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The development of Internet technologies and e-commerce (online ordering of goods and their payment on the Internet) has a significant impact on the process of automating non-cash forms of payments. Modern information technologies using electronic devices and communications are the basis for remote banking operations, which do not require the client to visit a bank office. Remote banking (hereinafter referred to as UB) or remote banking services (hereinafter referred to as RBS) is such a technological scheme for carrying out banking operations, which does not require the client to visit a bank office.
This section will consider the main systems for remote access to a client's bank account, as well as settlement transactions using a mobile phone (see Fig. 4.3). Banking technologies of the "Client-Bank" class and telephone banking systems allow for non-cash payments, which are based on the management of a bank account. In the "Client-Bank" technology, remote payment services are carried out using computer devices and software, and in mobile banking systems - using telephone devices.
The first in banking practice were systems for remote management of a bank account using a telephone. American banks began to actively offer these systems to their clients in the 1960s and 1970s. Phone payment was one of the most inexpensive types of services in the automated settlement system. Then the banks began to develop a range of services for providing banks' clients with financial information, as well as carrying out, on their initiative, various banking operations by transferring information through communication channels. This form of service assumed that the client had a personal computer, with the help of which the client could send the bank an order to pay bills, display information on the status of his bank account, transfer funds to counterparty accounts and instruct the bank to automatically make future payments. Services of this kind are called "computer banking" (PC banking). Today these systems can be classified as "Client-Bank" systems.
The "Client-Bank" system is designed to organize electronic document flow between the bank and its clients (companies or individuals). This is a software package that customers of a commercial bank can use to interact remotely with its information system and to automate document flow between the bank and its customers. The system helps users to prepare payment documents, form them into “bundles” and send them to the bank. In addition, the client can receive an account statement and from the payment registers from the bank, perform conversion operations (buy or sell currency), prepare documents for granting a loan or making a bank card, etc. [Banking Information Systems, 2006].
The "Client-Bank" system exists in two forms: "thick" and "thin" client technologies. Thick client technology means that the system operates in a closed networkand is part of the banking information complex. For this purpose, special software is installed on the personal computer of the client-user (means of access to the bank's computer network, databases on transactions, information encryption tools, etc.). Since the system based on the "fat" client principle is integrated into the banking information system, the client can connect to the bank only from his computer. As a rule, this service was used by large enterprises, which, thanks to a large number of payments, received a gain in the speed of settlements, the integration of the client part of the system with other software for automatic generation of documents. This allows companies to offset the costs associated with the implementation and maintenance of the client side of the system.
The interaction between the client and the bank in this system takes place in several stages. First, a bank client in an offline mode generates financial documents, mail messages and other documents that he is going to send to the bank. Then a connection is established via a communication channel between the client's data transmission device and the bank's information system, which until that moment was in the standby mode. During the communication session, the bank checks the client's authenticity (client authentication) and prepares to receive data. As soon as the client receives information from the bank about the passage of authentication, he sends his messages, and the connection with the bank is disconnected. The bank, in turn, processes the documents received from the client in real time.
With the development of the Internet, thin client technology has become widespread . It is more convenient and less expensive, since it does not require a closed communications network and the installation of special devices. The client's personal computer is connected to the Internet, which serves as a channel for the transmission of messages. After launching the program and authenticating, the client gains access to the banking settlement system and works directly with the databases. The bank submits the document entry form, the client fills it out in real time. Communication is terminated after entering the document. With this system, the client unit has a terminal for entering information and a program for using a typical Internet browser, for example MS Internet Explorer | Banking Information Systems, 2006 |.
The use of basic telephone functions in retail settlement and the improvement of telephone exchanges and standards have led to the development of mobile banking, which is based on communication and information on a regular phone, as well as the use of mobile devices. Initially, the most widespread was the option of mobile banking in voice mode through a bank operator. For this, the bank creates a special subdivision - a call center, in which the operator receives messages and provides information. Nowadays, the operator is being replaced by interactive voice systems - IVR (Interactive Voice Response), which form the menu system and provide information in sound mode.
Currently, the most promising form of interaction between banks and individual clients is mobile telephony, which allows you to quickly expand the client base due to the rapid spread of cellular communication systems.
Payments can be made in three ways:
More advanced is the so-called WAP telephony. Here information from the Internet is transmitted to the display of the mobile phone. The phone is equipped with a WAP-browser for viewing commercial bank websites. In other words, the owner of a mobile phone who subscribes to this service gains access to the bank's website and can use its services. The contract can be concluded on a prepayment basis or with subsequent payment for the service together with the payment of the bill for the use of a mobile phone.
