Money thro' Mobile

Thanks Abraham for the referral.
Really a revoutionary initialtive.
But care has to be taken regarding secured transaction,especially when the mobile handset is lost by somebody who did the transactions regulalarly using MTM or data is hacked by an unknown person or network connection problem in remote areas etc.

Money Through Mobile (MTM).  
Introduction: Money through Mobile (MTM) is a path breaking state of the art idea to enable all sorts of day to day money transactions through phones. MTM is a non-banking product that will accelerate Financial Inclusion of people in lower economic strata across the country and will become an effective tool for supporting their Micro Finance needs. 
1. MTM is different from Mobile Banking. Money through Mobile is not be confused with mobility in Banking service or service of  e-banking using Mobile phones being currently provided by banks. ‘Money through Mobile’ system proposed herein is transparent to banking industry and services and therefore, is entirely different from what is termed as ‘Mobile Banking’. MTM transactions involving Banks, Post Offices and other financial institutions; will in the same position and functional level using same product technology at par with that of any other MTM user. Please the presentation on MTM attached. 
Money through Mobile (MTM) is envisaged as a service that provide easy payment mechanism to directly transact (receive and send) virtually all form day-to-day micro e-payments such as for receiving salary / pension, welfare all sorts of payment related to NREGA etc., from government, interest / dividend payments,  and for sending of payment related to utility bills, Taxes and service charges, school fees, job contractors and job workers, employees by employers, bill payment in shops, sales outlets & malls, cinema halls, petrol bunks, various travel ticket vendors, for using vending machines, taxi and auto fares, road and bridge toll payments, transfer of money to friends, spouse, pocket money to children, small personal and business money lending, transactions with Micro-finance agencies and franchisees , crediting money into bank  and Post office accounts etc., without involving banks, post offices credit card companies and other money transfer agencies.
As most of every phone user’s day-to-day money transactions could be done sitting at home/office or from anywhere any time without need to commute and therefore will help to save time, fuel and reduction in road usage, traffic congestion and pollution. 

It is in today's news that AIRTEL in India has rolled out the MTM product as AIRTEL-MONEY in Gurgaon area inthe suburb of Delhi as a first attempt in Mobile wallet service. I am sure it will take of well even if AIRTEL provide an exclusive SIM for this purpose.Even otherwise, it will be an excellent incentive for enhancing subscription with MNP.

My concern is that, now other Service Providers also will follow suit and it will a total mess because at the end provider level, each vendor, malls, shops, institutions etc will have to partner with each of these service providers. It would have been more effective and simple for the mobile users as well as the end providers, if the Mobile service providers joined hands and brought out a common system as envisaged by me in my MTM proposal.
I have written to Mr. Kapil Sibal, Hon. MOC about this, but according to my earlier experience, I am not very sure it will have any effect. MTM as I envisage it,  has a potential of an annual turn over of Rs.120 Trillion. It can become an effective tool for direct payment of Govt. welfare payments, NREGA, and for rihgt to food, right to education, health care etc. removing pilfering and corruption. Direct payments between farmers and other producers to retail outlets could remove the middlemen and bootleggers and profiteers and can be an effective means to control food inflation.
i have even suggested that it will be worthwhile if the government can setup an exclusive GSM network across the country for this purpose, which can also be used for needs of govt. in Security, Disaster management, terrorism control, UUID implementation, and other govt's administrative purposes. 

Hi, 
Any one interested can see my presentation on MTM in www.peerpower.com 
Go to Telecom & IT' group, Repositories / Document. 
Interested persons are free to use it and contact me for any further info or discussion. My interest is only in propagating the idea for the benefit of cellular Operators.

Please see the news on my proposal on this in Business Line of 2nd Nov. 2010. Link given below.
http://www.thehindubusinessline.com/2010/11/02/stories/2010110252550700.htm

Dear Sir,

Nice idea and love the spirit because not only that there will be an ease in doing money transfer but somehow the idea is directly related in helping for the upliftment of the poor society.

I am not able to understand the full crux of the idea. If possible please share the ppt with us, possibilty that we can also contribute a little bit. What I understand is that the person should have an MTM account and instead of debit card he will use his mobile for doing all transactions.

Biggest hurdle which I can see are:

1. The idea seems higlhy unsafe as you can see when bank's ATM's are placed in such crowded place even then we heard of robbery news. So it's very unsafe to place the MTM cash machines in rural areas. And it will require a lot of financial planning to provide proper security.

