.

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10. Do you think in the near future new technologies like e-payment will be as popular
in rural areas as it is in urban areas?

Options Number Of Respondents %

Yes 105 98.1%

No 02 1.9%

Interpretation:

From the above table and the below chart it is clear that from our 107 respondents, 105
respondents i.e. 98.1% thinks that in the near future new technologies like e-payment will be
as popular in rural areas as it is in urban areas and only 2 respondents says no on the above
opinion and the percentage for the same is 1.9%.

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11. Are you overall satisfied by using e-payment apps?

Options Number Of Respondents %

Yes 103 96.3%

No 04 3.7%

Interpretation:

From the above table and the below chart it is clear that from our 107 respondents, 103
respondents are satisfied by using e-payment apps and the percentage for the same is 96.3%
and 4 respondents are not satisfied by using e-payment apps and the percentage for the same
is 3.7%.

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12. Any Suggestions on how to improve the overall mobile banking experience?

Below are the few suggestions given by the respondents:

● By making the application more optimised and user friendly, also by reducing
transaction failure due to server issues and making payments offline in case of
any emergency.
● Secure applications should be installed in mobile banking.
● Before doing a big transaction send ₹1 to check the bank server.
● Almost 74% of customers hated two-factor authentication to sign in.
● Awareness of Mobile banking to small scale businesses.
● Stronger security for our Data.
● By not charging any transaction fees.
● By fixing bank server unavailable issues.

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 CHAPTER 5
CONCLUSION AND SUGGESTION

74
 CONCLUSION AND SUGGESTION

● FINDINGS OF THE STUDY

An online survey was conducted through a questionnaire and in total we collected 107
responses out of which -

1) From total respondents of 107, Majority of the respondents were from the age group
of 18-20 years old i.e. 45.8%.

2) 99.1% of the total respondents had used online payment applications for making
payments.

3) 56.1% of the total respondents got to know about mobile banking through the internet.

4) 33.6% of the total respondents adopt online mode of method because of easy payment
options as compared to physical payments and 32.7% of the respondents feel online
payments are time saving and convenient.

5) 36.4% of the total respondents use mobile banking services to transfer money and
around 34.6% of the total respondents use mobile banking to transfer money, pay
utility bills, check status of financial transactions and 25.2% of the total respondents
use mobile banking just to check the status of financial transactions.

6) 34.6% of the total respondents use UPI (Unified Payments Interface) as a payment
gateway while making online payments and 33.6% of the respondents use COD i.e.
cash on delivery.

7) 39.3% of the total respondents have the concern of transaction failure while using e-
payments and 32.7% respondent's biggest concern is regarding security issues.

8) Around 37.4% of the total respondents strongly agree that after demonetization the
use of e-wallets/e-payments have increased and 30.8% agree that demonetization has
increased the use of online payment applications in India.

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9) 59.8% of the total respondents feel that the contribution of new technologies for the
success of banks is high and around 34.6% of the total respondents feel that the
contribution of new technologies for the success of banks is very high.

10) Around 98.1% of the total respondents think that in near future new technologies such
as amazon pay will be popular in rural areas as well as it is in urban areas which
means that there will be an increase in the usage of online payment applications.

11) Around 96.3% of the total respondents are satisfied by using e-payment apps for
making online payments which are a majority.

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 CONCLUSION

From the survey conducted it can be seen that many people are adopting cashless mode of
payment as it has its own pros and cons like it :-

Reduces time and is convenient to use as well as various online payment apps offers various
cashback offers and discounts as well for encouraging people to use digital mode of payment.
A consumer can track all their expenses with online payment. The concern that consumers
have is their security, their privacy being hacked or leaked, high transaction charges etc.

With the increase in the usage of smartphones the world has come closer and with a single
touch any payment can be done. The study makes us understand that today’s generation is
much more up to date to innovations and technologies as everything is on their finger tip.
Therefore, E-wallets have to make use of this to make more awareness about the usability of
the applications to those people who are illiterate about the technology and internet which in
turn leads India to a cashless future.

In our study The government of India is taking efforts to encourage the people of India to
use digital modes of payments along with the private sector companies. The benefits of this
move have now started trickling in with more and more people switching to digital modes of
receiving and making payment.

