Deciphering Mobile Banking Terminology (NetBanker)

When you first begin researching the mobile banking landscape, one of the challenges is understanding the interchangeable words used to refer to the three mobile banking options: Here's a quick primer:

1. Browser Based:

The terms listed below are usually referring to a mobile banking solution accessed by typing or selecting a previously used URL into a Web browser on a mobile device. This method does not store any information on the handset, and is most similar to traditional online banking conducted on a personal computer.

WAP Solution (Wireless Application Protocol 1.0 – 2.0)
Thin Client (Lean Client)
Browser Based Solution
WML Solution (Wireless Markup Language)
XHTML-MP

I'm not saying these terms all mean precisely the same thing. Clearly there are differences between WAP and XHTML; however, for the purpose of this article it is important to know that many people in the industry use these terms interchangeably.

2) Rich UX:

The following terms apply to a mobile banking solution that is actually a software program. Currently, the program must be downloaded to a mobile phone. But by year-end, it is expected that some phones will come with the software already installed. For example, the Firethorn mobile banking solution will be installed or pre-loaded onto phones sold by AT&T.

Rich User Experience (Rich UX)
Downloadable Application (Downloadable App)
Custom Application (Custom App)
Thick Client (Fat Client)
Applications designed in (BREW, Java, .Net, and MIDP2.0)

3) SMS:

The final method generally is called one of two terms. Both revolve around sending text messages to what is called a short code. Think of a short code as simply a unique phone number for text messages. The financial institution publishes the number to customers just like their toll-free voice line.

Short Message Service (SMS)
Text Message Banking

If you would like to learn more about the current status of mobile banking, or if you are wondering about the future of mobile banking, I recommend reading “Leveraging the Third Screen” published by Online Banking Report (see screenshot above), the parent of the Mobile Money & Banking Blog.

Brandon McGee is vice president and senior product manager at The Huntington National Bank. He is not only the real deal, a genuine industry insider, but also knows exactly what's on the minds of financial service pros as they contemplate the various mobile options. For more great content, check out his blog, Mobile Banking.