Competitive Strategies In Mobile Banking

Perhaps the biggest dream for many individuals is a place to call their own home. When a bank lends money in the form of a mortgage, consumers are able to purchase a home, which they can call their own. Mortgages and other consumer loans make up 71 percent of the industries total transactions, and this is the business most banks strive to obtain (Business Source Complete, 2015). However, since the 2008 recession and the sub-prime mortgage crisis, it has become hard for consumers to obtain mortgage loans and other lines of credit, even though the demand is still there. 2015 was perhaps one of the best years for mortgage originations; that did not require government assistance, since 2007 (Trefis Team, 2015).

Competitive Strategies

As mentioned in the prior section, banks offer a wide variety of products and services. The larger companies are going to be able to offer more products and services than the smaller banks. Large banks such as Wells Fargo and JPMorgan Chase are able to offer traditional consumer banking as well as individual and business credit cards, home and auto loans, commercial loans, as well as investment banking for individual and business consumers. Smaller banks are not able to

Almost every bank now has some form of mobile banking. This was designed with the customer in mind. Mobile banking allows customers to see activity in their accounts, make deposits with a click of button, as well as transfers and bill pay. The deposit feature is nice, as now an individual no longer has to go to the bank or ATM to deposit a check. Thanks to a bill passed by Congress, consumers can take a picture of a check with their smart phone and deposit it right away, from virtually anywhere (ABA.com, 2014). Another convenient feature of mobile banking is the bill pay. A consumer gets the option to plug all of their creditors into their account and they can pick and choose who they pay, how much they pay and