Legal issues in mobile banking

Journal of Banking Regulation

Volumn 11, Issue 2, 2010, Pages 129-145

  Weber, Rolf H ^a   Darbellay, Aline ^a  

^a UNIVERSITY OF ZURICH   (Switzerland)

Author keywords

Consumer protection; Customer trust; Data security; Mobile banking; Mobile financial services; Prudential supervision

Indexed keywords

EID: 77951616133     PISSN: 17456452     EISSN: 17502071     Source Type: Journal    
DOI: 10.1057/jbr.2009.16     Document Type: Article

References (61)

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2. International Organization of Securities Commissions (IOSCO). (2001) Report on Securities Activity on the Internet II. June, p. 9.
3. Committee on Payment and Settlement Systems of the Bank for International Settlements (BIS). (2004) Survey of developments in electronic money and internet and mobile payments. March, p. 3.
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5. Porteous, D. (2006) The Enabling Environment for Mobile Banking in Africa. Report Commissioned by Department for International Development (DFID).
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7. Barnes, S.J. (2002) The mobile commerce value chain: Analysis and future developments. International Journal of Information Management 22: 91-108.
8. The Third Generation phone (3G phone) is a family of standards for wireless communications defined by the International Telecommunication Union (ITU). See http://www.itu.int/home/imt.html, accessed 26 October 2009.
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11. Jarvenpaa, S.L., Lang, K.R., Takeda, Y. and Tuunainen, V.K. (2003) Mobile commerce at crossroads. Communications of the ACM 46(12): 41-44, 44.
12. Georgi, F. and Pinkl, J. (2005) Mobile banking in Deutschland: Der zweite Anlauf. Die Bank, Zeitschrift für Bankpolitik und Praxis, March: 57-61.
13. See generally Zimmermann, S. (2008) E-commerce, Verbraucherschutz und die Entwicklung Intelligenter Agenten. In: J. Costede and S. Spindler (eds.) Schriften zum Wirtschafts- und Medienrecht, Steuerrecht und Zivilprozessrecht, Band 35. Frankfurt am Main, Germany: Peter Lang, p. 11.
14. Basel Committee on Banking Supervision (BCBS). (2000) EBG Initiatives and White Papers. Electronic Banking Group Initiatives and White Papers, October.
15. Directive 2007/64/EC on payment services in the internal market amending Directives 97/7/EC, 2002/65/EC, 2005/60/EC and 2006/48/EC and repealing Directive 97/5/EC, OJ L 319/1.
16. Directive 2000/46/EC on the taking up, pursuit of and prudential supervision of the business of electronic money institutions, OJ L 275/39.
17. Hinds, D. (2004) Micropayments: A technology with a promising but uncertain future. In: N. Mallat, M. Rossi and V.K. Tuunainen (eds.) Mobile Banking Services. Communications of the ACM 47(5): 42-46, 44.
18. For instance, in the United Kingdom the relevant authority is the Office of Communications. See the Communications Act 2003, c. 21.
19. Art. 4 of the Swiss Federal Act of 30 April 1997 on Telecommunications (Telecommunications Act), SR 784.10. No authorisation like in mobile banking is required but a mere registration. Nevertheless, art. 6 of the law states legal requirements for telecommunication services providers.
20. Mallat, N., Rossi, M. and Tuunainen, V.K. (2004) Mobile banking services. Communications of the ACM 47(5): 42-46, 45.
21. Cheney, J.S. (June 2008) An Examination of Mobile Banking and Mobile Payments: Building Adoption as Experience Goods? Discussion Paper, Payment Cards Center, Federal Reserve Bank of Philadelphia.
22. See below, Scope of mobile banking activities.
23. See further Weber, R.H. (2001) E-Commerce und Recht, Rechtliche Rahmenbedingungen elektronischer Geschäftsformen. Zurich, Switzerland: Schulthess, pp. 597-598.
24. Directive 2006/48/EC relating to the taking up and pursuit of the business of credit institutions, OJ L 177/1.
25. https://www.postfinance.ch/pf/content/en/seg/priv/prod/pay/national/ mobile, accessed 26 October 2009.
26. http://www.saxobank.com/en/trading-platforms/pages/mobile-phone.aspx, accessed 26 October 2009.
27. http://www1.banking.firstdirect.com/1/2/ourservices/mobile-banking, accessed 26 October 2009.
28. See Weber, R.H. (1999) Elektronisches Geld, Erscheinungsformen und rechtlicher Problemaufriss. In: D. Zobl, M. Giovanoli and G. Hertig (eds.) Schweizer Schriften zum Bankrecht. Zurich, Switzerland: Schulthess, p. 47.
