Innovative Features of Modern Banking

Have you ever asked your parents how they used to do banking? They will surely say, of course, by going to the bank! Yes, that’s how banking was in traditional days but customers today want a different experience from their bank than the usual lobby and teller line. In the past, bank facilities were designed to support a variety of single transactions as well as full lending services. Customers wanted “in-and-out” deposit and withdrawal access and service. They wanted a pleasant, quiet location where they can take their time when it comes to loans, refinancing, and other lending services.

But today, things have drastically changed. With modern banking being in trend, there are so many financial services available online to fulfil urgent monetary needs without having a money machine physically available. However, now banks must think of new ways to engage customers and keep them returning.

EVOLUTION IN THE BANKING SECTOR

There has been an evolution in the banking sector which has now become modern banking where customers no longer need to go to banks for all their urgent monetary needs. Not only in banking but in the future, Artificially intelligent assistants will give us financial advice, mobile apps will immerse us in virtual reality, and self-driving cars will park better than people. Such advancements usher in a fresh new era of digital banking, redefining how individuals view their finances.

With a new level of online, mobile, and omnichannel services, a forward-thinking bank should stay at the forefront, embracing innovations that satisfy client expectations for financial health, wealth, trust, and security. Even in the age of the most famous technologies, however, a high-tech mindset is insufficient on its own. Each bank’s future depends on how well it can use the latest technology to focus on the needs, wants, and behaviours of its customers.

Let’s now look into the latest technologies and trends in the banking world that have made our life easier when it comes to banking upon the banks!

HOTTEST TECHNOLOGIES IN BANKING:-

1. OPEN BANKING

Open Banking, which makes use of APIs, is widely regarded as one of the most significant breakthroughs in the banking business. It has made personalised banking services available to businesses and customers while also providing perfect security and increased efficiency.

The modern banking industry is frequently the first to try out new technologies and reap the benefits. Meeting evolving consumer expectations and battling competition are two of the most important reasons why top banks throughout the world, particularly in India, are devouring the latest technologies at a faster rate than ever before.

2.) DIGITAL WALLETS

Modern banking has pushed digital wallets to become a term without which no one can live. Today, Digital wallets have entered our daily lives and taken a prominent place, making our overly hectic lives easier. Money transfers, e-commerce payments, mobile recharges, and everyday transactions a squabble? It’s as simple as a couple swipes on your whatever-inch touch screen, and it’s done flawlessly.

3.) NEAR FIELD COMMUNICATION TECHNOLOGY (NFC)

There was a time when individuals had to trade their possessions for the items they required. After that, we went on to currency money, which was easier to manage and keep once banks were introduced. Of course, there were the shiny plastic credit and debit cards, which made our lives as easy as butter. In the modern banking system, there is currently a fresh wave of innovation. 

NFC (Near Field Communication) promises to make banking more futuristic. Imagine stepping into a convenience store and paying for items with your phone on the counter in a matter of seconds. Alternatively, you can pay with your wristband or watch. The wallet, loyalty card, pocketbook, and credit and debit cards have all gone digital in the future.

4.) DIGITAL ACCOUNT OPENING

In the modern banking era, digital account opening has become an integral part of banking. Nowadays customers do not want to go to the bank for opening a bank account or to withdraw money from the money machines, they want things to be on their thumb and today most of the Pvt. Banks have initiated this digital account opening system where one can simply open a bank account while sipping their cup of tea!

5.) BIOMETRIC TECHNOLOGY

Customers commit their personal information to banks, and they demand the highest level of security and protection. Biometric technologies allow financial institutions to achieve a seamless customer experience by balancing security, speed, and convenience. Biometrics (fingerprints, iris, and voice) are tangible human features that can be used to validate a customer’s identification. Biometric identifiers, unlike PINs or passwords, are impossible to lose or forget, and significantly more difficult to hack.

CONCLUSION

In this article, we discussed all the innovations in the modern banking arena and the best innovation out of all the ways is Digital payments/Digital wallets as it has made life very easy, nowadays you don’t need to go to the bank first to withdraw then make a payment, today you can simply scan the barcode and pay in few seconds! We don’t need to carry cash everywhere and the fear of theft also vanishes.