2. In urban areas people prefer internet for doing transaction as definitely it will provide more security than air interface. In rural areas people prefer security and have less concern on time/fast for doing transaction. Seems people will take a lot of time to change their mindset so for initial years there will not be lot users ...As a result the idea doesn't seems to be an big profit earning in initial years. I expect private players will not show much enthusiasm and Government has to back up the complete project

3. Biggest hurdle will come in solving discrepancies (issues). How can an operator convince the poor guy whether the transaction was genuine or not. Suppose for example somebody hijack all authentication information of a poor person and uses that information(via SIM cloning or let assume by stealing his phone) and do some transaction. Now as an operator how will they tackle these issues. Moreover If you compare the idea with the internet transaction...in the later if somebody uses one's internet banking details and perform any transaction the person will get an mail/sms and has enough time to react 

4. To bring rural people in comfort level with this service. I think first thing require is an deep penetration of mobile and almost eveybody should know how to use mobile phones.

I am putting the above points based on my understanding...intention is not to put more hurdles but to get more clear understanding....actually that will help us in propagating the idea in a well way......

Corporates & Govt can inspire from "ITC's e- choupal concept "

Dear Srinivas, 
The system I proposed do not use the normal web mailing principle. Here the interactions between the mobile and the MTM server is based on telecom signalling and that too with multilevel security system like auto cross check by CLI, personal password, encrypted messaging, and reconfirmation before delivery ec. and therefore not as vulnerable to hacking or phissing etc. 
Moreover, MTM do only point to point virtual money transaction and do not handle handle hard cash remotely. If MTM user need real cash, he can take it only from his MTM account from his post office or bank only in person. 
It is envisaged to link MTM with banks' ATM machines. As an alternative, MTM system provider itself can provide MTM machines everywhere so that people can take real cash going to it and using his MTM mobile or an MTM card identical to ATM card. 
As technology advances additional level of security could be provided. 
I have a power point presentation showing the technology aspects of MTM in deatil which I already gave to Department of Post and BSNL personnel to have a look. If they do not take it on, definitely there will be dozens of private companies to put the idea to use. My interest is only in propagating the idea in its basics. By the way the concept is not new. I have proposed this idea almost ten years back. Please read my posting "Mobile Money Manager" in toos teps.com.
With Best Wishes, Paul.

to reach the lower strata of society - who badly need to be financial-inclusion ed, employ a roaming banker with a special mobile device - very much like that say the electricity meter chaps use. this mobile will have the details of all the constituents, and punching the id, all details can be displayed. money can be 'deposited' or 'withdrawn' and a instant reciept can be given by the travelling banker. travelling banker will have some restrictions - like he cannot 'hold' more than a certain amount of cash. once it exceeds this, he has to deposit it in the bank. at the end of the day, he docks his device and the data is uploaded into the central computer. grameeen banks i think follow some similar way of functioning.

idea is good. security is the prime consideration. security and privacy. some time ago (2 years?), being bedridden as a result of an accident - no access to computer which was on the 1 floor, i used my mobile to create a mail login id for some "time-pass" entertainment. i found that i was getting a terrible amount of spam on that email-id - more spam than all my other 2 emailids combined. this is how easily accessible/monitorable the wireless is. please go ahead and do it. i will not. i wwill use land-line with 2-3 levels of security validations and virtual keyboards to transact with a bank. even my loginid is entered via the virtual keyboard.

Thanks Mr. Nitin. 

Sir, Its really promising and innovative idea. Many more opportunities will be available to farmers and other needy craftsmen, artisans in rural areas. If money could travel on phone, thus creating employment back in rural areas. Poor will not have to relocate to urban areas for employment. To my mind, Gandhian policies of employment to poor at his own place from his own capacities is a way forward. If we can make it happen, think of getting cheap value added commodities which are also environmental friendly in any part of the country. Hope we all will get to see it soon. 

Its a great part and unique idea..... your experience and way of translation of the same is great in real sense.... salute to you sir

You are right Mr. Amit.
I was involved in marketing 'evalet' product ten years ago. I have brought out about Money through Mobile concept mTm at that time. I left the service and it took its own time to catch up. The crux of my proposal now is that the idea will become useful for finanacial inclusion of people in the lower economic strata only if the system is transparent to Mobiles Service Providers as well as the current form of established banking industry.  

sir this was a unique idea i was using oxicash and which can help nme to carry less cash and easy to maintain and risk free transaction and from one ewallet u can do various transsaction . people dont understand that now thatys why they robbed with heavy cash .