Digital technology is here to stay and has introduced path breaking changes in the world of finance. The financial realm had been facing many challenges and was struggling to provide secure and efficient services to its customers. No surprises then why digital technologies are being embraced by them so extensively. Financial technology has successfully penetrated different areas of the financial world and it is in your interest to make sure your business is up-to-date with such technologies. A large number of enterprises have already adopted fintech solutions and most consumers are informed about these.
Ways in which digital technologies are changing the world of finance:
- Blockchain: Almost everyone today has heard of the Bitcoin and other cryptocurrencies and the technology on which these are founded is the blockchain. Blockchain has now come to be embraced by different industries besides the finance companies, such as healthcare. The blockchain is essentially an open distributed ledger that is needed for processing transactions. It guarantees both security and transparency, reduces the chances of human errors and eliminates the need for middlemen in any kind of transaction.
- Omni channel banking: With digital technologies, consumers have started connecting with businesses in a different way. Instead of physically visiting banks to make monetary transactions, omni channel banking solutions are making it possible for you to make all transactions online. Customers can continue to make transactions securely and seamlessly through even mobile devices like laptops and smartphones. This change has led many bank branches to close down their physical offices since all transactions can be handled online for customers.
- Chatbots: While chatbots are not new, they have now become the order of the day as more and more banks are using these to improve banking services. they help to attend to customer queries and banks no longer need to maintain a large dedicated staff for handling such jobs. Reports suggest that their use could help save almost $7.3 billion by 2023. These tools use natural language processing and machine learning technologies. They study human interactions to give accurate responses.
- Intelligent Process Automation: IPA is process automation that is backed by Artificial Intelligence technologies. Almost all industries, especially the financial industry, have been making widespread use of AI solutions. While banks still engage in many manual processes automated processes, these take up a lot of time and effort. No surprises then why banks are choosing to opt for automated processes in order to save resources. This is helping in generating financial statements for customers, reconciling account balances, and accelerating credit card applications processing.
- AI Banking: AI has made its way into various industries and the financial sector cannot be an exception. Today, machine learning and AI solutions are being used by most banks to detect frauds. Earlier, these institutions had to employ a large workforce and software to do this job but that took up a lot of time. Moreover, human errors could not be eliminated completely and that damaged the bank’s credibility. So, AI has made banking processes more efficient and foolproof.