International Journal of Advanced Science and Technology

Vol. 29, No. 5, (2020), pp. 2207 - 2214

Implementation Plan for Augmented Reality in the Mobile

Banking Application

Friska Giovanny Br. Ginting1, Natasha Angelica2, Emil R. Kaburuan*3,

Nilo Legowo4

Information Systems Management Department, BINUS Graduate Program - Master of

Information System Management, Bina Nusantara University, Jakarta 11480, Indonesia
1
friska.ginting@binus.ac.id, 2natasha.angelica@binus.ac.id, 3emil.kaburuan@binus.edu,
4
nlegowo@binus.edu

Abstract
Augmented Reality (AR) is an environment that inserts and combines 3D virtual
objects into a real-time environment. Augmented reality itself has been used in our life,
especially in fields such as Healthcare, Education, Entertainment, Etc. The used of AR
create a new experience for its users. In this paper, a system that integrated the usage of
AR technology and mobile banking application is proposed. AR technology proposed in
this paper is to be developed and implemented in two steps. The first steps used the AR
functions to display simple information of their scanned cards (credit cards and debit
cards). The second steps used the AR function to scan the surrounding area and show a
location point of the nearest ATM and banks. The integration of AR technologies and
mobile banking application is done to increase customer satisfaction and experience in
using mobile banking application. However, to ensure that this system could be
implemented with no to minimize risks and problems, the implementers of this technology
has to take some preventive step.

Keywords: augmented reality, mobile application, mobile banking, user experience.

1. Introduction
Nowadays, Technologies are commonly used by various social groups. Today,
technology is used by many people to carry out their activities, both for learning,
shopping, transactions and various other things. The use of technology is no longer
limited by location and time. In its development, technology will continue to evolve and
innovate, along with the increase in people's knowledge [1]. The development and
innovation carried out aims to increase the user-friendliness for the community. In
Indonesia, various technological innovations that have emerged have proven to help the
community in carrying out their daily activities.
Technological innovation enables people to do things more practical, more comfortable
and faster. Where ever an activity that can only be done when we go to the location
(sending letters, managing savings, shopping, watching movies, etc.) can now be done
through various technologies around us (computers, laptops, internet, smartphones, etc.).
For example, In the banking sector, the transactions than typically done on the banks
counter or ATMs machine could now be done via a mobile application or internet
banking. The role of mobile application in the banking sector had made a significant
impact as of the third quartal of 2019, which 75 % of the total banking activities of a
banking company in Indonesia is carried out via mobile applications [2].
By the end of 2018, Google predicts that hundreds of millions of mobile devices will
have an augmented reality (AR) Capabilities [3]. The mass adoption of technology is

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Copyright ⓒ 2020 SERSC
 International Journal of Advanced Science and Technology
Vol. 29, No. 5, (2020), pp. 2207 - 2214

bound to have a pronounced effect on various sectors. By adopting AR, the banking and
finance industries could change their customers' experiences. Other factors that affect and
give impact to the banking sectors regarding customers experience is that there are more
and more Millennial are becoming their customers.
Millennial, as the current generations, have a significant difference of needs and
expectation from their predecessors. The currents generations, the Millennial prefer and
favours self-services. This preference of self-services could boost the adoption of AR
technology in banking sector further. These two tendencies will work together to redefine
the customer experience in banking and finance. The more pronounced use of innovative
technology could ensure quick service provision and accuracy. AR adoption can
accomplish a lot more than that.

2. Literature Review
A. Mobile Application
A mobile application is a software that is created or developed for digital devices such
as smartphones and other handhelds devices. Mobile applications help meet user needs
and have interactive features with users [4]. The main differences of desktop software
and mobile application are that a mobile application can integrate the hardware,
functionality and interfaces to a border spectrum [5].
As mobile applications gradually become an essential part of our life, the number of
available apps in the app stores and their level of complexity is increasing [5]. The users
of mobile applications are affected by the application performance, stability, resource
consumption and usage experience failure to achieve the customers' expectations of a
mobile application could lead to brand tarnish or application abandonment [6].
B. Mobile Banking
Mobile Banking is one of the significantly effective innovations of technology in the
banking sector. Not only does it improve the financial literacy of banking customers [7], it
also improves bank – customers relationship in the long term [8]. The Mobile Banking
services are provided by the bank or other financial institution with the purpose to help
customers to conduct financial transaction remotely from their smartphone [9].
Previously, mobile banking is mostly focused on the transaction and money handling
activities. However, now it moved from transaction handling to giving better experiences
for their customer [10]. A mobile banking application made it possible for their customer
to do transaction, account monitoring, and also to find ATMs location from their
smartphone [11]. Although, mobile banking application has a challenge its need to
overcome in order to make a comfortable user experience for their customer when using
the application. After all, the application is used through a smartphone that might have a
small screen, uncooperative keypad, etc. [12].
C. User Experience (UX) of Mobile Application
A good User Experience (UX) is a necessity for a mobile application. It helps the
mobile application to stay competitive with other similar mobile application [5]. User
Experience of an application or products, cover the whole application, product and
services acceptance by the customers. A user experience aspects could include many
aspects such as usefulness, ease of use, touch performance on the mobile screen, the
layout of the application, and other aspects [13].
User interface (UI) and User Experience, are the first thing that interacts with an
application user Not only for an application but also for all devices, work progress and
product [14]. For devices, application, product or services that have an online or internet-

