Mobile banking catching on with consumers

How people keep an eye on their bank accounts and credit card debt is changing as rapidly as technology will allow.

Many consumers have, in the past year or two, discovered the convenience offered to them by mobile banking, according to a new report from Seeking Alpha, a consumer news website. Much like the online banking and credit card debt management boom about five years ago, experts believe banking on smartphones is going to be the next big thing in the financial industry.

The report said that the Mobile Marketing Association has projected roughly 30 million Americans will use their phones for mobile banking by 2015, compared to about 65 million who will use online banking. For mobile banking, that would mark an increase from about 1 million in 2008. Currently, only 1,000 of the 30,000 banking institutions nationwide offer such a service.

Many consumers may prefer mobile banking because it offers the convenience of instantly transferring funds between accounts or paying off credit card debt while on the go. Some banks are even testing systems that would allow consumers to use their mobile phones to make a payment in lieu of using their a card to compile credit card debt.