A system model and protocol for Mobile Payment Consortia System

Mobile payment is a natural evolution of e-payment scheme that facilitates the customer to make payments at anytime and anywhere. It provides excellent opportunities for mobile users, application developers, service providers and researchers for the development of new applications in Mobile Commerce. A study reveals that there are wide ranges of mobile payment solutions and systems available with the aid of various services such as Short Message Service (SMS), but there is no secure and cost effective mobile payment system for educational institutions to collect the fees as well as for student community to pay the fees. This paper proposes a model for secure mobile payment system called Mobile Payment Consortia System that allows performing secure payment transactions as well as convenience using SMS services. The success of the Mobile Payment system in general, relies on protocols based on the requirements of security at different levels. The proposed model presents the security protocols using symmetric key cryptography techniques and also helps to reduce computational complexities for engaging customers at client level and at Institutional level. This system reduces the complexity of payment processes using SMS services through mobile devices, and reduces transactional cost for both students and educational institution.