India is gradually transitioning from a cash-centric to cashless economy. Digital transactions

are traceable, therefore easily taxable, leaving no room for the circulation of black money.
The whole country is undergoing the process of modernization in money transactions, with e-
payment services gaining unprecedented momentum. A large number of businesses, even
street vendors, are now accepting electronic payments, prompting the people to learn to
transact the cashless way at a faster pace than ever before it can be seen that the consumers or
the respondents are satisfied with the use of online payment applications for making various
payments and that online modes of payments are increasing day-by-day with the increase in
various technologies which facilitate the entire process of a transaction.

77
It is rapidly changing the way people do transactions throughout the globe. Time is an
important factor and people tend to find it convenient to carry their transactions from their
comfort space using phones or tablets instead of queuing in the banks. It is time saving, cost
effective and also convenient for the people to opt for mobile banking platforms compared to
the traditional/offline mode of banking.

As it can be seen that the cashless economy or the use of online payment applications has its
various advantages and disadvantages so if any government is planning to adopt cashless the
economy should carefully analyze the situation of the country.

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 SUGGESTIONS

● Many of the respondents felt that the cashless mode of transactions in India is not safe
so the government should make electronic payments infrastructure completely safe
and secure.

● To increase more digital payments the government should bring transparency and
efficiency in the transactions.

● The government should conduct a financial literacy campaign to educate the

population about the digital modes of payment.

● Government should make the infrastructure capable and secure so that there is
minimum fraud and theft.

● For inclusive growth, the benefits of mobile banking should reach the common man at
the remotest locations in the country.

● All stakeholders like Regulators, Govt., telecom service providers and mobile device
manufactures along with bankers need to make efforts so that penetration of mobile
banking reaches from high-end to low-end users and from metros to the middle towns
and rural areas.

● Inclusion of the non-banking population in the financial mainstream will benefit all.
There is also a need to generate awareness about mobile banking so that more and
more people use it for their benefit.

These are some of the suggestions which can help better implementation of cashless society

in India.

79
 REFERENCES

● Mamta, Prof. Hariom Tyagi and Dr. Abhishek Shukla –“The Study Of Electronic
Payment Systems”. International Journal of Advanced Research in Computer Science
And Software Engineering, 2016.

● Manoharan B (2007), “Indian e-Payment System and Its performance” , Professional

Banker, Vol. 7, No. 3, pp. 61-69.

● https://archives.palarch.nl/index.php/jae/article/download/2489/2431/4844

● https://cibgp.com/pdf_11045_9d94cf116f250ea7fbd007619aa36fbd.html

● https://www.worldwidejournals.com/indian-journal-of-applied-research-(IJAR)/recent
_issues_pdf/2014/May/May_2014_1492764684 37.pdf

● https://garph.co.uk/IJARIE/Dec2015/1.pdf

● https://www.goodreturns.in/payment-apps-and-e-wallets.html

● https://ijrar.org/papers/IJRAR1BXP012.pdf

● http://cashlessindia.gov.in/

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 ANNEXURE

1. Age
○ 18-20
○ 21-30
○ 31-40
○ 40 above

2. Have you ever used an online payment application for making payments?
○ Yes
○ No

3. How did you get to know about mobile banking?

○ Internet
○ Friends
○ Bank itself
○ Newspaper
○ Others

4. Why would you choose an online payment option over physical payments?

○ Easy payment options

○ Time saving and convenient
○ Cashback offers and discounts
○ Others

5. For what purpose do you use mobile banking services?

○ To transfer money
○ To pay utility bills
○ To check status of financial transactions
○ All of the above

81
6. What payment gateway do you use while making online payments?

○ Cash on delivery
○ Credit card
○ Debit card
○ Net banking
○ UPI

7. What is your biggest concern while using e-payments services?

○ Transaction failure
○ Fraud or theft
○ Security issues
○ Privacy issues
○ Transaction charges

8. Do you think after demonetization the use of e-wallets has increased?

○ Strongly agree
○ Agree
○ Neutral
○ Disagree
○ Strongly disagree

9. In your opinion, what do you think, the contribution of new technologies like online
payments contributed to the success of the banks in India?

○ Very high
○ High
○ Average
○ Low

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10. Do you think in the near future new technologies like e-payment will be as popular in
rural areas as it is in urban areas?

○ Yes
○ No

11. Are you overall satisfied by using e-payment apps?

○ Yes
○ No

12. Any Suggestions on how to improve the overall mobile banking experience.

83