Slow waiting for fast money

Sometimes it’s easy to forget we live in the digital age.

I recently opened up an account with a major national bank that shall remain nameless. (Here’s a hint: It rhymes with “place.”) I was tired of not having a bank account in Bloomington, something I should have dealt with long ago. My hometown bank, a bland, ho-hum institution, just wasn’t cutting it anymore.

I wanted to deposit checks from my iPhone, check my balance via computer at any hour of the day and be able to transfer money electronically.

So I made the switch. Unfortunately, the financial sector hasn’t adopted modern technology to the extent that I thought it had.

Get this: It takes me a minimum of two days to complete an electronic transfer of money to another bank account (sometimes even longer, depending on when I initiate the transfer). In that period of time, a mailed check would almost be faster — but certainly not as cool.

There’s the old saying that “money makes the world go ’round.” If that’s the case, my life is moving in slow motion.

It is astounding and frustrating to me that in 2011, more than six decades since the  modern credit card was first introduced as the next big thing in monetary transfer, we haven’t found something better. Credit card fees are too high; checks are insecure; cash is bulky.

Why isn’t there a new, fresh idea? Shouldn’t I just be able to make a conscious thought and instantly pay for my lunch?

In Asia, they’re closer to this elusive goal. Near field communication has become popular as a method of payment that’s built into cell phones. You can enjoy that luxury stateside, too — just find a phone with an NFC chip built in (good luck) and find the nearest store that allows NFC payment (also a stretch).

Fortunately, rumor sites are reporting that the next-generation iPhone will include NFC technology; other phone makers are said to be looking at NFC integration as well. Although some security concerns have become apparent, this technology has been around since 2003 — it’s about time it actually came into widespread use.

When it comes down to it, though, NFC payments are basically the same as using a credit card — surely with similar merchant fees.

But they’re a step in the right direction.

I imagine a future where consumers will be able to easily transfer money to each other and to vendors without high fees and much effort. I hope this will be the case sooner rather than later.


E-mail: biglehar@indiana.edu