An Analysis on Mobile Money

Mobile money is definitely a proven currency exchanging system that enables consumers to transfer money easily as a text message. Cell phones, by using call time credit, become a mobile phone debit charge cards. "It is safer and less expensive when you transfer cash than traditional options which are sluggish and expensive. Its progress in the market will certainly depend on regulating authorities recognizing this particular potential


These days, while people may have mobile , yet they might not have a bank account – this can make cell phones an immediate avenue to help nearly 1 / 2 the actual world’s unbanked people. The idea of branchless banking is grown ever since the technology sector has had a boom. In the midst of all these technological advancements the idea of branchless banking is raising many questions like

• How far this can be useful for the poor people?
• Is it cost effective?
• Can this technology meet all the requirements of the people?

Various Branchless Banking Services across the World are

• M-Pesa
• Banco Postal
• Bradesco
• Caixa Economica
• Wing Money
• MTN Mobile Money
• Orange Money
• EKO
• FINO
• Zap
• Easypaisa
• GCash
• Smart Money
• WIZZIT

Why Poor Economies Choose More for Mobile Money

Getting a bank account is not easy in most of the countries. In India many documents are required, some people are blacklisted by the banks, getting bank accounts are sometimes costlier, some banks are yet to open a branch in rural areas and the time and effort behind getting a bank account is very huge. Most of the poor population prefers informal lending despite the huge interest rates. The number of women who don’t have a bank account is high in almost all countries.

Mobile Money in Indian Scenario

FINO PayTech Limited

It is the biggest business correspondence service in India mainly serving the underprivileged by providing financial services like savings, deposits, insurance, EBT schemes and remittance across India? They have reached out to 522 districts all over India. FINO just isn't a bank, but rather a technology as well as a function provider . Started in 2006, FINO is promoted by more than 20 banks in India.

EKO

EKO works for ICICI, SBI and Yes Bank, mainly serves the migrants for their banking needs. It provides micro insurance policies of Bharti Axa as well. They have around 6000 transactions per day within their 700 networks. They operate via retailers through out these places.

Even though the sector has various challenges like deploying an efficient distribution network, customer acquisition and regulatory methods, the idea mobile money is advancing especially among the poor people in all economies.