95% Said Uncomfortable Conducting Financial Transactions on Their Phones

Banks and mobile phone companies have a long way to go to persuade U.S. consumers to use their phones for banking, as many worry about security and extra fees and others are not even aware they can.

In a survey of about 500 U.S. consumers, accounting firm KPMG found that only about 9 percent had tried mobile banking. In comparison, about 76 percent "consistently use" online banking services on computers.

As many as 95 percent said they were so uncomfortable with conducting financial transactions on their phones that they've never used them to make a purchase on a retailer's Web site.About 48 percent of respondents cited security and privacy worries as their reason for not banking on their mobile phones, according to KPMG.

Editor's Note:  Guess what people...the web is no safer!  So to those 76% who "consistently use" online banking services on your computer?  Tell your bank you want secure sign-in capability with HomeATM's PCI 2.0 PIN Entry Device.  Oh...and for you 95% don't trust the security of a mobile phone?  You can use our PIN Entry Device to conduct secure transactions via ANY mobile phone.  Just plug our device into your phone jack and  your transactions will be even more secure than in a brick and mortar retail location!  Guaranteed!  But be forewarned...it takes as long as it does to plug in your charger...maybe a little less time!  :-)


While many respondents said they believe mobile banking is important, according to the accounting firm, they do not think it is important enough to pay extra for it.

Roughly 19 percent of respondents said they are "somewhat likely" to a use a mobile device for online banking in the next 12 months but only seven percent said are willing to pay a nominal fee for phone banking, according to the survey.

And even though most of the major U.S. banks offer a mobile banking service, about 68 percent of the survey respondents said their bank does not offer the service.

"The fact that the majority of U.S. consumers are not aware that their current banks offer mobile banking is clearly more perception than reality," said Carl Carande, a principal in KPMG's Advisory and Banking and Finance practices.

Banks offering mobile services include Citigroup Bank of America and Wells Fargo.