The Electronic Payments Association announced last week that it has formed a Mobile Banking Work Group under the leadership of its Internet Council to develop an ACH payment platform strategy for mobile banking. The group's participants will include representatives from across the industry, which will be recruited from NACHA's councils.
"The NACHA Board of Directors recognizes it is important to take the lead and assess how mobile transactions flow, determine the risks and returns, and review the rules and guidelines to protect the quality and reputation of the ACH Network," said Steve Ellis, executive vice president, Wells Fargo Bank and chairperson, NACHA Board of Directors.
The Mobile Banking Work Group leadership will focus on four primary objectives in the initial phase of this project:
* Assess the NACHA Operating Rules for the accommodation of mobile banking and payments;
* Identify authorization and authentication considerations;
* Identify unique security characteristics and requirements;
* Assess systemic opportunities and barriers in the ACH Network.
"There is real opportunity here to build a common set of strategic principles and tactical guidelines through a consensual industry effort that will enable mobile banking and ACH payment applications," stated Devon Marsh, vice president and risk manager for electronic services, Wachovia Bank, and chairperson of the Work Group. "A prime example of the Internet Council's commitment to encouraging solution providers to be engaged in this process is the Mobile Banking Vendor Showcase to be held in conjunction with the Internet Council meeting, February 21-22, 2008, in New Orleans."
"NACHA members are well-suited to address the questions and challenges that are raised in mobile banking and ACH payments applications," said Ellis. "They understand that the key driver of any mobile platform is functional interoperability led by security, authentication, and authorization standards that will meet the needs of all the stakeholders in the transaction."