Virtual Money Transaction

1. Virtual Money Transaction BUET- Octavian Deliberators : Hasan Habibul Latif Sheikh Al Amin

2. Scenario 1 • I am in a bus and • Forget to bring my wallet • My wallet is lost and taken buy a mugger • The bus conductor will insult or throw me out if I don’t pay the money

3. Scenario 2 • My father does business • He ask me to pick up 50,000 taka from a client • I take the stated amount from a client • In my way to home I get robbed • My eyes are hurt because the robber used a special ointment to block my vision

4. Scenario 3 • I am in a remote Island like St. Martin • I am not an intelligent spender • I realize that my cash is finished • Doesn’t know anyone to ask for some cash

5. Problem • Insecurity in money portability. • Scenario 2 • Unavailability of money transfer. • Scenario 3 • Time consuming money transfer. • Scenario 1 Besides • Effective online payment system. • Scarcity of small currency.

6. Money Transaction by SMS

7. Mcash System • Opened by a bank account. • Connects bank account & cell phone. • Stored value unit account. • Provides secure payments.

8. Actors • Bank • Mobile Operator • Customer • Distributor

9. Bank • Agreement with Mobile operator. • Generate a software. • Setup IT team for maintenance. • Agreement with Distributors. • Provide Customer Care.

10. Mobile Operator • Collect additional information to open a bank account during registration. • Provide relation between Bank & Customer. • Maintain SMS transaction.

11. Customer • MCash unit transfer via SMS. • Buy and sell products by transferring units. • Take and refund loan via SMS. • Pay the bills.

12. Distributor • Provide security money to bank. • Provide cash in-out service. • Possess security service.

13. Account Launching

14. Balance In-Out

15. Transaction

16. Loan

17. Information Technology Mobile SMS: • Interaction with bank. • Cash in-out process. • Unit transaction. • Notification and confirmation SMS.

18. Information Technology(Contd.) Content Server: • Provide Value Added Services. • Collect and send SMS to the content server by network router. • Transfer SMS to the client server. Client Server: • Parse the SMS. • Collect necessary information.

19. Mobile opetatorserver How will it work? Balance Transfer Information Content server

20. Information Technology(Contd.) Software: • Registration: • Receive request and gather all information from Mobile operator. • Create user accounts. • Send notification to each account.

21. Information Technology(Contd.) Software: • Money Transaction: • Check and update database for money transaction. • Send notification to user. • Cash in-out: • Check and update database for balance transfer. • Send notification to user.

22. Information Technology(Contd.) Software: • Loan system: • Check maximum limit and allow loan. • Update database of both deposit and loan account. • Show status of both accounts.

23. Software Requirements: • Effective and efficient software development team. • Use of C#, PHP or JAVA SERVLET. • Linux server. Database: • Powerful database system. • Use of Oracle , Mysql, SQL-SERVER.

24. Cost Analysis

25. Cost Analysis for Bank • Assuming 1million customers each having 5000 TK in Average. Total Income ……………………..1010 m Variable Cost………………….. 454 m Contribution Margin…………. 556 m Fixed Cost……………………….. 140 m Net Operating Income……….. 416 m

26. Break-even Analysis for Bank 1010Q = 454Q + 1000, 00,000  Q = 1, 79,857

27. Cost Analysis for Mobile Operator • Assuming 1million customers doing 400 million SMS transaction per year. Total Income …………………….. 950 m Variable Cost………………….. 334 m Contribution Margin…………. 616 m Fixed Cost……………………….. 80 m Net Operating Income……….. 536 m

28. Real Life Implementation • New system for opening bank account. • Person to person • Bill payment • Money orders • Money transactions in shopping • Ticketing • Coupons • Pay cab fares • Take and repay loan in Banks

29. Thank You

31. Cost Analysis for Bank

32. Cost Analysis for Mobile Operator

33. Use Case Model

34. mobile operator Mcash Registration user bank Loan repayment Loan user Money transaction Registration, transaction and loan system

35. Mcash recharge user <<extends>> <<extends>> bank Recharge through distributor Recharge through Bank distributor <<depends on>> <<depends on>> mobile operator Update bank account Mcash Recharge Subsystem

36. Cash-out user <<extends>> <<extends>> bank Cash-out through distributor Cash-out through bank distributor <<depends on>> Mobile operator <<depends on>> Update bank account Cash-out Subsystem