A type of mobile payment is mobile content used in the sale of melodies, pictures, electronic games and other interactive products. In this case, the mobile phone is used not only as a remote means that allows identification of the payer, but also as a device that allows receiving services ordered by the payer.
Recently, analytical publications have been paying special attention to assessing how actively the population is switching to new forms of payment for goods. According to a survey conducted in 2006 in the United States, the use of electronic payment methods for goods is typical mainly for young respondents aged 25-49 years. 21% of respondents use Internet banking regularly every month. It was revealed that the main difficulty in protecting personal data through the widespread use of Internet banking in the field of retail settlements is maintaining security | AARP, 2007j.
According to the consulting company Celent in July 2009, Internet banking is most actively used by the population of the Scandinavian countries - Finland, Norway and Sweden, and to a lesser extent - other European countries.
Sweden is one of the world leaders in the development of Internet systems. Swedish banks were among the first to offer their services over the Internet. This was facilitated by a fairly high degree of Internetization of the population for Europe (already in 2006, 60% of households used the network) | Sakseltseva, 2006]. Currently, according to the Swedish Bankers 'Association, more than 7.7 million people in this country have used Internet banking services, which is 96% of the population [Swedish Bankers' Association, 2008]. In Finland - 66% of the population, which is comparable to the level of Iceland (72% of the population) [Electronic Payments International, 2008, Mau]. Looking at Italy or Bulgaria, the share of the population that received banking services via the Internet in 2007 was 12% and 2%, respectively [Electronic Payments International, 2008, May],
In Russia, there is also an increase in demand for payments for goods and services via the Internet and mobile phones, although these transactions are still significantly inferior in scale and variety to their Western counterparts. Currently, 7% of clients of Russian credit institutions use remote banking services | Bank of Russia, 201Ob |. The share of Internet and mobile payments in the total volume of transactions performed with the use of various payment instruments by individuals reached 10% in 2007 [Bank of Russia, 2009].
In Russia, following the development of bank card payment systems, individuals are increasingly demanding to pay for goods and services via the Internet and mobile phones. 7% of clients of Russian credit institutions use remote banking services | Bank of Russia, 2010b |. The share of Internet and mobile payments in the total volume of transactions performed with the use of various payment instruments by individuals in 2007 reached 10% | Bank of Russia, 2010c |.
Today, the mobile commerce segment, which includes mobile banking and mobile payments, is viewed as promising, since the number of phones worldwide reaches 3.5 billion units [Flatraaker, 20081. This is about twice the number of open bank accounts [Tacchi, 20081.
According to forecasts, the number of mobile banking users in the United States by 2013 will reach 53 million people. And the volume of the mobile payments market in 2011 will amount to 36 billion US dollars. The most active consumers (69%) of these services are men aged 38 years, whose average annual income is 86,000 US dollars [Electronic Payment International, 2009, December |.
Despite the fact that the level of penetration of mobile communications in Europe is approaching 80 subscribers per 100 inhabitants, telephones are still used to a greater extent for their original purpose - in order to carry out negotiations, send text messages | Tacchi, 2008 [. Only a small part of the population uses the phone for making payments: paying bills by credit card, making a money transfer or replenishing a deposit. Thus, according to a survey conducted in 14 developed countries in March 2008, only 9% of respondents regularly use mobile phones to make payments. At the same time, there is a significant scatter in the estimates. For example, in the UK, only 1% of respondents use mobile phones for banking or shopping,
Asia / Pacific and Japan outperform other countries in terms of the number of payments made using a mobile phone. In 2009, they accounted for 497 million transactions, while Eastern Europe, the Middle East and Africa - 198 million, Latin America - 93 million, North America - 34 million transactions and, finally, Western Europe - 29 million [ Electronic Payment International, 2009, June |. Basically, telephones were used to make mobile payments - mobile content and receive banking services through the use of an interactive voice complex. In Asia / Pacific and Japan, wireless technology has become widespread, making it possible to make payments quickly, conveniently and securely using a mobile phone.
Despite the fact that the share of payments using mobile phones in the total volume of non-cash payments in Russia does not exceed 0.5%, the Russian segment of mobile commerce is considered promising, since the number of cellular subscribers is regularly increasing. Thus, the level of cellular penetration in June 2009 was 138.7%, the number of registered SIM-cards reached 197 million [see: J'son, Partners, 2009].
