With mobile banking apps, transferring, receiving, depositing money has become so convenient. Paying credit card or daily utility bills are not more a hassle. It only takes a few clicks of the button to get in touch with your personal banking officer. Now, would you open an account in a bank that does not have a mobile app? Its right mobile banking is the future of the banking sector. This emerging trend has taken over the banking and finance industries like a storm and changing the face of the traditional financial institutions. Let’s learn more about this technology and the future of mobile banking.
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<h2>What is Mobile Banking? </h2>
Today, mobile banking services are not just a convenient feature for banking, but an integral part of the banking experience. Mobile banking can be defined as services provided by a bank and other financial institutions. Using their mobile applications, banks allow customers to perform several features remotely. These apps alleviate the need of visiting the bank and makes the banking services available to their customers 24/7.
The number of services offered by a bank depends on the features of the mobile banking app. Some of the basic banking solutions include fund transfers, bill payments, signing-in, signing-out, loan payments, ATM locator, security alerts, account management, view or download bank statement, cheque deposit, and more. All of these services have simplified banking activities for people around the country. It is one step forward towards paperless and branchless banking.
In a few years, mobile banking has made banking experience convenient and easy. At the same time, it has reduced the cost of operation for banks and increased efficiency of the employees. Meanwhile, the competition among various banks has compelled the banks to create new and unique features as they struggle to remain relevant and gain an edge in the banking sphere. So, how is mobile banking predicted to change the future.
Customer service: Mobile banking has improved the customer experience in many ways. You do not have to dial a number in order to speak to your customer care person. All you have to do is drop them a message on on-screen chat or messenger that will connect you to a virtual assistant.
Mobile banking services empower customers to control their accounts and actions involving money. Managing a business and handling your fortune is a lot easier than ever before.
Small businesses: Irrespective of how big your business is, mobile banking is a cost-efficient way of handling business. It allows the small businesses that are on a budget to manage daily finances, process transactions, and ultimately achieve their goals without an extra cost. It eliminates the cost and inefficiency related to paper-based banking processes.
Speedy transactions: Speedy transactions and banking procedures are one of the greatest advantages of mobile banking apps. It allows the customers to complete tedious and long banking transactions easily and speedily like never before. It even eradicates the need of carrying cash around for paying the bills and making payments. Soon enough, it is expected to even give rise to a cardless transaction trend. Since mobile devices include biometrics authentication feature, it will eliminate the need for carrying a card to withdraw money from an ATM or make a purchase.
Security concerns: The mobile systems come with inbuilt security systems that are driven by robust technologies like biometrics and more. As a result, merchants and financial services are including mobile apps as their sales or payment channels. It uses multi-layered security systems that enable safe operations and ensure secure transactions.
Eco-friendly: In a world where environmental concerns are on a constant rise, mobile apps provide eco-friendly solutions. The Banking sector has always been a paper-intensive industry. However, things are changing, with digital transformation and the advent of mobile technology, it has provided an eco-friendly way of banking.
Improved Efficiency: From the bankers’ perspective, it has improved the efficiency of banks and allow the staff to focus on core goals. With automated processes, real-time updates are now a new norm, the workload and chances of human error have reduced enormously.
Meanwhile, with the help of machine learning, banks are able to increase the gamut of their products and services. Using customer history, behavioral patterns, and expectations, they are now able to provide customized and personalized solutions. This helps the banks gain an edge and stay ahead in the competition.
<h2>Future of Mobile Banking </h2>
With advancing technology, smartphones continue to improve their features. Same can be expected in terms of mobile banking services. As these apps evolve, these apps are expected to offer new features and improved security. Meanwhile, mobile wallets and payment systems continue to present a challenge to the banks. With new technologies in the picture, banking institutions are already investing in technologies like open APIs, big data engines, or chatbots, to continue the digital transformation and acceleration.
Voice-activated commands using mobile banking apps is predicted to be the next big thing in the banking sphere. Using voice recognition, transactions can be made. It is already thought to be a successful strategy as it uses two-way authentication.
Cardless ATM withdrawal is another big trend expected to gain traction. After pushing away credit cards and debit cards from the pictures, mobile banking is expected to bring forth Cardless ATM wherein you must tap your phone to withdraw cash.
As the banking industry continues to experience a shift, mobile banking apps are expected to become a primary method of conducting banking activities. This is simply because they are more secure, personal, and user-friendly. Using the ever-evolving technology, it is expected to morph the banking experience for everyone.