29. See Weber, R.H. (2001) E-money and regulation in Switzerland and in the EU. Finance & Technologie 77: 40-41, 40.
30. See para. 4.2.3, 4.3.2-4.3.7 and 6.9.1 of the FSA Handbook, Electronic Money (ELM).
31. See Bacchetta, M. Low, P. Mattoo, A. Schuknecht, L. and Wehrens, H.W.M. (1998) Electronic Commerce and the Role of the WTO, In: Special Studies 2. Geneva, Switzerland: WTO Publications, p. 52.
32. See Financial Services and Markets Act 2000 (FSMA 2000), c. 8.
33. The Federal Financial Supervisory Authority BaFin is established by the Gesetz über die Bundesanstalt für Finanzdienstleistungsaufsicht (FinDAG).
34. In France, see the Monetary and Financial Code (Code monétaire et financier, CMF). The AMF was established by art. L621-1 and the CB by art. L613-1. As regards the definition of banking activities, art. L311-1 states that banking operations include the taking of deposits and the granting of credits.
35. Art. 3 let. a of the Swiss Federal Act of 22 June 2007 on Financial Market Supervision (FINMA Act), SR 956.1.
36. See Art. 3 para. 1 of the Swiss Federal Act of 8 November 1934 on Banks and Savings Banks (Banking Act), SR 952.0.
37. See art. 10 of the Swiss Federal Act of 24 March 1995 on Stock Exchanges and Securities Trading (Stock Exchange Act, SESTA), SR 954.1.
38. See Annex 1B, Annex on Financial Services of the General Agreement on Trade in Services (GATS).
39. Para. 5 of the preamble of the Directive 2002/65/EC concerning the distance marketing of consumer financial services and amending Council Directive 90/619/EEC and Directives 97/7/EC and 98/27/EC, OJ L 271/16.
40. See further, A Global Action Plan for Electronic Business, Prepared by Business with Recommendations for Governments (2002) 3rd edn., July, p. 19.
41. Gkoutzinis, A. (2003) Cross-border electronic banking activities in the single European market and the normative value of home country supervision. Journal of Banking Regulation 5(1): 78-103.
42. In the United Kingdom, see para. 4 and 22 of Schedule 2 of the Banking Act 2009, c. 1.
43. In Germany, see art. 1 of the German Banking Act (Kreditwesengesetz, KWG).
44. Federal Banking Commission (FBC) Annual Report 1998 (German version), pp. 55-56.
45. FBC Annual Report 1999 (German version), p. 101.
46. Flühmann, D. (2009) Aktuelle aufsichtsrechtliche Fragestellungen des electronic banking. In: U. Bertschinger (ed.) St. Galler Schriften zum Finanzmarktrecht, Band 4. Zurich, Switzerland: Dike Verlag AG, p. 9.
47. In the European Union, see Directive 95/46/EC on the protection of individuals with regard to the processing of personal data and on the free movement of such data (Data Protection Directive), OJ L 281/31. This Directive is implemented by Member States.
48. See in the United Kingdom, the Data Protection Act 1998, c. 29.
49. See in Germany the Federal Data Protection Act (Bundesdatenschutzgesetz, BDSG).
50. In Switzerland, see the Swiss Federal Act of 19 June 1992 on Data Protection (Federal Data Protection Act, DPA), SR 235.1. No generally applicable data security standard has been adopted by the Swiss legislator, as Swiss law fosters more detailed and customised data security standards developed by private institutions.
51. Tarasewich, P., Nickerson, R.C. and Warkentin, M. (2002) Issues in mobile e-commerce. Communications of the Association for Information Systems 8: 41-64, 49-50, 52.
52. Weber, R.H. and Willi, A. (2006) IT-Sicherheit und Recht, Grundlagen eines integrativen Gestaltungskonzepts, In: ZIK. Band 33. Zurich, Switzerland: Schulthess, pp. 13-14.
53. Kahler, T. and Werner, S. (2007) Electronic Banking und Datenschutz. Berlin, Germany: Springer.
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55. Herzberg, A. (May 2003) Payments and banking with mobile personal devices. Communications of the ACM 46(5): 53-58, 54.
56. BCBS. (2003) Risk management principles for electronic banking. July, p. 5.
57. Kahn, J. (2008) Banking, with fingerprints and house calls. The Boston Globe, 20 January.
58. See FBC Annual Report 2000 (German version), p. 19.
59. Directive 2008/48/EC on credit agreements for consumers and repealing Council Directive 87/102/EEC (Consumer Credit Directive) OJ L 133/66.
60. In the United Kingdom, see the Consumer Credit Act 2006 (CCA), c. 14.
61. In Switzerland, see the Swiss Federal Act of 23 March 2001 on consumer credit (Consumer Credit Act, Konsumkreditgesetz, KKG), SR 221.214.1.