From ancient period when the wheel was invented to modern period where driverless cars run through artificial intelligence lead the roads, it is not only technology which has advanced but it made all the services and products advance at God speed. Among the services which have changed the most is the banking. Banking was once a matter of pen, paper and tired consumers in wait for their turn to avail various financial services and now they avail what they need with a tap on biometric sensors. Banks are the heart of any economy which pumps the funds and other financial services all across the world. It is not only the financial services that banks discharge it is far beyond that.
Earlier Trends In Banking
The banks earlier were fixed structures of concrete with zero mobility and ultra slow workforce working at snail pace. In order to avail financial services from the banks, one needs to take a day off from work as banking was not a matter of seconds or minutes at that time. The year when banking went online the word transformed to e-banking which was a less secured and scarcely available service but now it has become a normal tool for everyone and is no more some e-service but a mandatory term for any bank to be fulfilled in order to discharge any financial service to the consumers.
There was no feedback system in banking, rather it was a one way service where customers used to line up and request the bank to provide with available services, whether favorable or not but were the only option available with them. Banks never approached consumers and they never tried to figure out what options can be kept to attract the consumer base. Even the advertisement for banks is also a very fresh matter and not any old tea. The banks were dull places where you paid a higher interest rate on loans and lesser returns were paid on investments. No other computer except the one available with the bank clerks could tell you your current financial status with the bank.
Current Status Of Banks
Now the bank is not an institution which needs to be approached by consumers through a physical meeting on a day took off from work. It has now become smart with the help of software available to provide solutions to all predicted problems. The consumer today accesses all financial needs through a click on a smartphone screen. Everything is now available in the form of cloud data and can be accessed from any part of the world by the person with whom the credentials of his service are available. There is no need for any verification through physical meetings or inquiries the cloud data dictates the whole status of the consumers and verifies whether the current desires of the consumer are viable or not.
The banks today work on a closed loop system where the old services are improved and new services are introduced each minute on the basis of feedback from existing consumers and surveys about the future needs of the new and old consumers. A huge amount of customization is available with the banks in order to cater to all possible needs. Banks are available at all communication and social platforms in order to ensure any time any place banking.
Building Blocks Of Future Banking
The banking system got revolutionized due to technology support available, which transformed the financial services from banks to Fintech and Tech-fin world.
Fintech services are technology loaded financial services that are not the monopoly of any one institution but are the developments that took place in close association with technology. Getting credit score, exploring investment options and understanding loan schemes is not any physics problem solved by bankers but is anytime anywhere available services through tech-platforms across the globe.
The tech-tycoons gave birth to tech-fin which is an ultra-smart banking structure build by adopting financial policies in a tech-advanced environment ensuring a more secured, safer, smarter and most importantly much easier platform where there are solution and suggestion to all possible problems.
This world of Fintech and Tech-fin is only possible due to some reasons that need a clear understanding in order to better learn about the future of banking beyond financial services.
Artificial Intelligence And Robotics
AI and robotics are not only restricted to manufacturing lines, but the future of banking is also building on these blocks. Robots assisted banking is nothing new. With driverless cars to banking free from human errors or involvement AI is making everything possible.
Intelligence Of Customers
The software build with algorithms to figure out the customer needs and find future customers by using the currently available statistics and data is making huge wonders in the banking sector and has made banking a much profitable business.
Technology Driven Regulators
Not only the financial firms but also the regulating agencies are making use of technology tools and data analytics in order to figure out the future problems that may be faced by the financial institutions rather than acting after the problem has risen.
Physics Of Blockchain
Newer tech-advancements like blockchains enabling the use and regulation of cryptocurrencies is making wonder across the world as is likely to raise the standard of banking world far beyond the current potential.
The Bottom Line
The future of banking is far beyond financial services. With the adaptation of technology by financial firms and that of finance by the technology, giants are making Fintech and Tech-fin the future advancements. The banks need to ponder their attention to cyber security which is a major threat to online banking and all sort of technological advancements need to be made by the banks in order to counter this problem. The companies need to focus on cost cutting by introducing smart software-based programs that govern the problem-solving at a higher pace and with much accuracy. With these integrations done successfully the future of banking is far beyond the thought.