The current trend in the financial services industry is the transition to digital, especially mobile banking. With the growth of digital transformation, accessing your bank account to view the balance or money in transit via smartphone without going to the AMT seems to be a normal thing. It is hoped that the target audience for an easy, accessible and fast financial management experience is not limited to a certain group.
According to a survey conducted by the American Bankers Association, 39% of bank customers manage their personal accounts through a mobile banking app — making it the most convenient and convenient approach to interacting with financial organizations. It has a great opportunity to examine the current and future trends in mobile banking technology that have taken over the app market or are expected to expand further.
In addition to their widespread use, these financial applications continue to advance in design and technology, with many new entrants making progress this year.
1. From Mono-Functional Apps to Super Apps
One of the most technology-based trends in mobile banking is extreme application functionality. Mobile banking should not be an additional alternative application with minimal functions that complement Internet banking. Rather, it is a full access channel to all banking products, including banking operations, services with different roles to perform all desired operational activities using a smartphone or laptop, etc. As technology develops, application usability will also continue to increase.
Important features of mobile banking app:
1. 24/7 access to your personal account
2. Remittance
3. Security
4. Fraud alert
5. Customer support
6. Loan repayment
7. Bill payment alerts
8. Various attractive services for customers
2. Platform for Technology-Savvy Customers
Customers want to perform more operations with their accounts without additional help from their bank employers, including service access processes. Typically, we don’t have much time to think about where this or that service is located. Everything should be as easy and clear as possible directly from the home screen. This should be achieved, first of all, through minimization of the interface, color palette for different parts of the application, etc. It’s easier and more effective to use existing recognition markers than to create your own.
3. Mobile Payment Options
When WHO recommended switching to cashless payment methods to prevent the spread of the coronavirus, the behavior and habits of fintech market users changed, and resulted in significant growth in the popularity of various payment methods (e-wallets, contactless payments, online payments), financial literacy, and public awareness of all types of fintech products.
4. Focus on Cybersecurity
Security has always been a sensitive issue and important aspect of the banking industry. One of the main challenges is mobile banking security. Cybercriminals are exploiting the pandemic situation to their advantage, making app users vigilant about all their online banking operations.
To avoid becoming a victim of attacks, both businesses and users must follow basic cybersecurity rules. Thanks to Big Data and fraud predictive modeling, banks and financial organizations can significantly increase the security of consumer data.
5. Voice Payments
The public is very aware of security issues, so some banks have purchased voice recognition as a two-way authentication method.
Alexa already pays off credit card bills, Siri lets consumers transfer money to other accounts, and with Google Assistant you can shop with just your voice from nearby stores. Combined with AI, voice technologies will make the future of mobile banking more responsive and user-friendly. Some experts estimate the growth of voice payment services is faster than you might expect.
6. Biometric Authentication
The use of a simple PIN is not a complete guarantee of a secure mobile banking experience. Here is the biometric authentication method. Those include fingerprint reading, eye scanning, and facial recognition. All of which allows access to apps or even completing transactions without the need to swipe a card or enter a password. Mobile banking technology trends make accessing bank accounts faster and more secure because they are more difficult to imitate or hack.
7. Cardless ATM Withdrawals
The concept of contactless ATM interactions has emerged as a trend, revolutionizing traditional mobile banking usage. Such integration with ATMs facilitates easy and contactless transactions, which is a real challenge to the conventional banking model. This trend is in line with the growing preference for digital and mobile-centric banking experiences that offer greater flexibility in customer service.
One common method of cardless ATM withdrawals is to use a QR code displayed on the ATM screen to be scanned with a mobile device via a banking application. Alternatively, modern solutions like NFTs can be used for secure authentication and authorization of transactions. This allows bank customers to easily find the nearest ATM through their mobile app and carry out transactions without the need for a physical card.
8. Artificial Intelligence and Machine Learning
The development of artificial intelligence technology makes the role of AI increasingly significant in Fintech. Not only does it increase the accuracy and efficiency of financial services, offer a better customer experience and reduce operational costs. AI algorithms analyze massive amounts of data to make predictions, automate tasks, and provide personalized financial recommendations.