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Copyright ⓒ 2020 SERSC
 International Journal of Advanced Science and Technology
Vol. 29, No. 5, (2020), pp. 2207 - 2214

based review, a bad or good review from users regarding their experiences could affect
their grades [15]. To prevent and overcome the problem caused by these reviews, the
developer needs to fix the issues, innovated the product and implement changes to the
application or products.
D. Augmented Reality (AR)
Augmented reality is much more than just an enhanced viewing device. Augmented
reality support our day – to – day activities by expanding our perceptions and
communications; it helps by providing intuitive and visual assistance in completing tasks
[16]. Augmented reality integrates a computer graphic into the real world, the quality of
an augmented reality effect the UX of the users [17]. Augmented reality differs from
Virtual Reality (VR), an augmented reality computer graphic is shown as a real image
within a real space also it allows the users some mobility or to be mobile [18].
Augmented reality is one of the two visualization methods that are booming in this
digital era, and the other visualization method is Virtual Reality. The Augmented reality
method has provided a more straight forward way to deliver information about
destinations with the advent of Mobile Augmented Reality [19]. Nowadays, augmented
reality technology exits in some domains of our life [20] [21]:
1. Healthcare
2. Entertainment
3. Education
4. Retail and Marketing
5. Automotive
6. Military and Art.
At this point, Augmented reality is mainly used for Video games, 360 video and Live
events, design, architecture engineering and construction also commercial real estate [22].

3. Proposed System
With the advent of the smartphones operating system and the convenience of the
accessible internet, the information about the location of a user's or object could be
accessed anywhere and anytime. Combining these smartphones and the internet for
accessing information and locations with Augmented reality would enable the provision
of various information such as pictures and location of buildings in the navigation field.
Recently, the banking sectors have utilized digitalization technology in their services.
This utilization makes their services become more convenient for its customers. Some of
the technology adopted by the banking sectors are Mobile Banking, Internet Banking, and
Scan & pay Banking. Those adapted technologies have made it easier for customers to do
a transaction, but what if there is a new technology that could provide more.
A. System Flow and Architecture
The banking sectors are working out in creating a new technology solution that will
completely change the financial institution marketing strategy. Soon the technology will
enable customers to view the full statement of the account, including due payments,
transactions, account balance, loan payments, bill payments and many more through their
mobile or tablet in 3Dimension (3D). By scanning their bank cards or plastic money on
the mobile banking application, a customer could see their account information, full
account statement, and even the location of the nearest ATMs machine through on
computer-generated images on their mobile as a real-time view.

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Copyright ⓒ 2020 SERSC
 International Journal of Advanced Science and Technology
Vol. 29, No. 5, (2020), pp. 2207 - 2214

Start

Open the Camera

Scan the
marker

N N
Marker Return
Detected

End
Showing 3D
Object

N
Marker still
detected

N
Push info
button

Showing product
information

N
Close
camera

Figure 1. Proposed System for Augmented Reality In Banking [23]

The proposed system used the mobile phone camera function to scan the specified
object, which in this case is a credit card or debit card. When the digital marker of the
object is detected, the mobile banking application will show the customers' bank account
and other related information in the form of a 3D image that is combined with the real
image around the users. After the object is scanned, the smartphone screen will show
simplified information of the cards. This simplified information could be used to access
the detailed information of it.
In the implementation of the system, it is essential to remember that the object scanned
must be registered on the mobile banking application used. By registering the object
(credit card or debit card), the security of your card and bank account information is
assured. If the card is not registered on the mobile banking application, the user will not
be able to use the AR feature provided. It also helps in guarding the account information
against an irresponsible person who might try to steal information. In case the scanned
object is not recognized either from a faulty marker or the camera, the mobile banking
application will return to the default screen (main menu). This automatic return will also
happen in case of time out, or the scanning took more than the designed time allowed.

