Mobile Money lets you send and receive money with the help of a mobile phone and the internet, while Mobile Banking allows you to carry out banking related transactions or transfers through a bank app. Let’s get to know some of the key differences between Mobile Money and Mobile Banking.
Over a decade, there has been a drastic change in the way people manage their payments and banking needs. Unlike earlier, when the physical exchange of money was the only medium to pay for any services or products, today, you can make seamless online payments with the help of an app on your mobile phone. Similarly, we also have easy access to almost every banking facility thanks to mobile banking apps. Let’s get to know how Mobile Money andMobile Banking differ.
What is Mobile Money?
Mobile Money is basically a digital wallet service. This is a privately owned service or an entity that is unaffiliated with any large-scale financial institution and offers mobile payment services like Paytm. It allows you to send or receive money at any time, make payments, store money in your wallet, pay bills, etc.
What is Mobile Banking?
Mobile Banking is a facility wherein your bank has a virtual presence through the mobile app. You need to install your preferred bank application on your smartphone. Once registered on the app, you can access all the banking services like account updates, transaction details, online passbooks, fund transfers, apply for a service, etc., from the comfort of your home or on-the-go.
Let’s compare Mobile Money vs Mobile Banking:
Parameters | Mobile Money | Mobile Banking |
Bank Account | You don’t need to to have a bank account but only a mobile number. | You need to register your bank account to access banking facilities on-the-go. |
Provider | It is offered by privately held entities. | It is offered by banks. Every PSU, RBI regulated bank has a dedicated mobile banking app. |
Transactions | Transaction is between two people. The sender and the receiver should have one app. | All kinds of transactions take place. |
Banking | It is a digital mobile wallet that you can update anytime. | It is a part of digital banking services. |
Conclusion:
Both Mobile Money and Mobile Banking are Digital Money Transaction services. Mobile Money and Mobile Banking consume less time and are convenient. There are many pros and cons of using Mobile Money and Mobile Banking.