This section will consider the main systems for remote access to a client's bank account, as well as settlement transactions using a mobile phone (see Fig. 4.3). Banking technologies of the "Client-Bank" class and telephone banking systems allow for non-cash payments, which are based on the management of a bank account. In the "Client-Bank" technology, remote payment services are carried out using computer devices and software, and in mobile banking systems - using telephone devices.
The first in banking practice were systems for remote management of a bank account using a telephone. American banks began to actively offer these systems to their clients in the 1960s and 1970s. Phone payment was one of the most inexpensive types of services in the automated settlement system. Then the banks began to develop a range of services for providing banks' clients with financial information, as well as carrying out, on their initiative, various banking operations by transferring information through communication channels. This form of service assumed that the client had a personal computer, with the help of which the client could send the bank an order to pay bills, display information on the status of his bank account, transfer funds to counterparty accounts and instruct the bank to automatically make future payments. Services of this kind are called "computer banking" (PC banking). Today these systems can be classified as "Client-Bank" systems.
The "Client-Bank" system is designed to organize electronic document flow between the bank and its clients (companies or individuals). This is a software package that customers of a commercial bank can use to interact remotely with its information system and to automate document flow between the bank and its customers. The system helps users to prepare payment documents, form them into “bundles” and send them to the bank. In addition, the client can receive an account statement and from the payment registers from the bank, perform conversion operations (buy or sell currency), prepare documents for granting a loan or making a bank card, etc. [Banking Information Systems, 2006].
The "Client-Bank" system exists in two forms: "thick" and "thin" client technologies. Thick client technology means that the system operates in a closed networkand is part of the banking information complex. For this purpose, special software is installed on the personal computer of the client-user (means of access to the bank's computer network, databases on transactions, information encryption tools, etc.). Since the system based on the "fat" client principle is integrated into the banking information system, the client can connect to the bank only from his computer. As a rule, this service was used by large enterprises, which, thanks to a large number of payments, received a gain in the speed of settlements, the integration of the client part of the system with other software for automatic generation of documents. This allows companies to offset the costs associated with the implementation and maintenance of the client side of the system.
The interaction between the client and the bank in this system takes place in several stages. First, a bank client in an offline mode generates financial documents, mail messages and other documents that he is going to send to the bank. Then a connection is established via a communication channel between the client's data transmission device and the bank's information system, which until that moment was in the standby mode. During the communication session, the bank checks the client's authenticity (client authentication) and prepares to receive data. As soon as the client receives information from the bank about the passage of authentication, he sends his messages, and the connection with the bank is disconnected. The bank, in turn, processes the documents received from the client in real time.
With the development of the Internet, thin client technology has become widespread . It is more convenient and less expensive, since it does not require a closed communications network and the installation of special devices. The client's personal computer is connected to the Internet, which serves as a channel for the transmission of messages. After launching the program and authenticating, the client gains access to the banking settlement system and works directly with the databases. The bank submits the document entry form, the client fills it out in real time. Communication is terminated after entering the document. With this system, the client unit has a terminal for entering information and a program for using a typical Internet browser, for example MS Internet Explorer | Banking Information Systems, 2006 |.
The use of basic telephone functions in retail settlement and the improvement of telephone exchanges and standards have led to the development of mobile banking, which is based on communication and information on a regular phone, as well as the use of mobile devices. Initially, the most widespread was the option of mobile banking in voice mode through a bank operator. For this, the bank creates a special subdivision - a call center, in which the operator receives messages and provides information. Nowadays, the operator is being replaced by interactive voice systems - IVR (Interactive Voice Response), which form the menu system and provide information in sound mode.
Currently, the most promising form of interaction between banks and individual clients is mobile telephony, which allows you to quickly expand the client base due to the rapid spread of cellular communication systems.
Payments can be made in three ways:
- 1) voice access;
- 2) by means of text messages - SMS (Short Message Service);
- 3) WAP - Wireless Application Protocol.
More advanced is the so-called WAP telephony. Here information from the Internet is transmitted to the display of the mobile phone. The phone is equipped with a WAP-browser for viewing commercial bank websites. In other words, the owner of a mobile phone who subscribes to this service gains access to the bank's website and can use its services. The contract can be concluded on a prepayment basis or with subsequent payment for the service together with the payment of the bill for the use of a mobile phone.
