What you need to know about the new direct marketing guidance note
Nadine Mather and Chloë Loubser
Banking is now as easy as sending an SMS
First National Bank (FNB) has launched its new Cellphone Banking offering, making every handset in South Africa a banking channel. The new service uses SMS technology for customers to conclude banking transactions, increasing mass market reach and adding functionality.
In line with the requirements set out by the Financial Services Charter to take banking to the unbanked market, FNB Cellphone Banking is ready for the masses. There are no complicated downloads or changes to the customers' phone settings needed in order to get connected.
FNB will be overcoming the barriers of entry to mobile banking that accompanied WIG and WAP, as SMS based Cellphone Banking has no special requirements in terms of handset make or model or SIM card to be used.
Len Pienaar, CEO of FNB Mobile and Transact Solutions, comments, "We are very excited about the reach FNB Cellphone Banking will now have, especially for people who don't have access to state of the art cellphones. It is the perfect opportunity to bring the benefits and conveniences of banking to those that don't have access."
"FNB harnessed the power and functionality of the cellphone more than three years ago when it introduced inContact, a free message service that sends customers a real time SMS confirming all transactions taking place on their FNB accounts. This world-first in the banking industry was well adopted by FNB customers, who quickly saw the benefit of keeping a finger on the pulse with their transactions and the potential for early fraud prevention. Currently 1.5 million customers receive these SMS notifications."
"The new Cellphone Banking offering is a natural extension from the pioneering beginnings of the inContact service," adds Pienaar.
"Research has shown that cellphones are the most accessible banking channel across all segments, the reach is enormous. There are also no exclusions in terms of the cellphone networks. Vodacom, MTN and Cell C customers can all make use of FNB Cellphone Banking whether on prepaid or contract," adds Pienaar.
FNB Cellphone Banking enables customers to:
Registration for the service is free. Charges are affordable and, in addition, Mzansi clients enjoy certain discounts.
"When considering the extreme penetration that cellphones have in our country, cellphone banking is the obvious step in making banking more accessible. The cellphone is becoming an integral part of our lifestyle. As Africa's leading cellular network provider, we are committed to enabling mobile commerce initiatives such as the one being launched by First National Bank today. Cellphone banking is easy, convenient and affordable and we are very confident of the potential take up in South Africa," said Ashraff Paruk, General Manager: Product and Innovation, MTN South Africa.
"The service is safe and easy to use," Pienaar adds. "Customers need to take the same precautions that they would when using any other banking channel. This includes safeguarding their PIN (Personal Identification Number) and using the free inContact service to verify all transactions. Safety principles applied to other FNB banking channels will apply to cellphone bankers. This means a full money back guarantee in the case of cellphone banking fraud, provided that the customer's inContact service is activated and that the access details were at no time compromised."
"FNB Cellphone Banking brings new meaning to convenient banking and effective money management, giving people the freedom to bank when and wherever they wish. And to think, this is only the beginning..." concludes Pienaar.
