32 banks have been given approval to provide mobile banking facility in the country by the Reserve Bank of India (RBI) and 21 out of these have already started providing the mobile banking  services.  This information was given by the Minister of State for Finance, Namo Narain Meena in written reply to a question raised in Rajya Sabha today.

Mobile banking is a secure application, which takes care of end-to-end encryption of data in transit to offer banking information and transactions. Customer is forced to change the activation code and mPIN sent to him at the time of registration. He is also driven to decide a password to log-in to the application. Customer also has a choice to change the mPIN, log-in password at any point of time.

Banks are now permitted to offer this service to their customers subject to a daily cap of Rs.50000 per customer for both funds transfer and transactions involving purchase of goods/ services. Transactions up to Rs.1000 can be facilitated by banks without end-to-end encryption. The risk aspects involved in such transactions are addressed by the banks through adequate security measures.