A type of mobile payment is mobile content used in the sale of melodies, pictures, electronic games and other interactive products. In this case, the mobile phone is used not only as a remote means that allows identification of the payer, but also as a device that allows receiving services ordered by the payer.
Recently, analytical publications have been paying special attention to assessing how actively the population is switching to new forms of payment for goods. According to a survey conducted in 2006 in the United States, the use of electronic payment methods for goods is typical mainly for young respondents aged 25-49 years. 21% of respondents use Internet banking regularly every month. It was revealed that the main difficulty in protecting personal data through the widespread use of Internet banking in the field of retail settlements is maintaining security | AARP, 2007j.
According to the consulting company Celent in July 2009, Internet banking is most actively used by the population of the Scandinavian countries - Finland, Norway and Sweden, and to a lesser extent - other European countries.
Sweden is one of the world leaders in the development of Internet systems. Swedish banks were among the first to offer their services over the Internet. This was facilitated by a fairly high degree of Internetization of the population for Europe (already in 2006, 60% of households used the network) | Sakseltseva, 2006]. Currently, according to the Swedish Bankers 'Association, more than 7.7 million people in this country have used Internet banking services, which is 96% of the population [Swedish Bankers' Association, 2008]. In Finland - 66% of the population, which is comparable to the level of Iceland (72% of the population) [Electronic Payments International, 2008, Mau]. Looking at Italy or Bulgaria, the share of the population that received banking services via the Internet in 2007 was 12% and 2%, respectively [Electronic Payments International, 2008, May],
In Russia, there is also an increase in demand for payments for goods and services via the Internet and mobile phones, although these transactions are still significantly inferior in scale and variety to their Western counterparts. Currently, 7% of clients of Russian credit institutions use remote banking services | Bank of Russia, 201Ob |. The share of Internet and mobile payments in the total volume of transactions performed with the use of various payment instruments by individuals reached 10% in 2007 [Bank of Russia, 2009].
In Russia, following the development of bank card payment systems, individuals are increasingly demanding to pay for goods and services via the Internet and mobile phones. 7% of clients of Russian credit institutions use remote banking services | Bank of Russia, 2010b |. The share of Internet and mobile payments in the total volume of transactions performed with the use of various payment instruments by individuals in 2007 reached 10% | Bank of Russia, 2010c |.
Today, the mobile commerce segment, which includes mobile banking and mobile payments, is viewed as promising, since the number of phones worldwide reaches 3.5 billion units [Flatraaker, 20081. This is about twice the number of open bank accounts [Tacchi, 20081.
According to forecasts, the number of mobile banking users in the United States by 2013 will reach 53 million people. And the volume of the mobile payments market in 2011 will amount to 36 billion US dollars. The most active consumers (69%) of these services are men aged 38 years, whose average annual income is 86,000 US dollars [Electronic Payment International, 2009, December |.
Despite the fact that the level of penetration of mobile communications in Europe is approaching 80 subscribers per 100 inhabitants, telephones are still used to a greater extent for their original purpose - in order to carry out negotiations, send text messages | Tacchi, 2008 [. Only a small part of the population uses the phone for making payments: paying bills by credit card, making a money transfer or replenishing a deposit. Thus, according to a survey conducted in 14 developed countries in March 2008, only 9% of respondents regularly use mobile phones to make payments. At the same time, there is a significant scatter in the estimates. For example, in the UK, only 1% of respondents use mobile phones for banking or shopping,
Asia / Pacific and Japan outperform other countries in terms of the number of payments made using a mobile phone. In 2009, they accounted for 497 million transactions, while Eastern Europe, the Middle East and Africa - 198 million, Latin America - 93 million, North America - 34 million transactions and, finally, Western Europe - 29 million [ Electronic Payment International, 2009, June |. Basically, telephones were used to make mobile payments - mobile content and receive banking services through the use of an interactive voice complex. In Asia / Pacific and Japan, wireless technology has become widespread, making it possible to make payments quickly, conveniently and securely using a mobile phone.
Despite the fact that the share of payments using mobile phones in the total volume of non-cash payments in Russia does not exceed 0.5%, the Russian segment of mobile commerce is considered promising, since the number of cellular subscribers is regularly increasing. Thus, the level of cellular penetration in June 2009 was 138.7%, the number of registered SIM-cards reached 197 million [see: J'son, Partners, 2009].