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Copyright ⓒ 2020 SERSC
 International Journal of Advanced Science and Technology
Vol. 29, No. 5, (2020), pp. 2207 - 2214

B. Application Illustration and Mock Up

Figure 2. Illustration of The AR Banking System [24]

The figure above illustrates the display of a working AR banking system. With a
simple scanning of a credit card, the information regarding the card balance is displayed
on the mobile screen. Other than showing information, the AR function could be used for
finding the location of the banks, and ATMs provided. According to the working
illustration above, a Mockup of a proposed design for the system is made.

Figure 3. Mockup AR Scan Object

Fig 3. Show the design of the AR object scanning menu in the mobile banking
application. To be able to access this menu, the user must first log in to their mobile
banking account through the mobile banking application. Depending on the card (Debit or
Credit) scanned on the menu, different information is displayed.

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 International Journal of Advanced Science and Technology
Vol. 29, No. 5, (2020), pp. 2207 - 2214

Figure 4. Mockup for Credit Card Information

Figure 5. Mockup for Debit Card Information

If the scanned object is a credit card, the AR interface will show information related to
the user credit card on the scanned card number. For credit card, the information shown
includes; credit card activation date, credit card expired date, credit usage statistic, credit
limit, remaining credit limit, the due date for credit payment, and transaction history
(either instalment or non-instalment transaction). As for the debit card, the information
shown on the AR interface are debit card activation date, debit card expired date, account
transaction, and account balance. Other than showing information, the AR function in the
mobile banking application could also be used to show a location marker of a bank or
ATM corresponding to the mobile banking application, as shown in fig 6.

Figure 6. Mockup for AR Locating function.

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Copyright ⓒ 2020 SERSC
 International Journal of Advanced Science and Technology
Vol. 29, No. 5, (2020), pp. 2207 - 2214

4. Result and Discussion

The systems design proposed in this paper is divided into two steps development. The
first step of development, focus on creating an AR interface that displays simple
information of the scanned object information, which is credit and debit card. When
scanned each object type will show different information; credit card (fig 4) and Debit
Card (fig 5). The second step focuses on expanding the use of AR. In the second steps, the
AR function is expanded to enable location function (fig 6). In this step, the AR function
will need to collaborate or work together with a GPS. In which the GPS is located on the
mobile phone and the location point (ATM and Banks).
As any development an innovation, this proposed design does not come without any
risks. In this proposed system though the risks come from the condition that AR has not
been implemented or used widely in Indonesia, especially in banking. To avoid risks that
might happen in the future, the implementers of the AR systems, which is banks must take
some preventive steps.
 The first and foremost preventive steps that should be taken is to ensure that the
card is connected or registered to mobile banking. Not any mobile banking, but the
registered mobile banking for the card account. This preventive step is taken to
protect the customer bank or financial information from being used or accessed by
an irresponsible party.
 The second preventive step to be taken is to implement the use of a unique code or
PIN. The use of unique code or PIN could help to protect the customer information
from unauthorized access in case of losing card. This unique code or PIN will be
asked when the card is scanned by other mobile banking apps (where the card is
not registered or connected with)

5. Conclusion
With the facts that mobile banking is used more and more frequently in our daily lives,
either for banking transaction (Banks transfer, ATM withdrawal, etc.) or any other type of
transactions (Debit or credit card payment, virtual account payment, marketplace
payment, etc.), the needs to improve its application is rising. The improvement of a
mobile banking application could come in many ways, such as display, user experience,
functions, etc. This paper discusses the improvement of mobile banking in term of display
and user experiences.
By implementing and using an Augmented Reality technology and functions in the
application, the display of information could be shown in a more interactive way. The AR
functions help to make an interactive display by combining 3D images and real-life
scenery around the users into one. This gives the users of a mobile banking application to
experience a new way of seeing their cards and other information by simply scanning
their card through the mobile banking application. Not only this system gives users a new
experience, but it also gives the banks who implemented the system's advantages to
compete with other banks with a similar application (mobile banking).
However, developing and implementing a system comes with possible risks, no matter
if the system has been used widely or not. An AR technology in banking itself is not a
technology that is widely implemented yet in Indonesia. As of why the implementers of it
should prepare preventive steps against any risks that might happen.

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 International Journal of Advanced Science and Technology
Vol. 29, No. 5, (2020), pp. 2207 - 2214

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