As the world became a smaller place with the development of information technology and mobile telephony, there came some other facilities like the ability to make payments using a mobile phone. There is a heavy penetration of mobiles in the contemporary world and financial institutions have cashed in on the values of the popular medium.
So, there are easier and more efficient transactions now over the internet. Customers have the flexibility to choose the goods or services they require from a remote location and even complete the transaction with the help of their mobile phones. Mobile devices have become agents to help in make payments instead of using cash, or even cheques. Mobile devices have come to take the place of credit cards and debit cards today.
Mobile payments have come to mean a situation where one can make a payment using only their mobile numbers. The account number of the person doesn't matter at all. All that counts is the mobile number. So, it is a lot more easy to make payments, and even receive payments even if you are on the go.
With mobile phones taking over so many of our retail market requirements, it is expected that they would soon replace everything involving payments in the retail market. The personal nature of mobile devices makes them ideal for use in making transactions, specially where sensitive information like card number and passwords need to be typed in. Since the handset is not likely to be used by anyone else, chances of misusing the information to commit a fraud are less.